April 30, 2025
You pour your heart into every dish. You’ve built a menu you’re proud of, trained your staff well, and worked long hours to keep your kitchen running. But with every order, a slice of your earnings slips away.
For many restaurant owners, these fees aren’t just frustrating, they’re confusing. What exactly are you being charged for? And is there a way to make these numbers work in your favor without sacrificing reach?
Many restaurants like yours rely on third-party delivery apps like DoorDash, whose charges can directly impact the bottom line. Unclear or hidden fees can quickly eat into your profits, especially if your restaurant operates on thin margins.
This guide explains DoorDash's restaurant charges so you can manage the costs and maximize the value of your partnership with the platform.
Let’s dive into the specifics of how doordash charges restaurants and how it affects your restaurant’s finances.
DoorDash has become a key player in the food delivery space, offering restaurants a valuable opportunity to expand their reach. However, understanding how doordash charges restaurants and how fees are applied is crucial for you if you are looking to balance your restaurant growth with profitability.
This plan shows the commission charged by DoorDash based on the plans, so you can choose the one that best fits your restaurant’s order volume, delivery radius, and profit goals.
Every DoorDash order costs you more than just a commission. There are hidden delivery and marketing fees that quietly eat into your already tight margins. Here’s how they add up:
iOrders is a great alternative for restaurants as it has a commission-free model. They believe restaurants should own customer relationships and data without the burden of hefty commissions or third-party fees. iOrders operates on a fixed-cost model for all services, meaning there are no fluctuating delivery fees or commission percentages tied to individual orders.
In addition to the standard commission and service plan fees, using DoorDash may result in several additional charges that can further impact your profitability.
Extra cost to watch:
When you run promotions like “Spend $30, get $5 off” or offer free delivery, DoorDash charges:
To increase your restaurant's prominence in DoorDash's search results, you can invest in sponsored listings.
This pay-per-order model allows for flexible spending based on your marketing goals; however, this also adds one more layer to your marketing spending.
Integrating DoorDash with your Point of Sale (POS) system may involve additional costs: Fees depend on your POS provider and the specific integration setup
These fees are associated with the technical integration between DoorDash and your existing systems.
If a customer requests a refund due to issues like missing items or incorrect orders, DoorDash may:
This policy means that certain customer refunds can directly impact your earnings.
DoorDash invests in logistics, engineering, software, and hardware to maintain:
These behind-the-scenes operations are part of what you indirectly pay for through various fees.
Included with all DoorDash services. If you’re using Online Ordering, you pay for credit card processing.
To overcome these additional fees, iOrders gives you the tools to market smarter and spend less. With managed marketing services built into the platform, you can reach your customers directly through personalized messages, timely offers, and targeted campaigns without relying on third-party promotions that chip away at your profits.
Use real-time data to understand what drives your customers, keep them coming back, and grow their lifetime value. And because iOrder handles everything from digital promotions to direct online ordering, you cut out the extra layers of cost that come with platforms like DoorDash.
Beyond high commission rates, third-party delivery services come with hidden costs that quietly drain restaurant profits and customer loyalty
Hidden Costs to Watch Out For:
These long-term hidden costs are why many restaurants are reconsidering third-party apps altogether.
Exploring commission-free platforms like iOrders helps eliminate hidden costs and allows restaurants to fully own their customer relationships, pricing, and profits.
For restaurants seeking to avoid high commission fees and regain control over their customer relationships, exploring alternatives to third-party platforms like DoorDash is essential. iOrders offers a commission-free online ordering system that allows businesses to manage their menus, pricing, and customer interactions directly—eliminating the burden of hefty platform fees.
iOrders helps restaurants bypass expensive third-party fees with a direct ordering solution. This system lets restaurants own and nurture customer relationships directly, providing the ability to offer branded experiences for online orders.
With iOrders, restaurants can easily update their menu, set prices, and even offer promotions or discounts to encourage customer loyalty.
An in-house delivery solution gives restaurants complete control over their delivery operations, reducing dependency on third-party platforms. By managing their own delivery staff or integrating with a service like Delivery-as-a-Service, restaurants can eliminate commission fees on deliveries and save on logistics costs.
A direct ordering system, such as iOrders' white-label platforms, enables restaurants to accept orders directly from their customers through their own website or app. This system eliminates the middleman and associated fees, allowing businesses to retain all the revenue generated from online orders.
Moving away from third-party platforms like DoorDash and investing in alternatives like iOrders, with commission-free ordering and in-house delivery, can help restaurants retain a larger share of their profits and foster stronger, more direct connections with their customers.
Here’s how to survive DoorDash fees for now, but consider better long-term solutions like iOrders.
1. Optimize Delivery Zones and Utilize Marketing Tools: To reduce delivery costs, focus on targeting high-demand areas within your delivery zones. By narrowing delivery areas, you can limit fees associated with longer distances.
2. Employ Smart Pricing Strategies to Cover Fees: Consider adjusting your menu prices slightly to account for DoorDash’s commission fees. You can also implement tiered pricing, where higher-cost items absorb some of the service fees, allowing smaller items to remain affordable. This ensures your margins stay intact while still being competitive.
3. Encourage Direct Ordering Through Promotional Tactics: Promote your own online ordering system via QR codes, social media, or email marketing to encourage customers to bypass DoorDash. Offer incentives like discounts or loyalty rewards for orders placed directly through your website or app.
You have uncovered all the sections of this article, and now you have reached the concluding section.
Navigating the costs of third-party platforms like DoorDash can be challenging for restaurants, especially when factoring in high commission rates and hidden fees. Understanding DoorDash’s pricing structure and its impact on profits is crucial for making informed decisions. If you’re ready to stop relying on high-commission platforms and start owning the full customer experience, the chosen platform, like iOrders, can provide a more sustainable solution.
iOrder brings everything you need under one roof. With commission-free online ordering, your guests enjoy a seamless digital experience. You control your menu, your pricing, and your promotions.
From dynamic website and QR ordering to direct delivery through Delivery-as-a-Service, every touchpoint is designed to cut costs and put you back in charge. Book a free demo now!
Take the first step toward keeping more of your hard-earned profits.
