KFC, the world-renowned fried chicken chain, recently made headlines when it announced its decision to end its partnership with Deliveroo. This move which took effect in October sent shockwaves through the food industry, leaving many wondering about the reasons behind this split.
At the heart of the matter lies a disagreement over commission rates. Deliveroo, known for its high commission fees, reportedly offered KFC the opportunity to reduce these fees in exchange for improved service. However, KFC, likely unhappy with the overall commission structure and seeking greater control over its delivery operations, decided to part ways with Deliveroo.
KFC's decision to focus on its own delivery platform, KFC Delivery, and strengthen its partnerships with rival aggregators like Just Eat and Uber Eats highlights its desire to retain control over its delivery services.
While Deliveroo expressed disappointment over KFC's decision and emphasized its commitment to providing great value to both restaurants and customers, KFC's move underscores the growing trend of restaurants seeking greater control over their delivery operations. As the food delivery industry continues to evolve, it will be interesting to see how other restaurants navigate the delicate balance between partnering with delivery aggregators and maintaining autonomy.