Food delivery apps have become increasingly popular, providing a convenient way to enjoy meals from our favorite restaurants without leaving the comfort of our homes. Two of the most popular food delivery services are Grubhub and Postmates. But which one is cheaper? In this article, we’ll delve into an in-depth comparison between Grubhub and Postmates to help you decide which is more cost-effective for you.
Determining which is cheaper between Grubhub and Postmates largely depends on several factors including your location, the specific restaurant, and your order. However, Grubhub often has no service fees, which could make it cheaper for some meals. Postmates, on the other hand, has a surge pricing model which can increase the cost during high-demand periods. Regular users might find value in the subscription plans offered by both platforms. Always compare the total cost on both apps before placing an order.
Grubhub vs. Postmates: Basic Cost Structures
Grubhub and Postmates have different cost structures. Grubhub’s cost structure is based on marketing fees and delivery fees. They offer three flexible pricing plans for restaurants including Grubhub Basic, Premium and Grubhub Delivery, with fees ranging from as low as 5% to 10% excluding delivery (source).
On the other hand, Postmates’ cost structure includes delivery fees, service fees, and small cart fees. Delivery fees range from $1.99 to $3.99 for partner merchants and $5.99 to $9.99 for all other merchants. A variable service fee is added to every order, and for orders below $12.00, a $1.99 small cart fee is charged (source).
Hidden Fees to Keep in Mind
While both Grubhub and Postmates have clear cost structures, hidden fees have been associated with these platforms. Grubhub was accused of falsely promising “free” online orders and “unlimited free delivery” for Grubhub Plus subscribers, while still charging service fees for non-pickup orders (source). Postmates, on the other hand, has been reported to include taxes in both the service fee and the tip, and a $1.00 merchant fee included in the service fee section for some restaurants.
Comparing Delivery Charges
Grubhub’s delivery fee usually falls between $2.50 and $7.50, while Postmates charges a delivery fee of $1.99 to $3.99 for partner merchants and $5.99 to $9.99 for all other merchants. Postmates also offers a subscription service called Postmates Unlimited, which costs $9.99 per month and provides free delivery on orders over $12, along with other benefits.
Membership Plans
Both Grubhub and Postmates offer membership plans that can lead to significant savings on delivery fees. Grubhub+ costs $9.99 per month and provides unlimited free delivery on orders of $12 or more at eligible restaurants, access to exclusive deals, and donation matching for No Kid Hungry. Postmates Unlimited also costs $9.99 per month and offers a $0 delivery fee plus 5% off the service fee on restaurant orders over $15 and grocery orders over $30.
Promotional Offers and Discounts
Grubhub and Postmates regularly offer promotional discounts. For Grubhub, deals include coupon codes and promo codes for $0 delivery, up to 20% off orders with Grubhub coupon codes, and Grubhub+ membership for $9.99 per month. For Postmates, offers include $25 off your first 3 orders, each totaling $35 or more, up to $25 off your first 5 online food delivery purchases, and up to 30% off, free delivery, and buy one get one offers on food, pet supplies, pharmacy items, and everyday essentials.
Food Item Prices
The prices of food items on Grubhub and Postmates vary depending on the restaurant, delivery fees, and service fees. However, it’s not uncommon for customers to pay less on Grubhub for the same meal found elsewhere because there often isn’t a service fee.
Surge Pricing
Grubhub does not utilize surge pricing. On the other hand, Postmates uses a surge pricing model called “Blitz pricing” during high-demand periods, which raises the order amount up to 1.25, 1.5, or 1.75 times the regular price.
Final Thoughts
In conclusion, both Grubhub and Postmates have their pros and cons, and the cheaper option can vary depending on your location, the specific restaurant, and your order. Regular users might find value in the subscription plans, while occasional users may choose based on the specific order’s delivery and service fees. It’s always a good idea to compare the two before placing an order.
Frequently Asked Questions
What is Grubhub Plus?
Grubhub Plus is a subscription service offered by Grubhub that offers unlimited free delivery on orders of $12 or more from eligible restaurants, access to exclusive deals, and donation matching for No Kid Hungry. It costs $9.99 per month.
What is Postmates Unlimited?
Postmates Unlimited is a subscription service offered by Postmates. It costs $9.99 per month and offers free delivery on orders over $12, a 5% off the service fee on restaurant orders over $15 and grocery orders over $30, and other benefits.
What is Blitz pricing?
Blitz pricing is a surge pricing model used by Postmates during periods of high demand. During these times, the cost of orders can increase to 1.25, 1.5, or 1.75 times the regular price.
Are there any hidden fees with Grubhub and Postmates?
Yes, both Grubhub and Postmates have been associated with hidden fees. Grubhub was accused of falsely promising “free” online orders and “unlimited free delivery” for Grubhub Plus subscribers, while still charging service fees. Postmates has been reported to include taxes in both the service fee and the tip, and a $1.00 merchant fee included in the service fee section for some restaurants.
Do Grubhub and Postmates offer promotional discounts?
Yes, both Grubhub and Postmates regularly offer promotional discounts. These can include coupon codes, promo codes for $0 delivery, up to 20-30% off orders, and other deals.