White Label Delivery Explained

What Is White Label Delivery? A Game-Changer for QSR and Franchise Businesses

Introduction:

In today's competitive food delivery landscape, many QSR (Quick Service Restaurants) and franchise businesses face a dilemma: rely solely on third-party delivery aggregators, or manage delivery in-house. But what if there was a third option that combined the best of both worlds? Enter White Label Delivery, also known as Last Mile Delivery — a solution that allows businesses to provide efficient, branded delivery without the heavy fees of aggregators.

What Is White Label Delivery?

White Label Delivery is a service that allows your business to offer branded delivery without relying solely on third-party apps. Imagine a customer visits your restaurant's website, places an order, and chooses delivery. Instead of being redirected to a third-party platform, they complete their order on your site, and the delivery arrives with your branding, not another company’s.

For example, let’s say you own a pizza chain with 20 locations. Traditionally, you might use a well-known aggregator to handle all your deliveries. While this helps you reach more customers, it also means paying high commissions and letting the aggregator's branding overshadow your own.

With White Label Delivery:

• Customers place orders directly on your website or app: They see your brand, your menu, and any promotions you’re running. There’s no third-party branding in sight.
• The order is processed seamlessly: Even though you’re using a delivery network, your customers interact only with your brand.
• The delivery driver arrives in neutral packaging: No Uber Eats or DoorDash bags — just your pizza, your branding, your experience.

Sometimes referred to as "Last Mile Delivery," this approach focuses on that final, crucial step in the delivery process — getting the order from your restaurant to the customer's door. It gives you the benefits of using a third-party network without losing your brand identity.

Why Is White Label Delivery Important?

Third-party aggregators like Uber Eats and DoorDash have become a popular option for many restaurants. They help boost visibility, attract new customers, and handle the logistics of delivery. But they also come with high commission fees and can take a cut of your brand's identity.

With White Label Delivery, you can:

• Maintain control of your brand: Your customers interact directly with your business, keeping your brand front and center.
• Reduce delivery fees: Third-party aggregators often charge between 15% to 30% per order. White Label Delivery can reduce these costs dramatically by offering a flat fee model.
• Own customer data: By managing your own delivery, you can collect valuable insights about your customers, which can be used for marketing and loyalty programs.

How White Label Delivery Works

Setting up White Label Delivery doesn’t mean you have to build an entire delivery operation from scratch. Many solutions, like MOBI’s White Label Delivery, leverage third-party services to handle logistics, ensuring smooth and reliable delivery while your brand remains front and center.

For example, MOBI’s platform allows you to:

1. Integrate with existing systems: Sync with your current ordering system, so there’s no need for a complete overhaul.
2. Use third-party drivers: Businesses can still tap into networks of delivery drivers (like Uber Direct) without showing third-party branding to customers.
3. Offer a flat delivery fee: This means customers won’t be hit with hidden costs, and you can avoid the high commissions typically charged by aggregators.

The Best of Both Worlds: Aggregators + White Label

It doesn’t have to be all or nothing. Many successful businesses use a hybrid approach: they continue using third-party delivery platforms to attract new customers and handle overflow orders but switch to White Label Delivery for direct orders through their website or app.

Why this strategy works:

• More control, less cost: Direct orders can be processed through White Label Delivery, saving on commissions.
• Flexibility: Use aggregators for reach and White Label Delivery for better margins. Even shifting 50% of your deliveries to White Label can result in significant savings.

Customer Success: Sal’s NY Pizza

One of our clients, Sal's NY Pizza, made the switch to White Label Delivery and saw incredible results. They saved $240,000 in delivery charges over the last year by balancing their delivery channels. Additionally, customers who ordered directly through their White Label Delivery service could save up to 40% on delivery fees, thanks to a simple, flat-rate pricing model.

By taking back control of their delivery, Sal’s was able to boost profitability, improve customer satisfaction, and grow their loyal customer base.

Key Takeaways: Why You Should Consider White Label Delivery

1. Cost savings: Lower delivery fees can mean huge savings for your business.
2. Brand control: Keep your business in the spotlight by eliminating third-party branding.
3. Data ownership: Gain direct access to customer data, leading to better marketing and customer engagement.
4. Flexibility: Combine the reach of aggregators with the savings of White Label Delivery for the best of both worlds.

Conclusion: Ready to Take Control of Your Delivery?

White Label Delivery offers an opportunity for QSR and franchise businesses to regain control over their delivery operations while cutting down on costs. Whether you choose to use it exclusively or alongside third-party platforms, the flexibility and potential savings make it a no-brainer for many growing brands.

Get in touch with us at MOBI to see how White Label Delivery can work for your business.

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