Delivery platforms in Switzerland: what is really left of an order

The calculation per order

An order on eat.ch, Uber Eats, Smood or Wolt runs through the same chain of deductions. The order is always the same, the amounts depend on your contract.

1. Order value. What the guest pays in the app, without delivery fee and tip.
2. Platform commission. According to public reports, Swiss platforms charge roughly 12 to 18 percent when you deliver yourself and up to 30 percent when the platform delivers. Your own contract is the only number that counts. Check there whether the commission is calculated on the order value with or without VAT.
3. Food cost. The purchase value of the ingredients, often higher on delivery orders than in the dining room because portions and sides tend to be more generous.
4. Packaging. Boxes, bags, cutlery, seals. Usually between 1 and 3 francs per order.
5. Promotions. Discounts, free delivery above a minimum order, two for one. On most platforms the restaurant carries the discount in full or in large part.
6. Ads on the platform. Sponsored placements, paid per click or per order.
7. Preparation. The minutes in the kitchen, valued at the hourly wage including on-costs.

What is left after point 6 we call contribution margin I. After point 7 it is contribution margin II. Both numbers belong on one line per location and platform.

A worked example with sample values

The figures below are sample values, not contract data. Replace them with your own.

Of 42 francs, 6.30 francs remain in this example before rent, power and administration are paid. Now you can see what a promotion means: a 10 percent discount on this order costs 4.20 francs. Contribution margin II drops from 6.30 to 2.10 francs, by two thirds. The promotion therefore has to bring at least three additional orders that would not have happened without it, or you lose money.

The same logic works in reverse. One franc less packaging or two minutes less preparation per order is 2,000 or 2,100 francs a month at 2,000 orders, location by location.

Five levers that move the contribution margin

You rarely negotiate the commission. The rest is yours. These five points change the calculation most in the networks we see.

1. Prices on the platform

Many operators copy their dine-in prices into the app one to one. But the platform costs 12 to 30 percent more than the guest at the table. Check whether your contract requires price parity. If it does not, the platform price list deserves its own calculation, item by item, with an eye on the competitors in the same segment. The question is not whether you may charge more, but on which items the guest accepts it.

2. Minimum order and delivery fee

Both steer the average order value. A minimum order of 25 instead of 20 francs lifts the average but costs small orders. Which option brings more contribution margin only the calculation per location can tell. In a student neighbourhood the answer differs from the business district.

3. Promotions only with proof

Every promotion needs its own calculation: discount cost against additional orders, measured against the previous weeks without the promotion. A promotion that mainly lets regulars buy cheaper creates revenue and destroys margin. Our rule with clients: promotions without proof get stopped, not discussed.

4. Availability

An item that sits offline costs orders, and a location that pauses during the rush costs ranking. On eat.ch you can only see offline items per location, not across the network. That is why you need one overview every morning that shows every location on every platform. With twelve locations on three platforms that is 36 lines, and someone owns them.

5. Delivery time and rating

The apps sort by what guests do after the meal: order again and rate. Delivery time and rating average help decide where your location appears. In a network of twelve locations the average delivery time fell from 45 to 32 minutes within three months and the rating average rose from 3.2 to 4.8. Revenue grew by 33 percent in the same period, with the same kitchens and the same prices. That is a measured client result, not a promise of the same outcome.

Location by location, never the average

The most common mistake in restaurant groups is the average. A network with 20 percent contribution margin on average usually has three locations at 30 percent and three at 8 percent. The measures for these two groups differ: the first need more orders, the second need prices, packaging and preparation time. That is why we group locations by pattern and give each group its own plan instead of one rule for all.

Check it every week, not every quarter

The calculation above is a snapshot. Commissions, promotions and availability change weekly, so the number has to be on the table weekly. Thirty minutes on Monday are enough when the data is prepared: contribution margin per location and platform, deviation from the previous week, one owner per number, one decision per deviation. Which seven numbers that takes is covered in our article on the weekly numbers for restaurant groups.

Checklist

• Contribution margin I and II per order are known for every location and every platform.
• The platform price list is calculated separately, not copied.
• Every promotion has a calculation with discount cost and additional orders.
• Offline items and paused locations are checked daily across all platforms.
• Delivery time and rating appear per location on the weekly review.
• Locations are grouped by pattern, and each group has its own plan.