UberEats are among the companies taking a big chunk of cash from hard-working businesses

Food-delivery services and hotel booking websites are among those who are taking a big slice of your money when placing a order or booking. This is why it may pay to rethink how you pay.

Booking directly with a business can make a huge difference to their bottom line.

Wherever possible I stick to the old-school way of ordering takeaway food and making hotel reservations directly with the business.

In recent months there’s been an inundation of business owners speaking out about how they are getting gouged by food apps including UberEats that take a huge slice of their earnings – in many cases up to 35 per cent of the total bill.

So think about it: if a customer orders an array of dishes from their nearby restaurant through UberEats totalling $50, if the food-delivery app takes a 35 per cent chunk, then the restaurant pockets only $32.50.

Think about the restaurant’s wages, insurance, food costs and rent. How is this business model sustainable when such a huge chunk of their earnings is being gobbled up elsewhere?

While ordering through these apps can be extremely easy and convenient, consumers need to stop and think where their money is actually going.

Is it going to these giant companies or instead to the little guy around the corner who is doing his best to keep a business running and provide a good eatery?

I’m not a big fan of ordering through food-delivery services because the meals take too long to arrive and can be cold once they reach my doorstep.

There’s nothing nice about eating chilly food that’s meant to be hot.

Food-delivery companies are taking up to 35 per cent of the cost of an order when a customer books through their service.

Yes, they employ lots of drivers who zip around in cars or on scooters and bikes.

But they are deemed “independent contractors” not employees, which means they don’t have to be paid the minimum wage nor receive annual leave, sick leave or any of the benefits that employees receive.

So they, too, are paying a price.

The same thing goes with hotel bookings.

Last week I booked an interstate holiday and I knew exactly the hotel I wanted to stay at.

It ended up being $15 a night cheaper to book direct.

After I made the booking with the hotel manager I received an email confirmation shortly after, which, in capital letters and highlighted, said, “THANK YOU FOR BOOKING DIRECT WITH US”.

Businesses love it when customers book direct.

I want my money to go to the hotel and not to the travel comparison websites, which again eat up a chunk of the booking – in many cases around 15 per cent.

I also couldn’t have got the price I did had I booked it through a third-party website, again another reason why it pays to phone direct and book away.

I could ask questions specifically relating to the hotel which could be answered with knowledge from the manager, unlike a website that simply takes your booking and you hope for the best.

So next time you making a booking, think about whether you are getting the best deal and whose pocket your money is ending up in.

@sophieelsworth

Originally published as UberEats are among the companies taking a big chunk of cash from hard-working businesses