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Strategystandard

Should a national coffee chain run its own delivery drivers or keep using delivery apps?

How to approach it

Ask what delivery means for the brand: a small share of sales may not justify the cost and risk of running a fleet.

How a strong answer opens

“I'd start with how much delivery matters to the business. If it's a small share of sales, running a fleet may not be worth the cost and risk.”

Outline of a strong answer

Try answering out loud for a few minutes before you open this.

  1. Clarify delivery's share of sales and growth
  2. Compare costs: fees to apps versus running a fleet
  3. Consider customer experience and data ownership
  4. Consider operations: drivers, insurance, coverage
  5. Options: own fleet in dense cities, apps elsewhere
  6. Recommend apps for now, revisit if delivery passes a set share of sales; track drink quality complaints and margin per order

Where this question usually goes wrong

Choosing an in-house fleet for control and data without counting the cost of drivers, insurance and coverage.

Learn the method

Build, buy or partner in Module 5, Product strategy.

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