DoorDash for Restaurants: Your Guide for Discovery & Profit

If you're a restaurant owner looking to expand your customer base, partnering with DoorDash for restaurants can be a game-changer. As the leading food delivery service in the United States, DoorDash has experienced remarkable growth in recent months, capturing over 67% of the market share in the U.S. food delivery space as of March 2024.

This positions DoorDash well ahead of its competitors, with Uber Eats holding the second highest share at 23%, according to Statista. Such an impressive expansion shows no signs of slowing down, with DoorDash continuing to add new markets, launch innovative features, and attract more customers to its platform daily. 

For your restaurant, this growth translates into unique opportunities to reach a broader audience, increase sales, and strengthen your online presence. In this guide, you'll discover how DoorDash works for restaurants, the benefits of partnering with this fast-growing platform, and actionable tips to optimize your operations and boost profitability. 

What is DoorDash and How Does DoorDash Work for Restaurants? 

DoorDash is a delivery platform that allows customers to place orders for delivery or pickup from various businesses, including restaurants, grocery stores, liquor stores, and other B2C businesses. Since its founding in 2013, DoorDash has grown exponentially, operating throughout the United States, Canada, Europe, Australia, Germany, and Japan, with plans for further expansion into other European and Asian locales.

The company uses an algorithm that considers the number of Dashers (drivers) in an area, the distance to the delivery address, and the time required to deliver the food delivery orders to ensure efficient service. For restaurants, this means access to a vast customer base with minimal investment in delivery infrastructure. 

To better understand how DoorDash integrates with your restaurant's operations, it's helpful to know how online ordering systems work and how delivery services can streamline your processes.

Benefits of Partnering with DoorDash 

Partnering with DoorDash can significantly improve your restaurant's visibility and profitability by providing access to a larger customer base. Here are three of the key benefits: 

1. Increased Sales: DoorDash can help restaurants reach new customers and generate more sales, even if they don't have a dedicated food delivery service. 
2. Marketing Support: DoorDash offers various marketing tools, such as DashPass and promotional campaigns, to enhance your restaurant’s visibility on the DoorDash marketplace. 
3. Operational Resources: DoorDash provides a range of resources, including a business manager app and customer support, to help you manage your delivery operations efficiently. 

Setting Up and Optimizing Your DoorDash Menu 

After reading about these benefits, you may think: “How do I set up DoorDash for my restaurant?” To start on DoorDash, share basic information about your restaurant via the DoorDash Merchant Portal. You must provide your restaurant name, location, phone number, and other relevant details. Here's how to optimize your DoorDash presence: 

1. Upload Your Menu: Upload your menu by providing a link, PDF, or image. Ensure your menu is clear, concise, and easy to navigate. Don’t forget to include photos, as they motivate the customers to place orders. 
2. Set Up Order Protocol: Choose how you’ll accept orders—by email or tablet. Specify your store hours to ensure customers know when your restaurant is available for delivery and pickup. 
3. Optimize Your Menu for Search: Use relevant keywords and descriptive names to make your items more discoverable in the DoorDash app. 

This initial setup is critical to ensure your restaurant is easy to find and appealing to customers browsing the app. 

Using the DoorDash Tablet to Streamline Operations 

The DoorDash tablet is a powerful tool that allows restaurants to receive and manage orders in real-time. With the tablet, you can: 

• Confirm or Cancel Orders: Quickly manage incoming orders to keep operations running smoothly. 
• Communicate with Dashers: Coordinate with delivery drivers to ensure timely delivery. 
• Track Orders and Manage Your Menu: Use the tablet to monitor active orders and adjust your menu on the fly. 

By using the DoorDash tablet, you can minimize errors and improve order accuracy, leading to successful delivery operations and higher customer satisfaction. 

Registration and Setup for DoorDash Restaurants 

DoorDash makes it easy for new restaurants to join the platform: 

1. Register Your Restaurant: Visit the DoorDash website and sign up. You must provide basic details like your restaurant name, address, and contact information. 
2. Choose Your Service Plan: Decide which service plan aligns best with your goals. DoorDash offers various plans with different fee structures and levels of marketing support. For new restaurants in the U.S. and Canada, DoorDash Basic partners receive a 7-day free trial, while Plus and Premier partners receive a 30-day free trial. During the trial period, delivery and pickup commissions are 0%, and there are no tablet fees, allowing you to test the platform and choose the partnership plan that works best for your business. 
3. Set Up Order Management: Determine how you will receive and manage incoming orders, either through a tablet, POS integration, or manually. Be aware that some plans may require an activation fee to get started. 

For more information about optimizing your online ordering efforts for profitability and customer lifetime value, check out our Online Ordering Guide. 

Tips for Success on DoorDash 

To maximize your restaurant’s success on DoorDash, consider these three tips: 

1. Select Delivery-Friendly Dishes: Choose menu items that travel well to ensure customer satisfaction and positive reviews. 
2. Monitor Orders Closely: If not using a POS integration, keep a close watch on incoming orders to avoid delays. 
3. Automate with POS Integration: Integrate DoorDash with your POS system to streamline the order process and reduce manual entry errors. 

Check out our post on how to get started with an online ordering platform for a detailed guide to launching your own.

Managing Fees and Commissions 

Understanding DoorDash’s fee structure is crucial for maintaining profitability. Depending on the agreement signed, DoorDash charges commission costs ranging from 10% to 30%. 

• Pickup Orders: If you’re wondering how much DoorDash charges restaurants for pickup, the base rate is 6%. Commission fees start at this rate for pickup orders, a cost-effective way to attract local customers. 
• Delivery Orders: Commission fees for delivery range from 15% to 30%, depending on your chosen plan. 
• Flat Fee Option: DoorDash also offers a flat-rate service fee per order, ranging from $6.99 to $10.99. Additionally, a processing fee may be applied to cover transaction costs. 
• Direct Deposit Fee: DoorDash also applies a direct deposit fee for restaurant owners who choose to receive their payments directly to their bank accounts. 

You must compare fees across different third-party delivery apps, such as DoorDash vs. Uber Eats for restaurants, to find the most cost-effective option for your business.  

To learn more about managing delivery costs effectively, read our article on how to reduce restaurant costs with online ordering. 

Pickup Ordering and Other Features 

Offering a pickup option through DoorDash can attract customers who prefer to collect their orders, allowing you to save on delivery fees. Here are some features to consider: 

• Pickup Option: Only pay a 6% commission per pickup order. 
• DoorDash Drive: Use Dashers to fulfill delivery orders placed on your own website or app and take advantage of the extended network of DoorDash partners. 
• Bbot: A QR code tableside software that simplifies the ordering process for both staff and customers. 

Integrating with Your Point-of-Sale System 

An integrated point-of-sale (POS) system is essential for seamless order management. By connecting DoorDash to your POS, you can: 

• Automate Order Processing: Automatically transfer incoming orders to your POS, saving time and reducing errors. 
• Improve Efficiency: Free up your staff to focus on preparing food and serving customers instead of manually entering orders. 

Promotional Opportunities and DashPass 

Maximize your restaurant's visibility by joining the DashPass program. DashPass offers: 

• Prominent In-App Placement: Get a branded checkmark next to your restaurant’s name, increasing trust and visibility. 
• Exclusive Benefits for Customers: DoorDash customers with a DashPass subscription enjoy $0 delivery fees and reduced service fees, encouraging more frequent orders. 

Restaurants that partner with DashPass often see increased order frequency and higher average order values. 

Troubleshooting and Support 

DoorDash offers a variety of support options for partner restaurants: 

• Order Manager App: Use this app to manage your menu, track orders, and communicate with Dashers. 
• Customer Support Team: Available 24/7 to assist with any issues or concerns, ensuring smooth operations. 

These resources help you quickly resolve problems and maintain a high quality of service. 

The Bottom Line 

Partnering with DoorDash offers numerous benefits for restaurant owners looking to grow their sales, reach new customers, and improve their online presence. By following these best practices and leveraging the tools and resources provided by DoorDash, you can position your restaurant for success on the platform.  

With the right strategy and support, DoorDash can become a powerful tool in your restaurant's growth journey. Explore more about online ordering and its benefits for your restaurant by downloading our Online Ordering Report 2024.