How delivery apps share customer data (and why your own app gives you more control)

When you partner with third-party delivery apps like DoorDash, Uber Eats, and Grubhub, they often face limitations on what customer data they can access. These apps typically don’t share detailed customer information, such as full names, email addresses, or phone numbers, which makes it harder for you to connect directly with their customers and use the data to improve their business.

What Data Do Delivery Apps Share?

Third-party delivery apps typically share very basic customer data with restaurants. Here’s a breakdown of what you might receive:

• Customer’s first name and last initial (e.g., "John D.")

• What they ordered

However, key information that would allow you to build direct relationships with customers is often missing. For example:

• Full names

• Email addresses

• Phone numbers

• Delivery addresses

This limited data doesn’t give you a full picture of who your customers are, making it harder to market directly to them or personalize your offerings. Additionally, only certain large chain restaurants (known as "Enterprises") may negotiate better terms with delivery apps, gaining access to more detailed information like full names and email addresses.

What Can Restaurants Do with Limited Data?

Even though delivery apps don’t provide much customer data, they do offer tools like anonymized aggregate analytics, which provides information on:

• Menu performance: See what items are most popular.

• Customer feedback: Understand what customers think of your food and service.

• Daily operations: Get insights on order volumes and customer behavior.

Additionally, restaurants can run promotions via delivery apps, like a “First Order, $0 Delivery Fee” to attract new customers, or use the limited data to target specific advertising groups (like sending ads for chicken to customers who frequently order chicken).

Why Having Your Own App is Better

While delivery apps are convenient, they come with a trade-off: limited data access. By building your own ordering app, you can collect much more detailed information about your customers. Here’s why having your own app gives you an edge:

1. Access to Full Customer Data

With your own app, you can collect complete customer information, such as:

• Full names

• Email addresses

• Phone numbers

• Delivery addresses

This allows you to build a direct relationship with your customers, send targeted marketing campaigns, and provide personalized experiences based on their preferences.

2. Better Customer Insights

When you own the customer data, you can analyze it to learn more about your customer base. For example, you can:

• Identify loyal customers and reward them with special offers.

• See which menu items are most popular and when customers are most likely to order.

• Use this data to optimize your menu, pricing, and promotions.

3. Improved Marketing Opportunities

With access to email addresses and phone numbers, you can launch direct marketing campaigns to encourage repeat business. Whether it’s through email newsletters, SMS promotions, or push notifications, you’ll be able to keep your restaurant top of mind for your customers.

4. Dynamic Pricing and Personalized Offers

Having your own app allows you to use dynamic pricing—adjusting prices based on demand. You can also create personalized offers, such as sending special discounts to customers who haven’t ordered in a while or rewarding regular customers with exclusive deals.

5. Better Control Over Customer Experience

When you rely on third-party delivery apps, they control most aspects of the customer experience, from ordering to delivery. With your own app, you have full control, allowing you to ensure that customers get the best possible experience from start to finish.

The Bottom Line: Use Delivery Apps Wisely, But Build Your Own App for Growth

While delivery apps like DoorDash, Uber Eats, and Grubhub offer some convenience and exposure, they limit your access to valuable customer data. If you want to truly understand your customers, grow your restaurant’s brand, and create personalized marketing campaigns, having your own app is the way to go. By combining the reach of third-party delivery services with the deeper insights from your own app, you can strike the perfect balance—using delivery apps to attract new customers and your own app to turn those customers into loyal, repeat diners.

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DISCLAIMER: This information is provided for general informational purposes only, and publication does not constitute an endorsement. Cactus does not warrant the accuracy or completeness of any information, text, graphics, links, or other items contained within this content. Cactus does not guarantee you will achieve any specific results if you follow any advice herein. It may be advisable for you to consult with a professional such as a lawyer, accountant, or business advisor for advice specific to your situation.