Business Study
he 1980s saw a revolution in the pizza delivery business. As the number of dual-income families and the length of the average workday increased, personal time became scarce. Insightful entrepreneurs cashed in by delivering pizzas to people who had neither the time nor the desire to go out or cook at home. This market for food delivery is still growing at a fantastic rate, but now the public wants more than pizza. Food delivery services that offer a wide range of hot and fast meals are just beginning to take off.
Food delivery services vary in their size and complexity. Some are fully computerized, with company-owned, radio-dispatched vehicles, and serve 300 meals per day with upwards of 60 full- and part-time employees. Others are small operations with a few drivers and one person answering the phone.
In each case, the basics of the operation are the same. The delivery service contracts with local restaurants to deliver their food. The service receives a discount on the food (usually 25 percent to 30 percent off) and then delivers it at the regular menu price plus a $3 to $5 delivery charge. Drivers usually have a two-way radio in their car so they can go from one delivery to another without having to come back to the office until the night is over.
Turning To Takeout
According to successful owners, no one type of food dominates the market. Some report a slight edge to traditionally American foods, such as burgers, steaks, and pizzas. According to a survey by the National Restaurant Association, pizza makes up 36 percent of the take-out market while sandwich restaurants (including hamburger restaurants) account for 27 percent. These two combined account for almost two-thirds of all take-out food sold. What sells the best in your area will depend on the tastes of your clients, but you should definitely try to work with a broad range of restaurants.
All of the delivery services we contacted...
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