Mayor Stewart calls for delivery apps to cap service fees for restaurants

Mayor Stewart calls for food delivery apps to reduce service fees for restaurants

Vancouver Mayor Kennedy Stewart is calling on third-party food delivery apps to reduce service fees for restaurants.

The announcement was made on Thursday morning along with several additional calls to help struggling businesses and companies during the pandemic.

He argues that while home delivery and takeout services are vital for these restaurants, the cost of using apps such as Door Dash or Uber Eats is simply too high. In addition to a delivery fee, some companies charge as much as 30% in commission.

“Businesses across the city need more help with trimming costs and maximizing revenues,” Stewart told reporters.

“Third-party delivery apps have played an important role in connecting restaurants and customers, yet this connection comes at a very high cost,” he continued.

“Today, I am asking delivery app corporations to do their part to help restaurants and cafes stay afloat through these unprecedented times.”

The mayor says that he wants these apps to temporarily cap their fees at “no more than 15%.” If there’s no action taken, Stewart said he’ll bring the matter to higher levels of government.

“If delivery apps refuse to do their part, I will work with senior governments to explore how we might regulate these companies and ensure these fees are fair,” he says. “In many cases, for many establishments, this small change could mean the difference between our favourite restaurants staying open or closing forever.”