Core Viewpoint - The current critical issue in the restaurant industry is the phenomenon of "increased revenue without increased profit," primarily driven by the recent food delivery wars initiated by internet platforms [1][15][19]. Group 1: Impact on Restaurant Operations - A mid-sized fast-food chain founder reported that they have imposed strict controls on the proportion of delivery orders, setting a red line at 28% to maintain profitability, as dining-in customers typically order more, enhancing average ticket size and gross margin [1][2]. - The founder noted that after participating in a delivery platform's self-pickup project, their average daily order volume peaked at over 200, with delivery and self-pickup orders exceeding 40%, leading to a profit decline of over 12% due to reduced dining-in and lower pricing [1][2]. - A senior executive from a leading tea beverage company also confirmed experiencing the "increased revenue without increased profit" phenomenon during the delivery wars [2]. Group 2: Cost Pressures - Increased costs are attributed to three main areas: delivery costs, promotional costs, and the need for additional materials and labor due to surging order volumes [2][21]. - Many small businesses, particularly family-run establishments, are heavily reliant on dine-in customers and lack the capability to adapt to the delivery model, facing significant declines in foot traffic as consumers shift to online ordering [3][8]. Group 3: Competitive Landscape - The internal review at Meituan indicated that strategies like "self-pickup" and "zero-cost purchase" were effective in achieving high order volumes, but also placed pressure on smaller restaurants that were automatically enrolled in these promotional activities without their consent [4][5]. - The market dynamics have shifted, with platforms like Ele.me gaining significant traction, especially in first-tier cities, leading to increased order volumes for brands but also raising concerns about long-term profitability [20][21]. Group 4: Long-term Industry Implications - The ongoing delivery wars are expected to accelerate the elimination of weaker players in the market, particularly small and medium-sized businesses that lack the resources to compete effectively [18][22]. - The industry is witnessing a shift in consumer behavior towards online ordering, which could lead to a fundamental change in the restaurant landscape if the delivery wars persist [18][19]. - Predictions suggest that if the delivery wars continue, the beverage sector may see a higher elimination rate among smaller brands due to inadequate inventory management and rising labor costs [22][23].

Core Viewpoint - The current critical issue in the restaurant industry is the phenomenon of "increased revenue without increased profit," primarily driven by the recent food delivery wars initiated by internet platforms [1][14][20]. Group 1: Impact on Restaurant Operations - Many restaurant owners are now strictly controlling the proportion of delivery orders, with some setting a threshold of 28% for delivery orders to maintain profitability [1]. - A restaurant founder noted that prior to the delivery wars, their average daily order volume was over 120, with delivery orders accounting for 18%-22%. However, during the peak of the delivery wars, this volume surged to over 200, with delivery and self-pickup orders exceeding 40%, leading to a profit decline of over 12% [1][21]. - The increase in delivery orders has resulted in a significant drop in dine-in customers, which traditionally contribute more to profit margins due to higher average spending [1][14]. Group 2: Cost Pressures - Increased costs are attributed to three main areas: delivery costs, promotional costs, and the need for additional materials and labor due to the surge in orders [2][21]. - The introduction of aggressive promotional activities, such as "0 yuan purchase" campaigns, has severely squeezed the profit margins of many brands, leading to double-digit profit declines despite double-digit revenue growth [2][14]. Group 3: Challenges for Small Businesses - Small and individual restaurants, which heavily rely on dine-in customers, face greater challenges as they are often not equipped to handle the surge in delivery orders and may experience significant customer flow declines [3][19]. - Many small businesses lack the resources and capabilities to participate effectively in platform-driven promotional activities, leading to potential closures if the delivery wars persist [3][19]. - The disparity in operational capabilities means that larger chains can better absorb the pressures of increased order volumes, while smaller establishments struggle to keep up [18][19]. Group 4: Market Dynamics and Future Outlook - The competition among delivery platforms is intensifying, with companies like Ele.me gaining significant market share, particularly in first-tier cities [20]. - The ongoing delivery wars are expected to accelerate the elimination of weaker players in the market, particularly small and medium-sized businesses that cannot adapt quickly to the changing landscape [19][23]. - There is a growing concern that if the delivery wars continue, the overall health of the restaurant industry could be compromised, leading to a higher rate of business failures, particularly among smaller operators [20][21].