FoodtoEat: Where We Began and Where We’re Going

By Emily Collins 

As you may have noticed, we are undergoing a few changes here at FoodtoEat! Our new website is another step to help our mission of making online food ordering as easy as possible. In 2012 our CEO, Deepti Sharma Kapur, felt her stomach growling, went to get food and realized how long the line was at her favorite food truck. They say it only takes one spark to start a fire (or in this case, a growl to start a roar) and Deepti took advantage of this hunger and started something great.

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Valducci’s Pizza | Photo credit: Sulav Darnal

As we embark on a new chapter in our business, we want to bring it all back to where it began and what we continue to strive for. FoodtoEat, at its very core, is about social responsibility. We want our vendors to thrive in a business that can be dangerously competitive. Our mission is to help local restaurants, food trucks and caterers get more business by putting their products online and ready to order at the tips of your fingers. While our competitors are charging 15-18% per order, we only charge 10 cents – you can order knowing you’re putting money back into the vendors’ pockets. New York City is a bit of a food mecca; keeping the food culture alive is important and taking large amounts of money from hardworking vendors is not a way to do that.

Not only do we give our vendors an easy online ordering platform, we also provide them with corporate catering connections. By signing up with FoodtoEat, vendors and clients have the chance to be a part of our growing concierge catering service. Unlike your typical online food ordering service, we help our vendors flourish by exposing their food to offices around the city. We also help our clients by bringing incredible food to their offices. Whether it’s an ice cream bar, build your own burger or a food truck directly to your office, we’re always finding ways to help our vendors cater to our awesome clients like Tumblr and Hulu.

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Ordering with friends made easy on our new website.

Because of our connections and low fees, we are able to make online ordering not just easier on the vendor, but for the customer. This month, we launched our brand new website that features social ordering.

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Split the bill at the press of a button!

How many times have you wanted to order food with a friend and splitting the bill is an absolute disaster? We’ve solved that. You can invite your friends into an order from different computers and you can buy delicious food together.

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Our new chat feature lets you interact with people while you’re ordering together.

At the end of the order, all you need to do is click a “split bill” button and voilà! You no longer need to walk to Duane Reade and buy a pack of gum to break your $20. You can order from your office computer with co-workers or on your iPad in your dorm, it’s just as simple as the click of a button.

At the end of the day, we want to make online food ordering the best it can be. Help us feed you by ordering today.

For the launch of our new website and social ordering feature, we are running a promotion. Invite your friends, family, co-workers, dogs, anyone to order with you and you can receive 20% off the entire order!

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Join the party! Make a social group order with your friends and receive 20% off the entire order.

DailyFoodtoEat is the official blog of FoodtoEat, a sustainable online food ordering and concierge catering service featuring your favorite restaurants, food trucks and caterers. Check out the deliciousness here: www.foodtoeat.com

 

Grubhub – Seamless … is it really happy eating?

You’ve ordered from Seamless and are eagerly rubbing your chopsticks together while waiting for your dynamite roll and edamame to arrive.  The doorbell rings and it begins to feel like Christmas, but is it really happy eating?

Grubhub-Seamless appears to be a godsend to the customer; you can quickly and easily order from your favorite restaurant and wait for your glorious food to arrive.  We know you paid $12.36 for that Pad Thai, but what are the other costs involved in ordering?

taking candy from a babyLike taking candy from a baby, Grubhub-Seamless charges restaurants between 10%-20% per order.  That might sound like chump change to you, but to a business whose margins are already low, it’s like $1 billion. The average profit margin is 6% per meal.  Doing simple math at a rate of 10% – 20%, many restaurants are losing out.  You might be thinking, “why is this my problem?” or “restaurants should just adjust prices accordingly”.   It is your problem because your favorite Chinese takeout could go out of business due to paying high fees in a business that already has low margins.  Raising prices doesn’t work either.  Yes, you might be okay with paying a little more, but typically when the price increases, the demand decreases – so there goes the customers.

Grubhub-Seamless also has a few questionable business practices.  Let’s put aside the fact that there merger has been questioned by local and federal governments and focus on their pricing strategy.  Grubhub-Seamless charges a higher percentage the more business a restaurant gives them.  Pedro Munoz, owner of Luz in Brooklyn, cut ties with Grubhub-Seamless when his fees rose from 10% to 14% after his monthly orders increased to over $10,000. tubesocks

Everyone knows that prices go down when quantity increases.  For example, what is the cost per pair when buying  a 4 pack of your favorite tube sock versus buying one pair?  CHEAPER! We know this, so why doesn’t Grubhub-Seamless work the same way?

power in our handsThe good news is that as a consumer, the power is in YOUR hands. And we at Foodtoeat.com, are right there beside you. We really are all about the restaurants we work with and the customers we serve.  That’s why we only charge $0.10 an order, which usually comes out to less than 1% of the order.  We want restaurants to keep their profits and be able to pass on deals to you.

By having a sustainable model for online ordering, we enable restaurants to focus on what’s important, the customer – YOU.

DailyFoodtoEat is the official blog of FoodtoEat, a sustainable online food ordering and concierge catering service featuring your favorite restaurants, food trucks and caterers. Check out the deliciousness here: www.foodtoeat.com

Sources:

Marritz, Ilya. “Food Delivery Hits The Web, But Restaurants Pay The Price.” Npr.org. Npr.org, 12 Aug. 2013. Web. 26 Sept. 2013. http://www.npr.org/blogs/thesalt/2013/08/12/211187343/food-delivery-hits-the-web-but-restaurants-pay-the-price

Brustein, Joshua. “Seamless and the Online-Takeout Trend Are Making Restaurants Queasy.”Businessweek.com. Bloomberg, 7 Aug. 2013. Web. 26 Sept. 2013. http://www.businessweek.com/articles/2013-08-07/seamless-and-the-online-takeout-trend-makes-restaurants-queasy

New York State Office of the Attorney General. Media Center. A.G. Schneiderman Announces Settlement With Seamless And Grubhub To Ensure Competition In Online Food Ordering. Http://ag.ny.gov/. 5 Aug. 2013. Web. 26 Sept. 2013. <http://ag.ny.gov/press-release/ag-schneiderman-announces-settlement-seamless-and-grubhub-ensure-competition-online

Wagstaff, Keith. “Why Ordering Online from Your Favorite Restaurant Could Be Killing It.”Theweek.com. The Week Publications, 7 Aug. 2013. Web. 26 Sept. 2013. http://theweek.com/article/index/248015/why-ordering-online-from-your-favorite-restaurant-could-be-killing-it