Written by Isobel O'Sullivan Updated on October 31, 2025 On this page Key Takeaways 2025 Statistics About In-House Delivery and Food Delivery Apps The Pros and Cons of In-House Delivery The Pros and Cons of Third-Party Delivery Apps In-House vs Third-Party Apps: A Detailed Cost Breakdown What About a Hybrid Delivery Service Model? In-House vs Third-Party Apps: Which Is the Best Choice for You? Verdict Expand As the appetite for fast, convenient food delivery continues to grow, restaurant owners are being forced to make a difficult decision: handle the process in-house or outsource the task to third-party apps?When it comes to choosing between the two, it’s ultimately a trade-off between control and convenience. Taking care of your own delivery flow helps you ensure consistent quality and protect your profit margins, especially when paired with a restaurant point of sale (POS) system. Third-party apps, on the other hand, offer instant reach and operational simplicity — a ready-made solution that will be especially useful for new businesses finding their footing.To help you navigate your delivery journey, we compare the two options side by side, breaking down their pros and cons, and relative costs. We also explore their suitability for different types of businesses, to help you move forward with a solution that’s right for you. In-House Delivery vs Third Party Apps: Key Takeaways Both options have pros and cons: Choosing between in-house delivery and third-party apps ultimately comes down to a trade-off between maintaining control and benefiting from reach and convenience.Cost considerations can vary: In-house delivery requires higher upfront investments, but can be cheaper in the long term, while third-party platforms are cheaper initially but consistently cut into profit margins.Exposure and customer reach: Third-party apps like DoorDash, Uber Eats and Grubhub provide instant visibility to a wider audience, making them ideal for small or new restaurants without a strong marketing strategy.Hybrid models are rising: Many restaurants are combining both in-house and third-party methods to gain a balance of control and convenience.POS integrations are essential: No matter which model you choose, linking your delivery platform to your restaurant POS system will help you manage all sales data in one place.Working in the Food & Beverage Industry? Don’t miss Expert Market’s exclusive industry report exploring today’s challenges and future predictions. 2025 Statistics About In-House Delivery and Food Delivery AppsTo help you better understand the food delivery landscape in the US, here are some facts you should know right off the bat.46% of US consumers prefer ordering food through third-party platforms, rather than from a restaurant directly.DoorDash is the most popular food delivery platform, with 48% of US customers using the app more than competitors.The majority of older customers (aged 54+) prefer to order food via a restaurant’s own app or website.Most restaurants pay 15%-30% commission fees to major food delivery platforms like Grubhub and DoorDash.Delivery costs matter to customers, with 47% of diners setting their budget to $3-$6 per order. The Pros and Cons of In-House DeliveryThinking of taking care of the delivery process yourself? The main upshot of this method is control, but it does involve some trade-offs that could affect your costs, time and efficiency. We discuss the benefits and drawbacks of this option to help you understand whether it is right for you.Pros:Full control over orders: Handling your own delivery flow gives you complete oversight of how food is prepared, packed, branded and delivered. You can also train drivers to ensure that they meet your standards, resulting in a more consistent experience from kitchen to doorstep.No commission fees: By dodging third-party food delivery apps, you won’t have to pay the hefty 15%-30% commission fees charged by major platforms. You can also avoid extra costs, like service fees, marketing boosts and delivery surcharges, all of which easily eat into profits.Better customer data: Managing the delivery process allows you to collect customer data, from email addresses to phone numbers, and order directly, rather than using a third-party aggregator. Owning this data allows you to strengthen customer relationships and encourage repeat buying.Cons:Higher up-front costs: While you’ll be saving on commission fees, you’ll have to cover the costs of drivers, vehicle wear, insurance and routing software yourself. This can add up to over a couple of dollars per delivery.More logistical complexity: If you opt for the in-house model, you’ll be tasked with handling the logistics yourself. This includes scheduling driver shifts, optimizing routes and contingency planning for traffic of last-minute order surges. You’ll also have to cover insurance and compliance yourself.Poorer discoverability: Third-party apps are essentially marketplaces designed to bring new customers to your restaurant. By solely relying on in-house delivery, you risk lowering your order volume, unless you’re investing in marketing your business elsewhere. The Pros and Cons of Third-Party Delivery AppsThird-party delivery platforms offer convenience and reach, but do come with their own costs and limitations. Here’s a breakdown of their strengths and weaknesses, to help you weigh up both sides before making a decision.Pros:Highly scalable: If you use third-party delivery services, you’ll be able to accept additional orders during peak times without hiring extra drivers or purchasing extra equipment and routing software. You’ll also be able to expand your delivery operations without making major upfront investments.Expanded reach and discoverability: Securing a spot on a popular food delivery app guarantees that your restaurant will get seen by hungry customers. This is particularly useful for smaller restaurants that don’t have an established online presence or a large marketing budget.Simpler operational process: Apps like Uber Eats and DoorDash take care of every step of the delivery sequence for you, from driver recruitment to payments and refunds. This helps to take the burden off busy restaurants, leaving them to focus on the tasks that matter.Cons:High commission fees: Platforms typically charge around 15%–30% per order, plus optional marketing or “boost” fees to promote your restaurant in the app. These fees can erase a large chunk of your profit margin, especially for small orders.Limited customer data: The majority of delivery apps restrict access to customer information, like phone numbers or email addresses. This makes it harder for restaurants to build dedicated loyalty programs to drive up their long-term customer retention.Less control over service: When you aren’t managing your delivery process in-house, your order accuracy and delivery speed are at the whim of third-party apps. This could result in late deliveries and inaccurate orders, which could reflect negatively on your business. Food delivery isn't just a passing trend Customer preferences are changing and as more consumers dine at home with convenient options, it’s not a matter of if you should pivot your business model to deliver, but when.According to Expert Market’s Food & Beverage Industry Report 2025, over half (52%) of hospitality professionals already use an online ordering platform, while 33% are planning to expand into the takeaway and delivery market.The evidence is clear — restaurants are pivoting to delivery to remain competitive, making now an ideal time to invest in a robust delivery strategy. In-House vs Third-Party Apps: A Detailed Cost BreakdownAs food and labour expenses continue to rise, costs remain a primary concern for restaurant and food-business owners branching out into delivery. We’ve crunched the numbers and calculated how much you can expect to pay with each delivery model, to help you stay on budget.How much does in-house delivery cost?While the price of managing your own in-house delivery process will vary from business to business, here’s an estimate of how much you could expect to pay.Key expensesVehicle costs: $300 to $1,000 per month to lease and maintain delivery vehicles. Or, around $8,000 to $30,000 to buy a single vehicle up-front. These figures would increase if you’re looking to invest in a fleet of vehicles.Fuel: $100 to $300 per vehicle per month, depending on order volume and delivery distance.Driver salaries: Around $12 to $15 per hour. If the driver works a 40-hour week, this would work out to $1,920 to $2,400 per driver, per month.Insurance: $150 to $300 per vehicle, per month, for commercial auto insurance, $100 to $150 per vehicle, per month, for general liability insurance and $50 to $100 per driver, per month, for worker’s compensation insurance.Equipment: $100 to $300 up-front per vehicle for essential equipment like GPS devices, phone mounts and insulated delivery bags.Software: $20 to $100 per month for delivery management software and $30 to $100 per month for POS system software.Learn more about how much a POS system costs in our dedicated guide.In-house delivery: a real-world pricing exampleFor a fast service restaurant with two full-time delivery drivers, two used leased delivery vehicles and an existing POS system, each month they could expect to pay:Around $600 to lease and maintain used vehicles$100 to $300 for fuel$3,800 to $4,800 for driver salaries$600 to $1,000 for insurance (for commercial auto, general liability and workers’ Insurance)$20 to $200 for a delivery management system$15 to $50 per month for driver equipment (up-front costs split up over 12 months)In total, this would come to $5,135 to $6,950 per month.How much do third-party delivery apps cost?The price of using third-party apps will depend on your chosen platform and your business’s needs, but here are some costs to bear in mind.Commission fees: 15%-30% per order. For a $25 order, this would work out to $3.75 to $7.50.Service fees: 2%-4% per transaction for service fees covering payment processing fees and other costs. For a $25 order, a 3% service fee would cost $0.75.Add-ons: Around $50 to $500 a month for optional additional services, like sponsored menu items, promotional campaigns and features on the third-party delivery apps homepage.Third-party delivery apps: real-world pricing exampleFor a busy fast service restaurant with 60 delivery orders a day, and an average order value of $25, each month they could expect to pay:Around $9,000 on commission fees, if they were charged 20% on each orderAround $1,350 on service fees, if they were charged 3% on each orderAround $200 each month for additional services, if they opted in for the marketing add-on that featured their business on the third-party delivery appIn total, this would come to around $10,550 a month.Which delivery option is more cost-effective?All in all, there is no “best value” food delivery option. The most cost-effective choice for your business will depend on its size, order volume and how long it’s been operating.For example, most new restaurants and those with lower order volumes will likely find third-party delivery apps a better deal, as they offer businesses valuable exposure, and eliminate the need to hire new drivers and invest in vehicles and equipment up-front.On the other hand, larger, more established businesses with high demand may find it more cost-effective to manage the delivery process in-house. This is because, if you’re making consistent deliveries, investing in your own delivery service is generally more affordable than using third-party apps, as they don’t cut into your profit margins as much. What About a Hybrid Delivery Service Model?Choosing between in-house delivery or third-party platforms isn’t always a case of one or the other. In certain cases, a hybrid delivery model, where you use both models in tandem, can offer restaurants the best of both worlds.A hybrid delivery model allows restaurants to manage part of their delivery operations internally, while also partnering with third-party apps like DoorDash and Uber Eats to expand their reach.For instance, a restaurant might hire its own drivers to deliver local orders through its website, while relying on a third-party platform to handle longer-distance orders. This hybrid model can also help businesses handle peak hours more smoothly by preventing bottlenecks and letting third-party drivers handle overflow demand.This hybrid model could work particularly well for established restaurants or fast-growing casual restaurants that already have steady local demand but want to maximize their market reach, without sacrificing control. In-House vs Third-Party Apps: Which Is the Best Choice for You?Figuring out the right delivery setup for your food business is no mean feat. We weigh up the options for different types of businesses below, to help you find out whether an in-house, third-party or hybrid model will be best for you.Restaurant typeBest delivery optionWhy?Established restaurantsIn-house or hybridEstablished restaurants tend to have a loyal customer base and enough volume to justify some in-house delivery for higher-margin orders. Third-party apps can also be used in conjunction to improve reach and provide extra convenience during peak timesGhost kitchensThird-party appsSince ghost kitchens often rely entirely on online orders, third-party apps can give them immediate reach. These platforms also allow them to scale quickly without investing in delivery infrastructureSmall restaurants or cafesThird-party appsSmaller operations often lack the volume staff, and operational capacity to efficiently run in-house delivery. Despite commission fees, apps reduce logistical complexity and offer exposure to new customersNew or independent restaurantsThird-party appsStartups typically need exposure and discoverability more than margin control. Third-party apps allow them to reach new customers without a large upfront investment in drivers, software or logisticsCatering or meal prep servicesIn-houseOrders are often large and predictable, making in-house delivery more cost-effective. Direct delivery ensures orders are handled accurately and cater to special requirements Verdict Ultimately, the right delivery model for your business depends on a host of factors, from the consistency of your delivery demand to how established your business is.Generally, in-house delivery will be the best option if you have a steady volume of orders and want full control over customer experience and branding. Alternatively, third-party apps are best for new or fully online businesses that would benefit the most from exposure and convenience.A hybrid approach will meet the needs of many businesses, too, specifically those who deal with spikes in demand during peak hours and those who want to expand their reach while maintaining consistent branding and customer service.Whichever path you decide to take, syncing your restaurant’s delivery network with a POS system is a surefire way to boost your operational efficiency by providing a central hub for both in-person and online orders.Use our free comparison tool to take away the guesswork and compare prices from leading POS providers. Written by: Isobel O'Sullivan Senior Writer Isobel O'Sullivan (BSc) is a senior writer at Expert Market with over four years of experience covering business and technology news. Since studying Digital Anthropology at University College London (UCL), she’s been a regular contributor to Tech.co, Startups.co.uk, and Market Finance. Isobel’s always up to date with the topics in employment and data security and has a specialist focus on POS systems.