technologyHospitality Technology··1 min·For: Owner, GM, Revenue, IT, Marketing
Why AI Must Replace the Middleman Tax in Hospitality
The current third-party delivery model imposes a 'middleman tax' that erodes margins and obscures pricing; AI-driven direct ordering is emerging as a critical replacement.
Key Takeaways
- 1Transition away from high third-party commissions (20-30%) that can exceed 40% of revenue when accounting for hidden fees.
- 2Audit delivery menu markups to ensure pricing transparency as the FTC increases scrutiny on "deceptive" hidden fees.
- 3Invest in AI-driven direct ordering infrastructure to recapture guest relationships and eliminate 'middleman' transaction tolls.
Source: Hospitality Technology
Keep reading
Our reporting
More in technology