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Purchasing & suppliers

Third-party commission

By · Updated · Sources and editorial policy

Also called: delivery commission · delivery app fees

Third-party commission is the marketplace's cut of each delivery order, set by the plan you choose — DoorDash's published delivery plans, for example, are 15%, 25% and 30%. It comes off the subtotal, so it hits contribution margin directly and can turn a profitable dish into a break-even one. New York City, San Francisco, Seattle and Portland cap what apps may charge.

Source: DoorDash's merchant pricing page lists Basic 15%, Plus 25% and Premier 30% commission on delivery orders and 6% on pickup (read September 29, 2026); Uber Eats lists Lite 20%, Plus 25% and Premium 30% (read September 30, 2026). In New York City, delivery app fee caps limit what apps may charge a restaurant.

Worked example · A $16 entrée on a 30% marketplace

Menu price on the app
$16.00
Commission at 30%
−$4.80
Net revenue
$11.20
Plate cost
$4.80
Packaging
$0.65
Contribution margin
$5.75 vs $11.20 in-house

The same dish contributes 49% less through the channel (packaging is a delivery cost, so in-house contribution is price minus plate cost). Whether that's acceptable depends entirely on whether the order is incremental.

The menu-inflation question

Price to hold contribution constant

Delivery price = (Plate cost + Packaging + Target CM) ÷ (1 − Commission %)

Holding contribution flat on the dish above requires a delivery price of $23.79 — a 49% uplift (the commission alone takes 43%; packaging adds the rest), worked through in the delivery markup guide. A smaller uplift is the alternative: it accepts lower contribution per order in exchange for volume and for app prices that stay closer to the dining room.

Run the numbers

Delivery margin calculator

Open it free →

The guide that works it through

How Much to Mark Up Menu Prices on Delivery Apps: The Math, the Rules and What Restaurants Charge

The app price that keeps a dish's contribution at 15%, 25% and 30% commissions, what DoorDash, Uber Eats and Grubhub say about charging more, the cities that protect your prices, and measured markups.

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