A customer enters a Cava restaurant on February 6, 2023 in Pasadena, California.
Mario Tama | Getty Images News | Getty Images
fast-casing chains To move a horse around in a circle And sweet green Each said that customers are ordering delivery less often and instead picking up their own food, a sign that diners are becoming more frugal.
Breaking the delivery habit is an easy way for budget-conscious consumers to cut restaurant expenses. Delivery orders are generally more expensive due to additional fees and tips for delivery drivers. Sometimes restaurants also charge more for food to compensate for the heavy commission fees paid to third-party delivery services.
All of this makes ordering food for pickup an easy way to save money. with the exception of a a few weeks This summer when restaurant software provider bake Customers are charged 99 cents for online orders, with restaurants typically not adding the fee for pickup orders.
While some customers will be asked for a tip when picking up their food, in an example of so-called “tipflation”, some would rather leave a gratuity on a pickup order than on delivery. Only 13% of consumers said they left a tip when taking takeout orders, according to a bankrate survey From May 2023 onwards.
But delivery orders have also become a significant contributor to restaurant revenue as the sum total of customer receipts is high. Fewer delivery transactions could hurt the mix of those companies, which includes the combination of food, beverage and fees that make up a restaurant’s revenue.
Sweetgreen sales fall short of expectations due to take-off deliveries Second quarter, Chief Financial Officer Mitch Reback told investors on the company’s July 28 conference call. The salad chain reported quarterly revenue of $152.5 million, which fell short of Wall Street’s estimate of $156.7 million.
of cava Second quarter Sales growth was not impacted by a softening of delivery sales, but the Mediterranean chain’s full-year forecast was cautious. After same-store sales growth of 28.4% for the first quarter and 18.2% in the second quarter, Kava is expecting same-store sales growth of only 13% to 15% for the full year.
“We continue to see positive traffic trends in the third quarter,” Kava CFO Tricia Toliver said in the company’s conference call Tuesday evening. “However, we are starting to see little change in deliveries for pickup and a decrease in overall same-store sales growth.” Have been.”
Kava executives also cited macroeconomic concerns such as rising gas prices for their tentative sales outlook.
even the fast-casual giant Chipotle Mexican Grill is not immune to change.
In late July, the burrito chain reported that its delivery service revenue fell 15.8% to $17.3 million. The revenue segment, which only includes delivery and related service fees for orders made through the company’s app and website, accounted for less than 1% of Chipotle’s total revenue for the second quarter. Executives did not share further details about the delivery business on the conference call.
Only Just Eat Takeaway.comThe owner of Grubhub reported a decrease in order volume in North America for the first half of the year.