Uber Eats is a popular option for restaurants that want to offer delivery and reach more customers. Yet, many owners wonder about the costs of using the platform.
From commission fees to extra charges, knowing how Uber Eats pricing works is important. This helps businesses manage their costs while still benefiting from being part of a major delivery service.
Let’s examine how much Uber Eats charges and what affects these fees.
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Uber Eats is a service that lets people order food from local restaurants through an app or website. It’s available in cities worldwide, and Uber drivers deliver the food.
Customers can see their delivery in real-time and pay with the method they’ve set up in their Uber account. But how much does Uber Eats charge restaurants for using their service?
Uber Eats connects people with local restaurants using the app or website. Customers can look at menus and place orders for delivery or pickup.
After an order is placed, the restaurant gets it and starts preparing the food. They can either use their own delivery drivers (which might lower delivery fees) or rely on Uber Eats drivers.
Uber delivery drivers are independent contractors who use their own vehicles to pick up the food and bring it to the customer. Payment is made through the app or to the driver, and customers can rate and review both the restaurant and delivery experience.
Several other food delivery services might charge lower fees for businesses. Here are some alternatives to Uber Eats:
System | Uber Eats | DoorDash | Zomato | GrubHub | Caviar |
Commissions | From 15% | From 15% | From 10% | From 10% | From 30% |
Free Trial | Yes | Yes | No | Yes | No |
Customer Data Ownership | No | No | No | Yes | No |
Own Branded Mobile App | No | No | Yes | No | No |
Own Website With Ordering | No | No | No | Yes | No |
Control Over Marketing | No | No | No | No | No |
Delivery Service | Yes | Yes | Yes | Yes | Yes |
You might also think about starting your own delivery service or using another provider. This can help you lower delivery fees and give you more control over how deliveries are handled.
Another way to save on delivery fees is to negotiate with Uber Eats and other services. Ask if they can lower their commission rates for you.
Uber Eats charges restaurants based on a commission system. The restaurant pays a percentage of the total order value to Uber Eats for using their platform and handling deliveries.
The commission fees can vary depending on the restaurant's agreement with Uber Eats and their location. Generally, the standard rate is 30% of the total order value, excluding sales tax and driver fees.
Some restaurants might qualify for a lower commission rate, like those on the Lite plan. Besides the commission fee, Uber Eats may charge extra fees, such as:
Costs can differ based on location and specific agreements. It’s best to check with Uber Eats for details on delivery and service fees and how they might affect your restaurant's expenses.
Commission rates for restaurants vary by region but usually range from 15% to 30%. This fee doesn’t include payment processing costs and service fees. So, Uber Eats takes a percentage of each order's total sale as commission.
Restaurants might also need to pay an extra delivery fee for Uber Eats drivers. Here’s a breakdown of what you can expect:
Besides these plans, other costs may include a 6% fee for pickup orders and a 2.5% order processing fee plus $0.29 per order.
On average, Uber Eats takes between 15% and 30% in commission fees. However, there are additional fees to consider, like processing and marketing costs, which can take a big chunk out of your earnings from each order.
Plan Type | Orders from Uber Eats (Monthly) | Average Order Value | Uber Eats Commission Rate | Uber Eats Processing Fees | Total Orders Value (Monthly) | Remaining Revenue (Monthly) |
Lite | 100 | $50 | 15% | 2.5% + $0.29 | $5,000 | $4,124.71 |
Plus | 100 | $50 | 25% | 2.5% + $0.29 | $5,000 | $4,124.71 |
Premium | 100 | $50 | 30% | 2.5% + $0.29 | $5,000 | $4,124.71 |
These food delivery services let customers order from restaurants online. Each company charges restaurants a commission fee for every order.
The commission fee varies between companies and can depend on the restaurant’s agreement with them. So, how do Uber Eats’ fees compare to others? Generally, GrubHub and Uber Eats charge around 20-30%, while DoorDash can charge up to 40%.
Remember, the commission fee is just one cost. These apps also add extra fees, like marketing and delivery costs, which can eat into restaurant profits.
Delivery System | Commissions |
Uber Eats | 15%-30% |
GrubHub | 15%-25% |
DoorDash | 15%-40% |
For food delivery services, DoorDash usually has higher commission fees compared to Uber Eats. DoorDash fees can go up to 40%, while Uber Eats charges around 20-30%.
Uber Eats charges high fees because it’s a popular platform with many users and intense competition among restaurants. Here’s why:
Restaurants face several fees with Uber Eats, including commission fees, delivery fees, service fees, and marketing or promotion fees (if applicable). To cover these costs, restaurants often raise their food prices.
Restaurants are paid in different ways depending on their deal with Uber Eats. Typically, the process is as follows:
Yes, Uber Eats fees can have a significant impact on restaurant profits. The platform charges a commission for each order, usually around 30%, but it can vary depending on the agreement.
Restaurants might also face extra charges for delivery, marketing, or other services. Despite the popularity of these apps, apps like Uber Eats can affect a restaurant’s bottom line.
As a result, many restaurant owners end up losing hundreds or even thousands of dollars each month due to these commissions and additional fees.1
The 4 Major Drawbacks of Using Uber Eats
Uber Eats can offer restaurants extra revenue and boost their visibility to new customers. It also helps restaurants expand their delivery area and reach people who might not have tried their food otherwise.
But there are downsides too. The cost of using Uber Eats varies based on the plan and location. Restaurants don’t own their customer data or marketing, so they depend entirely on Uber Eats.
If a restaurant decides to stop using Uber Eats, they lose all online orders and marketing efforts. Marketing happens only within the app, so once you’re off the platform, you can’t reach those customers or get their orders. In this case, it might be worth learning how to get more Uber Eats orders to maximize benefits.
Whether Uber Eats is right for your restaurant depends on your situation, goals, and priorities. Be sure to read all the details and weigh the pros and cons before making a decision.