in ,

Delivery apps are bleeding restaurants dry during the pandemic, Recode

Delivery apps are bleeding restaurants dry during the pandemic, Recode

In March, just a few days before a looming stay-at-home order would take effect in Chicago, restaurateur Nick Kokonas faced a terrifying prospect: empty dining rooms at his restaurants.

“There will be no reservations in the United States of America. What do we do? ”

For Kokonas, the answer was to almost totally reinvent both of his businesses. In addition to his five restaurants employing almost 300 people, which include the highly experimental Alinea – where a meal can easily cost upwards of $ 850 a person – he also runs Tock, a reservation app for fine dining restaurants.

Both quickly pivoted to takeout and delivery. Alinea began offering beef Wellington and coq au vin for takeout at only $ 67 per plate , and Kokonas’ employees at Tock worked around the clock to retool the reservation app into a new pickup and delivery ordering system called Tock To Go.

According to Kokonas, the pivot has worked. Alinea has been able to rehire more than half of its (staff members, and the restaurant is earning about 250 percent of its normal revenue. Tock To Go has seen a surge of new restaurants joining the platform.

“We have over [restaurants] that are in the process of coming on board, really as fast as they can get their kitchens going again. And we have great success stories. It’s not just the high-end places like n / naka, you know, selling bento boxes in Los Angeles . … There’s a small restaurant … that emailed us and said ‘when we were busy before the pandemic, we would do $ 3, (to $ 4, a day in sales. And I just hired three more cooks because we’re doing $ , a day in sales. ‘ ” But Tock’s new platform is puny compared to the dominant apps in the food-delivery world. Seamless alone has 23, 12 restaurants , times more than Tock To Go. And these apps that facilitate delivery during the pandemic, like UberEats, DoorDash, and GrubHub, are the same ones bleeding restaurants dry. On this episode of Reset , we look at how restaurants are turning to delivery platforms to survive the pandemic. If you want to support your favorite restaurants during the pandemic, here’s what Eater’s Caleb Pershan suggests: “If you want to go get takeout yourself and feel healthy and comfortable enough to do it, it’d be best if you call the restaurant directly so that that large cut isn’t taken by a third-party delivery app. Maybe they’ll be able to deliver food themselves. Go straight to the restaurant in any way you can, either by calling them or by going to their website. If you do use a third-party app to get a delivery, tip handsomely. ” Subscribe to on Apple Podcasts , Stitcher , (Spotify , or wherever you listen to podcasts .

Read more

    Grubhub Asks Restaurants to Foot the Bill on ‘Supper for Support’ Promotions

‘Restaurants Cannot Cook Their Way Out of This Crisis’

(Restaurant and Bar Employees Make Up) Percent of Jobs Lost in March

Support Vox’s explanatory journalism

every day at Vox, we aim to answer your most important questions and provide you, and our audience around the world, with information that has the power to save lives. Our mission has never been more vital than it is in this moment: to empower you through understanding. Vox’s work is reaching more people than ever, but our distinctive brand of explanatory journalism takes resources – particularly during a pandemic and an economic downturn. Your financial contribution will not constitution a donation, but it will enable our staff to continue to offer free articles, videos, and podcasts at the quality and volume that this moment requires. , please consider making a contribution to Vox today . () Read More

What do you think?

Leave a Reply

Your email address will not be published.

GIPHY App Key not set. Please check settings

Full Third-Party Cookie Blocking and More, Hacker News

Apple fixes FaceTime, USB-C, and Office 365 bugs in macOS Catalina, Ars Technica

Apple fixes FaceTime, USB-C, and Office 365 bugs in macOS Catalina, Ars Technica