Food delivery merchants face razor-thin profit margins despite high order volumes

Restaurant owners and food delivery merchants in China are generating significant order volumes (240,000+ RMB) but retaining less than 5% as actual profit due to platform commissions, logistics costs, and operational expenses. Current delivery platforms (Meituan, Eleme) take 15-25% commissions while merchants struggle with inventory management, labor costs, and customer acquisition, making the business model unsustainable despite high gross revenue.