Uber Eats joins Just Eat in waiving new activation fees - but only for 11 days

20 March 2020 by
Just Eat cuts commission by 33%

Uber Eats has waived its registration fees to new partner restaurants however the offer last for only eleven days unlike Just Eat's which last for 30 days and Just Eat also offers a 33% discount on commission to partner restaurants.

Additionally, Uber Eats is offering free delivery for independent restaurants but these discounts will only be available until 31 March when the firm will review their impact. Uber will also allow restaurants to receive payments on a daily basis to reduce cash flow pressures.

Uber Eats general manager Toussaint Wattinne said: "The high street is being hit hard by Coronavirus but the sector can play a critical role in helping the thousands of people who rely on it - for work and as an essential service - during this difficult time. We are putting in place a range of initiatives to continue to support restaurant partners, particularly small business owners, as they keep their kitchens firing to feed people across the country."

Earlier, Just Eat announced that for a 30-day period starting today (20 March) it will offer a rebate on one third of all commissions paid by independent traders, which it reports is worth £10m or more. Additionally it has removed commission on all collection orders to reduce pressure on restaurants' delivery operations. It has also waived all sign-up fees for new restaurants that join the platform as long as they meet the health and safety criteria.

Andrew Kenny the UK managing director of Just Eat said: "These are some of the most challenging times the restaurants we work with have ever been through.

"We want to show our support and help them to keep their doors open, so they can focus on doing what they do best - delivering food to people across the UK every day. We know our restaurant partners are worried about their teams - from chefs to delivery drivers - and these measures will go some way to helping them maintain their operations and support their people. "The food delivery industry has a crucial role to play at this time of national crisis and it is only right that as the market leader in the UK Just Eat steps up to help our independent partners so they can keep delivering for the communities that need them."

In addition it will allow independent partners to work with other competitors including rivals Uber Eats and Deliveroo regardless of contractual obligations.

The moves from the food delivery platforms come in light of the challenging conditions facing the hospitality industry and to drive sales to small and medium sized businesses.

UK Hospitality chief executive Kate Nicholls said: "Thousands of small businesses in the restaurant, café and catering industry have already felt the full force of the coronavirus outbreak. Many businesses are reporting a massive drop in footfall and a catastrophic reduction in revenue. This is an unprecedented crisis and we are at the make or break point for a lot of businesses. "This initiative by Uber Eats is very welcome as it will allow small businesses to quickly pivot to ensure they are still able to serve great food, keep their doors open longer and keep their teams working throughout this very difficult time." Earlier this week Just Eat announced new delivery procedures enabling contact-free drop off.

In January Dutch firm Takeaway.com bought the firm for £5.19b.

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