How to Hire Delivery Drivers

Food delivery services are here to stay. According to a 2024 Research Markets report, the U.S. online food delivery market is projected to reach $66.54 billion by 2032 This is up from $28.37 billion in 2023, with a compound annual growth rate of 9.93% between 2024 and 2032. The continuing rise of smartphone and internet usage and the convenience of food delivery fostered a demand for delivery drivers for restaurants to extend their reach, target new customers, and provide additional revenue streams. 

In our study of off-premise dining behaviors, 13% of guests reported ordering more delivery. 10% of guests said they ordered food delivery significantly more than during pre-COVID times. According to another study, 60% of Americans order delivery at least once a week.

If you’re asking yourself “What should I know before hiring delivery drivers?” read on to discover all the answers to this question. We will dive into how to hire delivery drivers, whether or not a third-party delivery service is best, and more.

Choosing between third-party delivery companies or hiring your drivers

There are a few pros and cons when it comes to picking your restaurant delivery system strategy. Let’s explore them all! 

Pros of using third-party delivery drivers

No need to do the hiring yourself

If you’re looking to save time, hiring a third-party delivery service may be the best option, as they have the tools and staff needed to ensure efficient delivery routes, timely deliveries, and customer satisfaction. They often have route planning software and skilled drivers who receive comprehensive safety training, which means they learn defensive driving techniques and also have excellent customer service skills. Hiring a third party means you don't have to manage the delivery process, giving you time to focus on your business. 

Large network of drivers

Access to a larger fleet of drivers enables you to fulfill more orders than if you hire a few drivers directly. Many third-party services also increase your reach through apps and marketing resources, helping you acquire new customers.

No need to worry about car insurance 

When you hire a third-party app, you don’t have to worry about car insurance, liability insurance, or stressing about damage to company vehicles. These liabilities are all covered by the third party.

Cons of using third-party delivery drivers

Significant commissions charged by third-party delivery 

Many third-party services charge high commission fees. These extra costs can eat up any potential profits, especially from higher-margin items like alcohol or beverage sales. 

Pros of hiring drivers

Personal connection means more trust

With dedicated food delivery drivers on your payroll, you can further guarantee that your delivery service follows your restaurant-quality protocol. Plus, having committed drivers assures that your food will be handled properly. In house drivers are part of the company culture so may be more likely to follow company protocols accurately, provide excellent customer service, and deliver food in a timely manner.

Ensure you provide the best customer experience

Drivers give you control of the customer experience—from when an order ticket arrives to when the meal is delivered. This supervision can translate to a better customer experience and a better likelihood of getting repeat customers. 

Cross-functional training 

A dedicated team member is an opportunity to cross-train them in other areas of your restaurant operations. This approach incentivizes employees as they see a future working with your business. This kind of employee confidence can translate into better service and operational efficiency.

Cons of hiring drivers

Large upfront investment 

Many restaurants do not have the initial capital investment to find, hire, and train in-house drivers. This lack of capital can make joining a third-party company to hire specialized drivers an attractive choice.

Costs associated with car insurance and maintenance

If you decide to purchase vehicles for delivery, you’ll need to have a commercial auto policy. In addition, you will need to consider liability insurance, maintenance costs, and outfitting the car (i.e. adding stickers or other labels for your car.) These costs all add up every month. You could go down the route of hiring independent contractors, each with their own vehicle which can help you save money on vehicle maintenance and other costs. However, you can't guarantee that the delivery vehicles will be in the best condition.

When it comes to hiring or outsourcing restaurant delivery drivers, different strategies work for different businesses. If you’ve decided to go with hiring your drivers, read on:

How to hire new food delivery drivers

Find candidates

Fortunately, today’s technological world provides multiple job boards and other methods to hire a new delivery driver. Posting your job ad on websites like Indeed are a good start, along with specialized industry job boards like Good Food Jobs, Gary’s Job Board, GigSmart, Layover, and Bacon. Also, ask current employees and leverage your existing social media networks to find potential candidates for your delivery driver jobs.

Interview them

The interview process can tell you if a candidate is the right fit. You'll need to assess the candidate's driving skills and suitability with the job description. Here are a few helpful questions to ask your delivery driver candidates: 

• What made you decide to apply?

• How do you feel about working weekends, holidays, nights, etc?

• Do you have experience in the food delivery business?

• How’s your driving record?

Conduct background checks around driving history

Now is the time to verify your candidate’s answers. Your delivery driver represents your restaurant and is responsible for the safety of customers’ food, the company car, and more, so their driving skills need to be up to the task. Ensure that they have a valid driver's license and a clean driving record. Also, do a background check to check for any red flags. Contact previous employers to make sure there have been no issues in the past.

Gather paperwork

All paperwork must be updated during the onboarding process so that your delivery driver can legally operate your vehicle. This paperwork includes updating your car insurance, registration, and your delivery driver’s license. 

Onboard and train your drivers

While it may seem like you should skip this step (especially if you hired an experienced driver), it doesn’t hurt to review safety practices, your restaurant’s policy, and what to do when reporting accidents. Giving your driver an overview can help to limit problems in the future.

Decide on a delivery radius

Now that you have drivers, choose their delivery radius. Having an established delivery radius avoids confusion, saves gas, and more. Defining your delivery radius before the interview process is also an option, especially if you have a larger delivery zone. This way, you can hire drivers well-versed in certain delivery areas and create efficient delivery routes.

Get them driving!

Now it’s time to get moving! Once you have established a delivery radius and hours, it’s time to let your delivery driver shine by making deliveries. Make sure to regularly monitor driver performance and customer service skills.

Delivery Driver? Check. 

With food delivery on the rise, it’s smart for restaurants to join in and get a piece of the delivery pie. Deciding to hire a third-party service or your fleet is a major decision - so think wisely about what works best for your business. Either way, having delivery options open your business to a new revenue stream and more customers. That means more profits for your business in these uncertain times.