If you are new to using uber Eats, you may be curious about all of the fees included in placing an Uber Eats order. You also may be wondering just where these funds go and what is actually going as a tip to the driver.
To find out more about Uber Eat’s fees and where they go, keep reading. This article will tell you everything that you need to know about services fees vs a tip.
More Uber Eats related articles here.
Table of Contents
What Is The Difference Between Uber Eats Service Fee and Tip?
A tip is the money that is going directly to the Uber Eats driver that has delivered your food. Any other kind of fee on Uber Eats, including the service fee, is going to go directly back to Uber Eats, not the driver.
These are two very different charges and are not going to be used in the same way. Any fee on Uber Eats that is not directly called a tip is going back into Uber Eat’s pocket.
That is why it is important to add a tip to your order so that the driver will get a tip for their hard work. They do not get any of the service fees, so this is the only way that they can get a tip for the delivery.
In fact, tipping is a big deal on the Uber Eats app, as it could be the reason why your order does not get picked up by a driver. Uber Eats drivers can pick and choose the order that they accept, so they can decline none tipping orders.
If you do not leave a tip with your order, there is a chance that your order could end up not getting picked up or delivered.
Should you tip your Uber Eats drivers?
Does the Delivery Fee Include The Tip?
The delivery fee and the tip are also two very different things. The delivery fee is another fee that is going to go straight back to Uber Eats, not the driver.
The delivery fee is the fee that you are charged for having your order delivered to your door. This goes towards paying for the people behind Uber Eats, as well as what goes into setting up orders on the app.
This fee does not go towards delivery drivers and is not included in their tip. If you want to tip your delivery driver, you have to actually use the tip option, as that is the only fee that goes to the driver.
This is why your Uber Eats food is cold and other reasons why Uber Eats sucks sometimes.
Who Gets the Uber Eats Service Fee?
The Uber Eats service fee is one of the many additional fees that customers are charged upon placing an order. Unlike the delivery fee, the service fee goes towards running the Uber Eats platform.
Ultimately, Uber Eats is the one getting the service fee as it uses it to cover other business costs. This could include anything from Uber Eats support to credit card fees to pay the people who work on the app itself.
The service fee is very much there for the technical aspect of Uber Eats and helps cover these kinds of costs. The service fee will never go to the driver as a tip as that is not its purpose.
Depending on how the service fees are being used by Uber Eats, it may go towards paying other employees within the Uber Eats company. This could include website and app developers, customer support, and more.
Why Does Uber Eats Charge a Service Fee?
Like many companies, Uber Eats charges a service fee in order to keep its business up and running. This service fee covers a variety of internal expenses that Uber Eats has to manage on a daily basis.
This fee goes towards keeping the company up and running and helping the app to stay accessible. Without the service fee, Uber Eats would struggle to pay for these things and keep its company running smoothly.
The service fee can also go towards paying the people working behind the company for their work. Such as the people that work on development and keep the app running for both Uber Eats customers and drivers.
What Are the Differences Between Uber Eats Service Fee and Tip?
The Uber Eats service fee is very different from a tip as it does not go to the driver. The tip is the only Uber Eats fee that ever goes to the delivery driver, all other fees go back to Uber Eats.
In order to tip your Uber Eats delivery driver, you have to tip them directly through the tipping option. Otherwise, they will not receive a tip, and this could affect whether or not your order gets picked up.
Uber Eats drivers have the ability to accept and decline orders, so no tip could mean that your order doesn’t get delivered.
The service fee and all other Uber Eats fees will go back directly to Uber Eats and its business expenses. The service fee goes directly towards paying for all of Uber Eats service expenses.
This includes expenses, such as development costs, paying Uber Eats employees, and running the Uber Eats delivery app. These are all behind-the-scenes costs that Uber Eats has to pay for in order to keep the company up and running.
All of Uber Eat’s fees can seem extravagant when you are trying to place an order, but they do all have a purpose. Like the service fee, the delivery fee also serves its own purpose in helping the company to continue running.