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Why restaurants hate Uber Eats

John Davidson
John DavidsonColumnist

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For Claire Van Vuuren, owner and head chef at the inner Sydney restaurant Bloodwood, it's not just the profit-eating commission that Uber would charge her for every delivery that stops her signing Bloodwood up to Uber Eats.

Since the advent of home delivery apps, average profit margins at Australia's restaurants have plummeted as much as five-fold, from 10 per cent immediately prior to the arrival of Uber Eats, Deliveroo and Menulog, to between 2 and 4 per cent now, says the Restaurant & Catering Industry Association, citing its own and ATO figures.

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John Davidson is an award-winning columnist, reviewer, and senior writer based in Sydney and in the Digital Life Laboratories, from where he writes about personal technology. Connect with John on Twitter. Email John at jdavidson@afr.com

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    Original URL: https://www.afr.com/link/follow-20180101-p527lt