As online ordering continues to grow, restaurants face a big question:
Should you focus more on pickup or delivery?

While both can generate revenue, they’re not equally profitable — not even close. In 2025, as labor shortages and delivery app fees increase, choosing the right strategy can drastically impact your bottom line.

Here’s a clear, data-backed breakdown to help you decide.

1. Delivery Sounds Convenient — But It’s Expensive

Most restaurants partner with DoorDash, Uber Eats, or Grubhub for delivery. And while these platforms bring visibility, delivery margins are extremely thin due to:

• 20%–30% commissions
• Additional “marketing fees”
• Higher menu prices
• Driver fees
• Packaging costs
• “Pay to play” boosts inside apps

On a $40 delivery order, restaurants often keep as little as $20–$26 after commissions, packaging, and higher food costs.

And if you run your own delivery staff?

• Payroll
• Insurance
• Mileage
• Scheduling
• Training
• Mistake/complaint risk

Delivery becomes complicated and expensive.

2. Pickup Orders Are Dramatically More Profitable

Pickup orders are hands-down the most profitable online ordering channel:

Why?

✔ $0 for drivers

You don’t pay for drivers or mileage reimbursements.

✔ Lower packaging costs

Pickup uses lighter, cheaper containers compared to delivery-grade packaging.

✔ More accurate orders

No middleman = fewer mistakes.

✔ Higher customer satisfaction

Food quality is better with zero transit time.

✔ Zero or minimal fees

With Savvory, restaurants pay no commissions — ever.

✔ Customers prefer pickup when ordering direct

Local guests hate paying delivery fees. Pickup offers the perfect balance of convenience and affordability.

Restaurants typically earn 20%–35% more profit on pickup orders vs delivery.

3. Pickup Encourages Repeat Customers

Delivery apps keep customer data secret — so repeat business goes through DoorDash, not you.

With Savvory:

• You get customer contact info
• You can offer loyalty points
• You can reward repeat orders
• You can promote specials and slow-day deals
• Customers can re-order with ease

The result?
Higher lifetime value. More direct orders. More profit.

4. Delivery Apps Work Best for Discovery — Not Repeat Business

Here’s the truth many owners overlook:

Delivery platforms are great for:

• New customer exposure
• Serving customers far from your location
• Occasional high-volume nights

But they’re terrible for:

• Profit margins
• Customer loyalty
• Repeat orders
• Long-term sustainability

The winning formula for 2025 is simple:

👉 Use third-party apps for discovery
👉 Use your own commission-free system (Savvory) for repeat orders + pickup

5. The Customer Experience Is Better with Pickup

Delivery introduces problems you can’t control:

• Late drivers
• Spilled food
• Cold meals
• Wrong address
• Missing items
• Driver substitutions

Pickup eliminates 90% of these issues. Guests get:

• Fresh food
• No fees
• Short wait times
• A smooth ordering experience
• A chance to interact with your staff

Better experience → better reviews → better profits.

6. So Which Should Your Restaurant Focus On?

Delivery

Good for occasional orders, bad for profits.
Better for reach, not retention.

Pickup

Best for profitability, customer satisfaction, and long-term success.

The winning strategy:

Drive as many customers as possible to your own pickup-powered, commission-free ordering channel.

Savvory’s system is built for exactly this — lowering your costs while boosting your online order volume.

Want to Increase Your Pickup Orders?

If you want help building a smarter online ordering strategy, we can walk you through exactly how Savvory improves margins and boosts customer loyalty.

👉 Book a Savvory Discovery Call
👉 Learn How Savvory Works