How to set Delivery Fees

Learn how our system helps you pass delivery costs on to guests

With Dine.Direct you have the option to set your delivery fees. This comes in handy to make sure you're not losing more money than you are earning.

Whether you decide to use a 3rd-party delivery integration service or your own drivers, you can set an amount of money to be charged to your customers when they buy food from your restaurant.

For current Postmates/Uber users, please check the following link to learn more about their current pricing (click here to see Postmates pricing)

Let's get started!

Setting delivery fees

On your Restaurant Management Dashboard go to Client Settings > More > Fees & Gratuity

Right on top, you'll find the delivery fee table:

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The first choice you have is how the travel distance will be measured. Select one of the following:

  • Direct Distance: The distance between you and your guest is measured like a bird's flight. Just a straight line joining point A to point B. Some people like to make sense of direct distance as a radius distance. 
  • Road Distance: The distance between you and your guest takes into account the actual road a courier needs to travel to get to the destination. The system uses an estimate provided by Google Maps that makes a calculation after the customer enters their delivery address.

Then, you'll need to fill out some values on the fee board. Let's break down the meaning of each item and how to make sense of the calculation. You can click the blue pencil icon 2021-10-14_16-09-18 to edit the current values.

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Note: Distances and dollar amounts are calculated with two decimals

From left to right:

  • Miles Max: This is the maximum distance limit you will cover.
  • Miles Included: This is the number of miles that will be included in the Base Charge 
  • Base Charge: A fixed delivery charge that will be applied for the first X number of miles, where X is Miles Included
  • Per Mile: This charge will only impact the remainder of the miles. By remainder of miles we mean the 'Total delivery distance' minus Included Miles.

Are you more of a formula kind of person? Here's how the system performs the calculation:

Delivery fee = Base Charge + Per Mile charge * (Distance to guest - Included Miles)

You can click the Add Delivery Fee button to further customize your fee schedule. In any scenario, don't forget to push the Save Details button in the bottom right.

An Example

Restaurant A delivers to an area that has a 4-mile radius. The delivery is free for the first mile, and then they'd like to charge 2 dollars for every mile above that. Here's how this setup should be implemented:

  • They selected Direct Distance, which matches their idea of a 'radius' around the store.
  • In Distance Max, they entered 4.00 miles.
  • Base Charge was set to $0.00
  • Distance Included was set to 1.00 miles.
    • Up to this point, we have implemented the first mile free of charge. The calculator will apply a Base Charge of zero dollars for the first Distance Included (1.00 mi).
  • Per Mile was set to $2.00

Sample calculation: If a guest is located 3.52 miles away from the restaurant, the delivery fee to be paid will be:

Delivery fee = Base Charge + Per Mile charge * (Distance to guest - Included Miles)

In this case:

Delivery fee = $0.00 + $2.00 * (3.52 mi - 1.00 mi)

= 0 + $2.00 * 2.52 mi

= $5.04