Commission-Free Online Ordering for Restaurants

Commission-free online ordering is a model that lets restaurants take control of their delivery and takeout business – and keep more of the profits. Instead of relying on third-party delivery apps that charge hefty commissions, restaurants can accept orders via their own website or app with little to no per-order fees. In the sections below, we’ll explore the pain points of third-party commissions, how commission-free ordering works, its benefits (higher margins and more control), and what to look for when choosing a commission-free platform.

The Problem with Third-Party Commissions

Third-party food delivery services like Grubhub, DoorDash, or Uber Eats typically charge restaurants a commission on each order – often anywhere from 15% up to 30% of the order value. Given that many restaurants operate on profit margins in the low single digits, losing a quarter or more of every sale in fees is simply unsustainable. In fact, studies have found that restaurants end up surrendering around 25–30% of their revenue to these delivery providers on average. These fees drastically cut into (or even eliminate) the restaurant’s profits on delivery orders.

Aside from the direct cost, third-party platforms create other challenges. The more sales that flow through these apps, the more a restaurant’s success depends on a middleman that “siphons off” profits via fees and commissions. Restaurants also lose control of the customer relationship and data on these platforms – the delivery app often keeps the customer’s contact information and ordering habits, leaving the restaurant in the dark. There’s even brand dilution: on a delivery marketplace, your restaurant is just one of many listings, and the customer’s experience is controlled by the app (including any issues with delivery drivers, refunds, etc.). A recent analysis in The Washington Post highlighted the “unbelievably high fees” and hidden charges of third-party ordering, concluding that with these apps “it’s hard for anyone to come out ahead.” In short, traditional delivery apps solve a convenience problem for customers but create a profitability problem for restaurants.

How Commission-Free Ordering Works

A commission-free ordering platform empowers a restaurant to take orders directly through its own channels – typically via an online ordering system on the restaurant’s website, a mobile app, or even links on social media. Instead of paying a percentage of each order to a third party, the restaurant usually pays a flat fee or subscription for the technology. For example, ChowNow (a popular commission-free provider) charges restaurants a flat monthly fee (around $99–$149 per location), rather than taking a cut of each order. This means the cost stays the same no matter how many orders you get – you can accept unlimited online orders without per-order commissions.

Commission-free platforms often provide the software and support needed to manage online orders internally. The restaurant’s menu is displayed on their own site or branded app, customers place orders there (instead of on a third-party marketplace), and the orders are sent directly to the restaurant. The system may also integrate with social sites or search engines – for instance, allowing customers to order by clicking an “Order Online” button on Google, Instagram, or Yelp, which then routes the order to the restaurant’s system. The key difference is no 15–30% commission draining each sale.

What about delivery logistics? Commission-free doesn’t mean you have to hire your own drivers (though you can). Many commission-free ordering services integrate with delivery driver networks or offer delivery support for a flat fee per order instead of a commission. For instance, one platform’s “flex delivery” option charges about $7.98 flat rate for deliveries within 8 miles – the fee is the same whether the customer orders $20 of food or $100 of food. This flat rate covers paying a courier (often through a third-party fleet like DoorDash Drive or similar) to pick up and deliver the order, but the restaurant isn’t paying a percentage of the sale. In other cases, a restaurant might use its own staff for delivery and simply use the online system for order taking. The bottom line is that commission-free systems let restaurants avoid paying a percentage of each order to someone else. You pay a predictable flat cost (monthly subscription or per-delivery fee), take orders through your own site, and fulfill them either yourself or via an integrated delivery service. Essentially, it cuts out the middleman so that you’re in control of both the ordering process and the costs.

Benefits: Higher Margins & More Control

Switching to commission-free online ordering brings a host of benefits for restaurant owners. Here are some of the major advantages of moving away from third-party commissions toward an in-house or direct ordering solution:

• Significantly Higher Profit Margins: The most obvious benefit is keeping more money from each sale. If you’re no longer paying 15–30% per order to a delivery app, that portion stays in your pocket, greatly improving the margin on delivery and takeout orders. Over time, these savings are substantial – one commission-free ordering provider estimates it saved its restaurant clients over $640 million collectively by eliminating per-order commissions. In other words, every order that comes through your own platform is far more profitable than an order from a third-party app. Restaurants that “take back” their ordering see immediate cost savings (no 15–30% fee on every order) and thus higher profit on each sale.

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• Ownership of Customer Data & Relationship: When customers order directly from you, you get to collect and keep their information – names, contact info, order history, etc. All of this data is invaluable for marketing and building loyalty. With a commission-free system, “you own your customer data,” which means you can analyze ordering patterns, send out personalized promotions, and run your own loyalty or reward programs to encourage repeat business. This is a stark contrast to third-party platforms, where the marketplace sits between you and your customer. By keeping customer data in-house, you can stay in touch with your guests (for example, emailing a promo code to someone who hasn’t ordered in a while, or notifying fans of a new menu item). Ultimately, this helps increase customer lifetime value and frequency of orders. All the data collected stays with you – giving you new opportunities to market directly to patrons and build a loyal following.

• Better Control of Branding & Customer Experience: Using your own online ordering platform lets you present a seamless, branded experience to customers. They order via your website or app, seeing your restaurant’s branding and messages at every step, rather than a generic third-party interface. This keeps your restaurant top-of-mind – there are more frequent direct interactions with your brand, which helps it stay memorable. Moreover, you can control menu presentation, item photos, and the overall user experience to ensure it meets your standards. Studies show that a large number of consumers prefer to order directly from a restaurant for these reasons – in one survey, 74% of diners said they’d rather order direct so that their money goes straight to the restaurant (and they often feel they get better service). By owning the ordering experience, you can also ensure quality service: for example, you can communicate directly with customers if there’s an issue, set accurate delivery times, and avoid problems like closed-day orders or outdated menus that sometimes plague third-party platforms. All of this leads to higher customer satisfaction and loyalty, since patrons appreciate the smooth, direct service and knowing their order benefits the restaurant they love.

• Flexibility & Operational Control: An in-house ordering system gives you more flexibility to run your business the way you want. You can make instant updates to your online menu (if an item sells out or you want to add a special, you can update it in real time), set blackout dates or delivery radius limits, and adjust on the fly. There’s no need to rely on a third-party’s schedule or support. If you need to pause orders (for instance, a rush in the kitchen or a temporary closure), you can typically do so with your own system – something that’s difficult with third-party apps. Additionally, you have control over delivery strategy: you might choose to offer delivery only in certain areas or during certain hours, or toggle delivery on/off as needed. This kind of control can prevent the nightmare scenarios like orders coming in when you’re closed, or having to fulfill deliveries when you’re already over capacity. Overall, commission-free platforms put the power back in the restaurateur’s hands to manage online orders in a way that best fits their operations and profitability.

In sum, moving to a commission-free model lets restaurateurs reclaim their profits and their customer relationships. You’re no longer paying a steep toll to a middleman for each order, and you gain direct access to the people who love your food.

Choosing a Commission-Free Platform

If you’ve decided to take the leap toward commission-free online ordering, the next step is choosing the right platform or system for your restaurant. Not all online ordering solutions are equal – you’ll want to evaluate them on several key criteria to ensure you get the most benefit. Here are some factors and features to consider when evaluating commission-free online ordering platforms:

• Ease of Use (for You and Customers): The platform should be user-friendly on both ends. Ask for a demo or trial to see what the ordering experience is like for your customers – is it quick and convenient to place an order? A clunky interface can lead to abandoned carts. Also consider the backend: is it easy for your team to update menu items, set prep times, and manage orders? Look for features like real-time order notifications and simple menu editing. A good system will integrate with your existing website or allow you to create a branded ordering page/app with minimal hassle. For example, some solutions enable Order with Google or social media integrations, so that customers can find you and order in one click. The goal is to make ordering direct as easy as (or easier than) using a third-party app.

• Integration with Your Operations: Check if the platform integrates with your POS system, kitchen printers, and other tools. When an order comes in, you want it to flow into your normal order stream seamlessly. Some commission-free systems can sync with inventory management and point-of-sale, automatically updating stock levels or 86’d items on the online menu. Integration reduces manual work (no need to re-enter orders from a tablet) and ensures that online orders don’t cause confusion or double selling of items. If you use delivery services, see if the platform integrates with on-demand driver networks (more on that below) or mapping tools for delivery zones. Strong integration capabilities will make your life much easier.

• Pricing Structure and Fees: One of your main reasons for going commission-free is to save money, so be sure to understand the platform’s pricing model. Many direct-ordering providers charge either a flat monthly subscription, a fixed per-order fee, or some hybrid of both. There might also be setup fees or fees for add-ons (like a branded mobile app). Calculate what makes sense for your volume: a flat monthly fee might be ideal if you do a high number of orders (since your cost won’t increase with volume), whereas a small fixed fee per order could be workable for lower volume. The key is transparency and predictability – you don’t want any surprise charges. For instance, ChowNow (mentioned above) uses a flat monthly subscription, and other services like Toast’s built-in online ordering charge a flat delivery fee (around $6–$7 per delivery) instead of a percentage. Evaluate these costs against what you currently lose in commissions. A good commission-free platform should make financial sense by being markedly cheaper than paying 20% of each order. If the provider offers a savings calculator or ROI estimate, even better.

• Delivery Options and Driver Network: Consider how the platform helps you handle delivery logistics, if you plan to offer delivery. Some commission-free platforms are pure software – they let customers order, and then your staff handles making and possibly delivering the food. Others go further and help coordinate the delivery itself. For example, Sauce is a commission-free ordering platform that comes with an integrated delivery network – it provides unlimited access to drivers and an intelligent dispatch algorithm to get orders delivered fast. This means you don’t have to employ your own fleet; you can tap into their network of couriers when an order comes in. Importantly, Sauce charges no commission fees on those deliveries – instead, they use a flat-fee model (the restaurant pays a set rate for delivery, or a subscription that covers it). When evaluating platforms, ask: do they have a driver network or courier partnership? If so, what does it cost (flat fee per delivery, mileage-based fee, etc.)? If not, can it integrate with services like DoorDash Drive, Uber Direct, or local courier services? Choose a platform that aligns with your delivery strategy: if you want to handle delivery in-house, make sure the system supports printing driver tickets or notifying your driver; if you want outsourced delivery, look for built-in solutions like Sauce’s network or similar features. The ability to extend your delivery range via a partner network, without commissions, can be a huge plus for growing sales.

• Features and Marketing Tools: Beyond just taking orders, consider what extra features the platform offers to help you grow your business. Since one big advantage is owning customer data, see if the system has built-in marketing tools – for example, does it support automated email or SMS campaigns to past customers? Can you easily set up promotions or coupon codes? Some platforms come with loyalty program integration or CRM features to track customer frequency and reward them. These tools can save you time and help boost repeat orders. Additionally, look at features like customizable branding (can you use your logo, colors, and imagery so the ordering page feels like your restaurant?), analytics and reporting (will you get useful insights on top-selling items, order patterns, etc.?), and any unique capabilities that fit your concept (for instance, catering order support, scheduled orders for later, tipping options, or the ability to upsell items during the checkout process). A robust feature set can amplify the benefits of going commission-free by not only saving you money, but also helping you drive more sales.

• Support and Reliability: Finally, assess the provider’s customer support and reliability. You’re entrusting an important part of your business to this system – if it goes down during the dinner rush, you need quick help. Research reviews or ask the provider about uptime and support hours. Do they offer 24/7 support or a dedicated account manager? Is training provided for your staff? A good commission-free platform should be a partner in your success, offering guidance (for example, how to promote your new online ordering to customers) and being responsive to any issues that arise. Also consider ease of onboarding: how quickly can they get you set up and live? Some services can launch a basic online ordering site for you in days, especially if you already have a digital menu. Fast setup and strong support will make the transition smoother and set you up for long-term success.

Choosing the right platform may seem daunting, but investing the time to evaluate your options will pay off. Look for a solution that balances cost, functionality, and support in a way that fits your restaurant’s needs. Remember, the goal is to increase your margins and maintain control, so pick a platform that truly lets you “set it and forget it” with predictable costs and full ownership of your online business.

In conclusion, commission-free online ordering is a compelling path for restaurateurs who want to reclaim their profits and customer connections. By cutting out 15–30% commission fees, you boost your bottom line on every order. By routing orders through your own website or app, you stay in charge of the customer experience and build loyalty under your brand. And by choosing a strong commission-free platform (with the right features and support), you can smoothly handle online orders and deliveries without the downsides of third-party aggregators. The tone among many restaurant owners now is clear: it’s time to take back control. With higher margins and more control in your hands, commission-free ordering allows your restaurant to grow more sustainably – letting you serve your customers on your own terms, and keep more of what you earn in the process. It’s an encouraging prospect for the industry: by reclaiming profits and direct relationships, restaurants can thrive in the online ordering era without sacrificing what makes their business successful.