With delivery the sole lifeline for many restaurants, many have rushed to join delivery platforms. However they take a staggering 30 percent commission average per order. The rate is high during normal circumstances, but now that food and beverage outlets have to continue to support valued staff without relying on dine-in business, they seem downright painful.
Sheikha Al Mheiri is one of the restaurateurs calling for major delivery platforms to drop their commission rates. The Emirati entrepreneur who founded MAD Hospitality, which runs Society Cafe & Lounge and Toplum, is hoping these delivery platforms will eventually step-up after the government imposed mandatory closuresto stop the spread of the novel coronavirus (COVID-19).
Talking about the extraordinary situation the restaurant industry is finding itself in, Al Mheiri said: “Although I fully support this move, this has created an undue advantage for delivery aggregators who have only attempted to reduce the cost to customers but maintained outrageous commissions to local restaurants at 30-35 percent."
Al Mheiri is calling for the delivery platforms, which also push for further discounting of items as marketing ploys, to be socially responsible. She wants them to review their rates at a time restaurants need to figure out how to survive the pandemic while limited to delivery-only options.
”I urge the respective regulatory bodies to impose a mandatory cap on those commissions at 10 percent during this period until the playing field is levelled again for all stakeholders,” the entrepreneur said.
Founded in 2017, the conservatory-style Society Café and Lounge is now an established Dubai café. The contemporary yet cosy Jumeirah eatery featuring a modern and refined take on modern European cuisine is renowned for its locally sourced produce and stylish décor. With a fresh, relaxed take on casual dining, award-winning Society Café and Lounge offers breakfast and all-day dining dishes.
Toplum is a Mediterranean-inspired restaurant, which opened earlier this year. Located in Dubai’s Midrif City Centre, the restaurant is elegant with minimalistic interiors. It has been divided into different zones, grab & go, the restaurant and a lounge zone. Chefs work with simple ingredients and the dishes translate a variety of cultures and tastes from the region.