Olo, the company behind online ordering for many restaurant chains, has launched its own app for takeout and delivery. Its main pitch is that it does not mark up menu items, which sets it apart from Uber Eats and DoorDash. Olo says that can save customers 15% to 30% per item.
What changed
Until now, Olo worked behind the scenes, building ordering software for restaurants. The new app puts the company in front of customers. People can order from national chains and local restaurants. Olo already works with places ranging from Waffle House to Frank Pepe's, the well-known pizza spot in New Haven, Connecticut.
Why markups matter
A markup means an item costs more in a delivery app than it would on the restaurant's own menu. Olo paid for a study that found most people expect delivery fees, but only 27% of American adults know about menu markups. Because Olo funded that study, treat the number as the company's own evidence.
What is not known yet
- The material does not say where the app is available.
- It does not say whether delivery fees apply.
- It does not explain how the 15% to 30% savings were measured.
- It does not say how many restaurants are on the app.
Rivals have not responded in the material, so the savings claim has not been tested independently. For now, the simple check is to compare the price of the same item in the app and on the restaurant's own menu.
The takeawayIf you order delivery often, compare an item's price in the app with the restaurant's own menu to see whether a markup is raising your bill.