Rockdale Restaurant Owners on Why Delivery Apps Aren't Enough Anymore


The lunch rush at a Rockdale Thai restaurant looks different than it did five years ago. Fewer tables occupied, more delivery drivers waiting by the counter.

But owner Somchai Phetphong has started pushing customers away from apps like DoorDash and Menulog—toward ordering directly from his own website.

“The delivery fees eat everything,” he explains. “I make $2 on a $30 meal if they order through the app. Through my website, I keep $8.”

He’s not alone. Several St George restaurant owners are rethinking their relationship with food delivery platforms.

The Platform Economics

Third-party delivery apps typically charge restaurants 25-35% commission on each order. For a business already operating on thin margins, that’s often the difference between profit and loss.

A Kogarah cafe owner who asked not to be named showed me the numbers: her average ticket is $22. The platform takes $7.70, payment processing takes another 80 cents. After food costs and packaging, she nets about $3 on a delivery order versus $9 on the same order picked up in store.

“We can’t stop doing delivery because our competitors are on there,” she said. “But every delivery order feels like we’re paying rent on a building we don’t own.”

The Direct Alternative

Several local businesses are investing in their own ordering systems. The technology has gotten simpler—platforms like Square, Toast, and Gloria Food offer website ordering integration for a flat monthly fee rather than per-order commission.

A Miranda pizza shop switched to direct ordering last year and reports about 30% of their delivery orders now come through their own system. They promote the direct option aggressively: flyers in every delivery bag, social media posts, a small discount for direct orders.

“It took about six months to shift behaviour,” the owner said. “But the customers who order direct tend to be regulars anyway. They’re happy to use our app.”

The Delivery Dilemma

Not every restaurant can escape the platforms entirely. Discovery matters—people browsing Uber Eats at 7pm aren’t going to your website. For new customers, the platforms remain valuable.

The question is whether platform orders lead to repeat business or just rent the customer for one transaction.

A Sans Souci sushi restaurant runs dual strategies: stay on the platforms for discovery, but train staff to include “order direct next time” messaging with every delivery. Their direct ordering percentage has climbed from 5% to 22% over 18 months.

The Technology Gap

Smaller restaurants often struggle with the technical aspects of setting up direct ordering. Building a website, integrating payments, managing an ordering system—it’s not what they signed up for when they opened a restaurant.

Georges River Council has discussed digital literacy programs for local businesses, though nothing concrete has been announced. Some local restaurants have hired teenagers or university students to handle their digital presence.

The Broader Trend

This isn’t unique to St George. Restaurant associations nationally report growing frustration with delivery platform economics. The Australian Financial Review has covered multiple restaurant groups building proprietary ordering systems.

For local diners, the message from many favourite spots is clear: order direct when you can. The restaurant keeps more, you often get a better deal, and the local business is more likely to survive.

Something to think about next time you’re choosing between the app icon and the restaurant’s own website.