Per-cover fees or a flat fee: what your reservation system really costs

· 3 min read

  • Costs
  • Reservations

When a restaurant chooses a reservation system, it usually looks at features: whether it has a floor map, whether it sends reminders, whether it looks good on a phone. But there is an equally important question that often gets overlooked: how does it charge?

There are two main models: systems that charge a fee for every guest or booking and systems that charge a flat monthly fee. By the end of the year, the difference can be huge.

The two models

Per-cover or per-booking fee

The platform charges an amount for every person seated with a booking made through it, or for every booking. Sometimes it comes on top of a monthly subscription; sometimes it is the only charge.

Pros: if you get very few bookings, you pay little.

Cons: the better you do, the more you pay. And it is hard to know what you will pay next month.

Flat fee

You pay the same every month, no matter how many bookings you get or how many guests are seated.

Pros: predictable cost. The bookings you win through your own work do not cost you more.

Cons: if you hardly get any bookings, it can cost more than a low per-cover fee.

Run the numbers

Let's take an example with round numbers. A restaurant seats 400 guests a month with a reservation. Many platforms that charge per cover charge between 1 and 4 dollars for each one:

  • With a fee of $1 per guest: 400 × $1 = $400 a month, $4,800 a year.
  • With a fee of $4 per guest: 400 × $4 = $1,600 a month, $19,200 a year.

And that is on top of the monthly subscription, if the platform charges one too. With a flat fee, those 400 guests add nothing to your bill.

Now imagine your restaurant grows to 800 guests with reservations. With per-cover fees, your bill doubles. With a flat fee, it stays the same.

Other costs to watch

Per-cover fees are not the only cost that can hide in your bill:

  • Separate modules. Some systems charge separately for the register, the kitchen, reports or guest profiles.
  • Pay-per-message. WhatsApp or SMS reminders may be billed per message. Check what happens when you go over what is included: do they stop, or do they charge you for the excess?
  • Onboarding. Initial setup and data migration are sometimes charged separately.
  • Minimum term. A mandatory annual contract ties you in even if the system does not work for you.
  • Payment fees. If the system charges deposits or guarantees, check whether it takes a cut on top of the payment provider's fee.

Questions to ask before signing

  1. How much will I pay at my current booking volume? And if it doubles?
  2. Does the fee include everything I need, or are there separate modules?
  3. What happens when the included messages run out?
  4. Does onboarding or migration cost extra?
  5. Is there a minimum term?
  6. Who owns my guest data and can I export it?

Direct bookings are yours

There is another factor besides price. When a guest books through a third-party portal, the platform partly manages the relationship. When they book on your own booking page, from your website, your Instagram or your Google Business profile, the guest is yours and so is their data. We explain how in online reservations for restaurants.

The Bookeando model

With Bookeando you pay a flat fee per venue and nothing else: $0 per booking and $0 per guest, whether 100 or 1,000 guests come in a month. Orders, kitchen, register, menu, guests and reports are included from the smallest plan. If you use up your plan's WhatsApp messages, we stop sending them and let you know, with no unexpected charges. Onboarding and migration are included and there is no minimum term.

See the exact numbers in plans and pricing, get answers in the FAQ or request a demo.

Want to see all of this running in your restaurant?

Book a 20-minute demo and we will show you Bookeando with your areas, your tables and your menu.

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