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Tastecard aims to disrupt delivery market as it moves into space

Article Date: 2020-08-20

Diners card platform Tastecard is to launch a delivery service in an aggressive bid to take on giants Deliveroo, Just Eat and UberEats.

The new service, which also includes collection, will begin on Monday, 21 September and will feature more than a 1,000 restaurants across six major UK cities – Birmingham, Cardiff, Liverpool, London, Manchester and Newcastle – with expansion into 25 locations by 2021.

Tastecard, which has operated within the dining industry for more than 15 years, said while the major players in delivery charge restaurants on average 30% commission for every order, Tastecard’s fee is a “significant” reduction at 5% to 7%.

The service comes with a permanent discount on all orders – starting from 10% off – and the discount to customers can be increased as high as the participating restaurants desire.

Tastecard will launch the offer exclusively to its 2.5 million-plus customers first, who are already signed up to the platform, a move that founder Matt Turner is calling “disrupting the disruptors”.

He said: “I founded Tastecard in 2006 with two aims – to help restaurants drive profitability, by encouraging people to eat out more often, and to help diners by making eating out more affordable.

Supporting restaurants, by encouraging diners, has never been more vital and we’re proud to throw our hat into the delivery ring.

Our aim has not changed – we want to support the industry with lower fees and a service model made to reflect how restaurateurs want to do business, combined with a better value proposition for customers, to reward them for being the backbone of our hospitality industry.

We hope our competitor set follow suit to offer customers better value.”

Tastecard said it decided to make the move after a survey of its independent restaurants highlighted the most prominent challenges associated with partnering with third-party delivery companies were expensive commission fees (86%) and high upfront costs (30%).

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