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Third-Party Delivery Service - Threat or Opportunity: Part II

In a previous post, I shared information on third-party delivery services and some issues caterers might face when using these services. Clearly, there can be a number of challenges when using third-party delivery series; however, some forms of delivery are here to stay and it may just make sense for you to get with the program in a way that benefits you while cutting possible risk, exposure and damage to your reputation.

So how do you do that?

Start a new company division. Give it a new name, a different phone number, unique domain, and a menu tailored to fit the parameters of the third-party delivers. When setting prices, build in a 15% commission. That takes care of any wasted time negotiating commissions with any of the providers.*

If they deliver your order late, your regular customers will never know it was you.

If a regular customer suddenly tells you they now have to order through Seamless only, you can send them to your new division.

There may also be some interesting added benefits. You may be surprised when your new business competes directly with your existing company, and you may gain insight into the way your clients put catering services out for bid.

This concept is not new, as plumbers, electricians and pest control services have been using it for years. And while it will obviously take some work to set up properly, this method will stop any agonizing about these third-party services. You can keep your existing catering business pure and separate and at the same time you can totally embrace this new technology. Now that actually may be the best of both worlds!

 

Michael Rosman is founder of The Corporate Caterer, a membership website, training and consulting company for caterers and restaurateurs and who want to launch, or grow  their corporate drop-off catering business. Michael has over thirty years of experience in the industry and has built an almost two million dollar a year corporate drop-off catering operation from the ground up. Michael can be reached directly at: [email protected]

Michael Rosman

Michael Rosman

Owner/Founder, The Corporate Caterer, Boston, MA

Michael Rosman is the founder of TheCorporateCaterer.com, a consulting, coaching and lead generation company for businesses that aspire to take their corporate catering business to the next level or start a new division. He is also a Senior Consultant with CertifiedCateringConsultants.com. He can be reached at [email protected].