Chicago will now require food delivery apps to disclose itemized cost breakdown

Re:Chicago will now require food delivery apps to disclose i... by mydongle on Tuesday May 12, 2020 @10:05PM (#23162646)

No, you're right. Many people on HN would scoff at UberEats taking a 30% cut or whatever from orders, but how much would it cost for every mom and pop to try and implement something like that themselves? And have someone to maintain it? Whatever people want to say about it, these are orders (or at least a signficant number of them) that the restaurants would've never received, if not for the app existing. 70% is better than 0%.

And that 30% isn't in stone. Last place I worked at, they were able to negotiate for 15% because of how desperate Uber was.

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Re:Chicago will now require food delivery apps to disclose i... by aaomidi on Tuesday May 12, 2020 @10:10PM (#23162682)

Hey if this is exposed there can certainly be non profits who setup delivery systems like this with a goal of providing a service, getting paid, but not trying to keep growing and growing.

It would allow users to understand this isn't free and actually pay for a subscription that essentially does this.

This regulation creates an opportunity for new business models.

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Re:Chicago will now require food delivery apps to disclose i... by xyzzyz on Wednesday May 13, 2020 @03:11AM (#23164295)

As much as consumers would love the idea of non-profits sweeping in and doing the same service as businesses sans the profit margin, this is simply not what we observe in real world very often. Running an organization is hard, and people doing that usually want to be compensated for their efforts.

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Re:Chicago will now require food delivery apps to disclose i... by legolas2412 on Wednesday May 13, 2020 @09:30AM (#23166682)

> people doing that usually want to be compensated for their efforts.

Non profit does not mean free. People can be paid salary, but the business does not need a 30% Profit margin.

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Re:Chicago will now require food delivery apps to disclose i... by skrtskrt on Wednesday May 13, 2020 @11:08AM (#23167588)

If anything non profits have a somewhat of a reputation for being a way to pay the top people big salaries without the pressure of having investors pushing for more profits & getting the image of being "good" mostly for free since it's a non profit.

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Re:Chicago will now require food delivery apps to disclose i... by awa on Thursday May 14, 2020 @06:51PM (#23186556)

Most of the food deliveries services are running using VC funds. I don't think there's much scope of profit here for a ~$5-$7/delivery charge having someone someone pickup and deliver a package along with other costs like building/maintaining the system, credit card charges etc,

Frankly, I feel something like peach which bundles multiple orders from a few restaurants is the way to go if you want to make money as a food delivery service.

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Re:Chicago will now require food delivery apps to disclose i... by zaidf on Wednesday May 13, 2020 @01:03AM (#23163642)

Remember before uber, yellow cabs had their own app. The experience was shitty. Nonprofits are not known for great software products and operational skills.

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Re:Chicago will now require food delivery apps to disclose i... by tatersolid on Wednesday May 13, 2020 @06:52AM (#23165576)

Yellow Cab Company is the furthest thing in the world from a nonprofit. They recently went bankrupt, but a century of monopoly tactics and mafia ties preceded.

https://en.wikipedia.org/wiki/Yellow_Cab_Company

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Re:Chicago will now require food delivery apps to disclose i... by sct202 on Wednesday May 13, 2020 @09:49AM (#23166847)

It will probably be hard for a non-profit to do all of that (especially ethically like paying fair wages) considering Uber, Grubhub and Doordash are all losing money while charging 30%+ for the current services.

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Re:Chicago will now require food delivery apps to disclose i... by aaomidi on Wednesday May 13, 2020 @01:54PM (#23169613)

Non profits don't need to make money for investors.

Just enough to pay their workers and themselves.

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Re:Chicago will now require food delivery apps to disclose i... by bilbo0s on Tuesday May 12, 2020 @10:18PM (#23162720)

Very good point. I hadn't considered this, transparency allowing for potential competitors to differentiate.

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Re:Chicago will now require food delivery apps to disclose i... by chrismcb on Wednesday May 13, 2020 @12:26AM (#23163479)

70% isn't always better than 0%. But if a small restaurant did this, they would tack on delivery charges. The customer should be paying for the service, not the restaurant. I realize that a delivery charge is also added on. But it feels like the restaurant does most of the work, and the delivery company makes all the money

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Re:Chicago will now require food delivery apps to disclose i... by maxerickson on Tuesday May 12, 2020 @11:18PM (#23163109)

70% is better than 0%.

This really depends on their margins.

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Re:Chicago will now require food delivery apps to disclose i... by paxys on Wednesday May 13, 2020 @02:58AM (#23164230)

If the restaurants were losing money on every order then they wouldn't be on Uber Eats in the first place.

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Re:Chicago will now require food delivery apps to disclose i... by mc32 on Wednesday May 13, 2020 @12:30AM (#23163504)

Exactly you can’t make up the losses with volume as the bank in the SNL skit.

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Re:Chicago will now require food delivery apps to disclose i... by Mikeb85 on Wednesday May 13, 2020 @04:16AM (#23164710)

Tock To Go only charges 3% for this service.

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Re:Chicago will now require food delivery apps to disclose i... by choward on Wednesday May 13, 2020 @12:49AM (#23163571)

What about the people who use the app instead of ordering directly? They lose 30% on that sale for no reason.

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Re:Chicago will now require food delivery apps to disclose i... by paxys on Wednesday May 13, 2020 @02:59AM (#23164237)

The food still has to get to your house somehow.

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