top of page

5 Signs Your Catering Program Has Outgrown Marketplace Delivery

  • Feb 10
  • 6 min read

When you first started offering delivery for catering orders, partnering with a marketplace platform seemed like the obvious choice. Instant access to drivers, built-in customer bases, and minimal setup made it easy to get orders out the door. But as your catering orders grow and your delivery volume increases, you might be noticing something: what worked when you were just getting started is now holding you back.

For independent restaurants and catering businesses handling larger orders, the limitations of Big Box delivery platforms become increasingly apparent.


Here are five signs it might be time to graduate to a delivery partner that actually supports your restaurant's growth (and not just their platform's adoption):


1. You're Playing Delivery Roulette With High-Value Corporate Catering Orders

You've prepared a $500 catering order for a corporate client's board meeting. Everything is packed perfectly, timed precisely, and ready to make a great impression. Then you watch the tracking dot on your phone meander through your city, making inexplicable detours, while your client texts asking where their lunch is.


With Big Box platforms, you're at the mercy of whoever accepts the delivery in that moment. One day you get an experienced driver from a delivery service provider who understands the urgency of a corporate catering client. The next day, someone accepts the order as part of a multi-app juggling act, and your carefully prepared food arrives gets mishandled and dropped off late.


The real cost: It's not just about one disappointed customer. When a $50 lunch order goes wrong, it's frustrating. When a $2,200 wedding rehearsal dinner arrives late or damaged, you've potentially lost a client, their network, and your reputation in the community. High-value orders demand high-reliability delivery, not a random driver lottery.



2. The Fees Keep Growing (And They're Eating Your Margins)

When you first signed up, the commission structure seemed manageable. But as your catering business has grown, so has the fee creep.


There's the base commission.

The delivery fee.

The service fee.

The large order fee.

The long distance fee.

The fee for integrating self-delivery or regional DSP options.

The fee for promotional placement on the marketplace.

The increased commission if you want better delivery priority.


Suddenly, you're looking at 30-40% of your order value disappearing before you've covered food costs.


The math that doesn't work: A $400 catering order might cost you $150 in delivery and fees. That's $150 that could have gone toward staff wages, marketing, or simply growing your first-party catering business. Instead, it's subsidizing a platform that treats your restaurant as interchangeable with every other option in their marketplace.


For high-volume catering operations, these fees compound quickly. When you're doing $20,000 in monthly catering delivery, losing $6,000-8,000 to platform fees is a slow margin bleed.


3. The Platform Is Selling Your Food, Not Your Brand

Here's an uncomfortable question: When a customer orders from you through a Big Box platform, who do they think they're ordering from?


Your carefully crafted catering experience, the one you've spent years building, gets reduced to a thumbnail image in an endless scroll. Your story, your values, your unique approach -- none of it matters when you're competing a quarter-star rating difference.

The platform gets the relationship.

The platform gets the customer data.

The platform gets to retarget YOUR customer with YOUR competitor's promotions.

 

The brand problem: You're not building customer loyalty; you're building platform dependency. When guests remember ordering from a platform instead of from your restaurant, you've lost more than just a margin point. You've lost the relationship that drives repeat business, referrals, and long-term growth.

This becomes especially painful for caterers who rely on relationship-based business. When an event planner can't remember your restaurant's name, only that they "found you on the app,"you're missing opportunities for direct rebooking and word-of-mouth referrals that drive profitable growth.


4. Driver Inconsistency Is Damaging Your Reputation

Your food is consistent. Your service is consistent. Your packaging is thoughtful and professional. But the people representing your brand at the moment of delivery? Complete wild card.


One driver from company A arrives professionally, confirms the order details, and handles everything with care. The next driver, from company B, leaves the food at the wrong entrance, doesn't communicate with the recipient, or shows up in attire that doesn't match the guest's professional setting. Some understand that a $600 executive lunch requires a different approach than dropping off midnight tacos. Others don't.

 

The trust gap: You can control everything up until the food leaves your restaurant. After that, you're hoping that a stranger will treat your high-value order -- and by extension, your customer-- with the care your reputation demands.


For catering orders especially, the driver isn't just delivering food; drivers are the last touchpoint in your customer's experience. When that touchpoint is inconsistent, professional one day and careless the next, it undermines everything you've built.


5. "Where's My Food?" Has Become Your Most Common Text

Remember when you thought real-time tracking would eliminate customer anxiety? Instead, you're fielding more questions than ever.

The tracking shows the driver is two miles away... but in the opposite direction. The app says "arriving in 5 minutes" for the past twenty minutes. Your guest calls asking why their driver is at a strip mall across town. The marketplace doesn't support tracking your hand-selected drivers.

You have no answers because you have no real visibility into what's actually happening.

 

The reality: Large catering orders going to office buildings, event venues, requiring hot setup, or complex delivery locations don't fit a standard one-size-fits-all model. You end up as the frustrated middleman, unable to give your clients the one thing they want: a straight answer about when their food will arrive.

When you can't confidently tell an office manager when their executive lunch will arrive or assure a corporate client that breakfast for 50 will be there before their keynote speaker starts, you're not running a professional delivery program, you're crossing your fingers and hoping.


Is It Time to Evaluate Your Delivery Platform?

None of these signs mean Big Box platforms don't serve a purpose. For small, casual orders and initial market testing, they're incredibly useful. Marketplaces provide visibility and ease of ordering to customers sometimes not possible for new brands and emerging catering programs.


Not sure if you've reached the transition point? Ask yourself these questions:


What's your average catering delivery order value?

If your typical catering delivery exceeds $200-300, you've moved beyond the sweet spot for marketplace platforms. At this order value, the economics shift; platform fees take a bigger bite of your margin, and the stakes of a delivery failure increase dramatically. High-value orders deserve high-reliability delivery partners who understand what's at stake.


How much of your catering business relies on delivery?

When delivery represents more than 25% of your catering volume, you have a core revenue driver. At this threshold, delivery quality directly impacts your brand reputation and bottom line. The question becomes: can you afford to treat a quarter of your business as an afterthought managed by a luck-of-the-draw marketplace?


Are you apologizing for delivery issues you didn't cause?

If you're fielding regular delivery complaints despite perfect food quality, there's a disconnect between your standards and your delivery execution. When your kitchen does everything right but the delivery experience undermines it, you're essentially paying platform fees to damage your own reputation with no control over the delivery experience. This is when Big Box delivery turns into a liability.


Have you turned down opportunities because of delivery concerns?

This is the most telling sign. When you start saying "no" to catering opportunities because you can't guarantee delivery reliability, your delivery solution has become a growth limiter instead of a growth enabler. Missing revenue because you don't trust your delivery provider (or your managers have to step out of the store to help) means it's time for a change.


Is the platform competing for your customers?

If your sales team is losing customers to competitors because the platform promotes them to your clients, you're paying to undermine your own business. The fundamental conflict is clear: marketplaces optimize for their growth, not yours.


Are you building a first-party corporate catering pipeline?

Restaurants investing in direct catering sales -- through their website, sales team, or customer relationships -- need delivery that reinforces their brand, not a marketplace that owns the customer relationship. If you're trying to grow first-party catering, marketplace delivery works against that goal.


If you answered "yes" to three or more of these questions, your delivery setup may be limiting your growth potential rather than supporting it.

At this stage, you're not looking for a marketplace to deliver your food. You're looking for a delivery partner. One that understands the importance of executing a flawless corporate event delivery.


Actually Grow Your Catering Program

DeliverThat specializes in high-value catering delivery for restaurant operators who've outgrown the Big Box marketplace delivery model. Our approach focuses on professional drivers, real tracking visibility, and protecting your brand relationship with your customers.

 

Let's talk about your delivery challenges and explore whether a specialized catering delivery partner makes sense for your growth stage. Schedule a delivery growth evaluation and we'll help you assess if it's time to graduate from the Big Box approach.

bottom of page