In essence, the primary source of income from food delivery apps is commission fees. So let’s dive deeper into how Grubhub earns money.
Grubhub charges a commission fee from the partnered restaurants on each order. Also, it collects a fee amount from the customers when they place an order through the app.
In a wider view, it collects a 10% base commission fee and 3.05% processing fee along with an additional sum of $.30. Moreover, restaurants have to pay an extra commission of 20% for having a better position in the listing.
Five types of commission fees are pertinent to Grubhub’s model. It includes the following.
It would be good to consider these monetization strategies while developing your Grubhub Clone app. it is up to your decision to set the commission percentage. Make sure to set a competitive price so that your target users do not have a second thought of going ahead with other food delivery apps.
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