I know it depends on your state, but we just started delivery and was told that drivers should start at regular minimum wage ($7.40) as opposed to minimum ($5.23) for waitstaff? We are in CT.
Is this how you guys handle it as well?
They also get $1 per run most of which have multiple orders plus tips.
Thanks in advance for your help!
if you find out you can go to the wait scale, you can hold that over your drivers’ heads—you pay them better, plus tips and delivery fees, they better do that extra work.
But, will your servers be pissy about drivers getting more hourly?
i pay my drivers minimum wage (6.50) but they do alot more than just drive. they make pizzas, answer phones, dishes clean etc.
you could just pay them with the delivery charge if you were going to let them sit and do nothing or just call them when you needed them.
I pay my delivery drivers min wage plus car allowence (1 per del) and they keep all tips. They also do work inside everthing from pizza making to sweeping
Our drivers (one from 11AM-9PM, two from 4-9PM) get a $3 delivery fee, a $ 6.50 hourly wage and tips. They are required to assist in every facet of the operation when not delivering. All drivers use their own vehicles, pay their own gas, and are required to show proof of actual pizza delivery insurance. Finally, they are required to maintain a DMV record with no citations over 24 months. They were hard to find, but persistance paid off and I have three great drivers with great jobs. More importantly, I"M COVERED insurance wise.
You collect a $3 delivery fee and pass it entirely to the drivers?
Two other questions -
- How does that compare to competitors?
- How do you otherwise compare to competitors (meaning, if you charge $3, and they charge $2, but you’re the “gourmet” shop, that would be of interest)…
I do very little one way or another “because of what my competitors do”. My drivers get the whole delivery fee to help them offset gas expenses and the RIGHT TYPE Of DELIVERY INSURANCE to covers our butts “just in case”. It’s not cheap. Most owners think that just because they have a non-owned policy they are covered. They are not! They have as much as a 10,000 deductable if the driver has any moving violations and/or does not have insurance that specifically permits Pizza Delivery in writing. My guys/gals have it and pay to get it with the fees they collect. We all sleep better with the right insurances.
Many owners are focused on the small picture… Pizza Sales with no delivery charge, and/or deliverey fees that are kept by them or split. Well like they say…you can pay the man now or pay him later… but you will pay him. In the end they will wind up broke because they got sued and a driver wasn’t covered properly.
I suggest that you pay your drivers a fair base wage well and let them earn well in exchange for being very well covered and focus on making you money from PIZZA. Remember…Pigs get fat / hogs get slaughtered!
I forgot to add…
We have customers who are “out of area” and offer to pay us double the delivery fee to deliver. If you have the product and service, you can always operate on your own terms!
For those of us that do not have our drivers get policies as you recommend, and just require regular insurance…Is a hired/non-owned coverage of $1 million with an additional $1 million umbrella not adequate? I am thinking most places dont even have the first million, but I am new to this delivery monster.
I am thinking that it is hard enough to get these guys just to show up for a side job where they make 15-20 an hour most of which is cash. I don’t think any of my guys would front the $$ for the insurance you recommend so I am envious of your setup.
Thanks for your help!
It is very hard to get drivers who think like adults and act like adults and more importantly… drive like adullts…unless they are adults. After I bought my place and let the younger pack go, I drove 7 days a week for two weeks till I found my first driver… then I got two more in three days. Two are women over 40, married with no history of citations and get decent DELIVERY insurance rates. The other is a middle aged married fellow who drives just 15 hrs a week and he still does very, very, well.
By the way…Your million plus a million is after you pay your deductables (that’s per accident by the way) of what ???. In my case, I have no deductables at all and still have the million in coverage. That’s the point.
we have a basic delivery range, roughly 20 blocks in any direction (actually, 20 blocks north and south, 15 east, 35 west…that’s the way it lays out!) and every 7 or so blocks past that, just the way the roads lie, there’s a major road…that adds another buck. Max is $10, unless it’s ridiculously far. People gladly pay it, since the product is worth it. They also are told it will be a bit longer than someone closer.
And, for me (age 45) the added insurance on my personal policy for delivery was $3/month.