What is the Real Cost that Online Ordering Companies Charge?

15% is just the Start - The real cost is hidden beneath

CurrentLVL is a complete web solution for local restaurants. We deeply encourage the convenience of online ordering. The math just does not work paying high commissions and giving up your customer base.

✓ It’s all fun and games when you have 30 - 40 daily online orders upon your grand opening, you hire more drivers, more preps to handle all that business. But that 20% fee was never part of your operational expense. You receive your $30,000 check from all those orders the month before which included a cost of $6,000 to the company providing the orders. But it’s okay, it’s still a check for $30,000. Until 6 months in, you realize your business is costing you money. Your business which is supposed to make 2 - 6% profit on the revenue, is losing around 10% each month. A $100,000 revenue a month establishment is actually losing $10,000 per month. Now the business squirries along and tries to fix the problems.

✓ Your cancel your account with a 3rd party online ordering: Google displays you as closed when a customer tries to click it

✓ You raise your prices online - Customers get a bad taste

✓ In reality we go back to the plan. Operating your restaurant like we mentioned many times over and over is just like any business (of course, much different tasks, much more labor intensive), but every business has it's own costs. Unfortunately restaurants don’t see a real live cost in front of them on a per item or per order basis.

A liquor store knows the price of the bottle, they definitely cannot sell it at 20% under mark up and stay profitable, or even pay their bills

✓ Restaurants should know the exact price of their service as well. Yes your food cost is only 30% or so, but the labor, insurance and fixed costs to get that food out the door is around 95%. If your restaurant is only collecting 80% on each food order, you are virtually at a loss of 15% on every single order

✓ Losing money on every order is just one cost of Online Ordering Portals - this is actually okay in business practice, if you are growing your customer base. That's right we are in favor in losing a bit on an order to gain a customer, it could be a cost of marketing and advertising expense. But this statement only holds true when you are losing revenue on the order to gain a customer, if you never gain that customer and you continue to serve this customer through a 3rd party, you are losing money on every order without actually growing that customer. If your plan does not entail of converting the customer to a direct solution, then this plan is not working and should not be part of a business plan. The next point goes into how important it is to have your own direct customers.

✓ The most important loss that is nearly irrecoverable is the loss of customers. You are virtually giving away the key to the heart of your business. These customers are NOT your customers, even though they “ARE”. It’s not only the cost of having a silent partner taking your profit and putting you in the negative. It’s literally forcing you to work for this 3rd party company.

Create your own solution, keep your customers, Current Level will help you for one low price of $120 a month keep everything internal and connect with your customers directly. We don’t want to seem to have such a great focus on our solution. But the reason this company was created was this real reason, watching so many restaurants go under, new businesses and even established ones. That we confidently say our all in one package is the bridge between restaurant success and failures. We have actually been offering these same products independently for many years, some restaurants would choose our Ordering, others would have a simple website, we created this affordable package for this specific reason.

CurrentLVL is a complete Web Solution for Restaurants (Site, App, Ordering) View Chart of all features include

 

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