Navigating the Third Party Delivery Relationship: The Ins and Outs from a Practical and Legal Perspective
A presentation at the Florida Restaurant & Lodging Association (FRLA) Marketing & Operations Summit
In the food service industry, success is predicated on increasing revenue models by satisfying customer demand for more convenience through use of technology and social media platforms. In an effort to meet the demand, third-party food delivery services have become an option for many operators. The problem is figuring out if third party delivery partners are the right option for an operator, which platforms to partner with, and how to maintain control of the food quality and overall experience that provides ROI without having a negative effect on the brand.
Jacey Kaps and Suzanne Singer joined Skip Kimpel, Vice President of IT for Anthony’s Coal Fired Pizza to discuss the practical and legal ramifications to consider when deciding to partner with third-party food delivery platforms. Kimpel talked openly about the experience that Anthony’s had as an operator launching a more aggressive third-party delivery initiative and what they learned from the experience. He addressed the practical ramifications of off-premise food service and its potential impact on brand, marketing, growth and revenue while Suzanne addressed the best practices to insulate or reduce legal liability. Jacey Kaps moderated the discussion.
Some key takeaways from the discussion:
- Do not jump in to a partnership without fully considering infrastructure and business issues; the negative damage to brand may not be worth the temporary increase in sales.
- Drivers are an extension of your brand. Treat them as guests.
- Be sure to take control of your brand and ensure contracts cover issues such as data breaches, ownership and access to guest data, and food safety to name a few.
FRLA isa non-profit hospitality industry trade association whose mission is to protect, educate and promote Florida’s $111.7 billion hospitality industry representing 1.4 million employees. For more information, visit www.frla.org.