ArrowArtboardCreated with Sketch.Title ChevronTitle ChevronIcon FacebookIcon LinkedinIcon Mail ContactPath LayerIcon MailPositive ArrowIcon Print
Sharing Economy

Singapore restaurants rail against 30% delivery app fees

Platforms like Grab and Foodpanda take big share of revenue during dining ban

GrabFood and similar delivery platforms have provided a lifeline for Singapore's restaurants amid coronavirus restrictions, but at a steep cost.   © Reuters

SINGAPORE -- With Singapore's restaurants relying more than ever on delivery platforms due to coronavirus-related restrictions, concerns are growing that the astronomical fees charged by these apps could drive many eateries out of business instead of saving them.

"You call yourselves our 'partners,' but we truly wonder if you know what that means,"  a coalition of over 600 restaurants has said in an open letter. Delivery platforms usually charge around 30% in commission for each order, which can wipe out profits for restaurants already operating on razor-thin margins.

Sponsored Content

About Sponsored Content This content was commissioned by Nikkei's Global Business Bureau.

Discover the all new Nikkei Asia app

  • Take your reading anywhere with offline reading functions
  • Never miss a story with breaking news alerts
  • Customize your reading experience

Nikkei Asian Review, now known as Nikkei Asia, will be the voice of the Asian Century.

Celebrate our next chapter
Free access for everyone - Sep. 30

Find out more