Restaurants told to rebuild menus for delivery success

‘If a dish doesn’t travel well, don’t put it on delivery.’

Singapore casual dining chains that want to succeed in food delivery should treat the channel as a distinct product line rather than a simple extension of the dine-in experience, industry players said, as packaging costs, platform commissions and food quality increasingly determine whether customers reorder.

Gerardo Callipo, product innovation director at Kerry Southeast Asia (Kerry Ingredients (S) Pte Ltd.), said restaurants that perform best in delivery typically redesign menus for travel rather than replicating dishes served in dining rooms.

“Better casual dining brands are treating delivery like a separate product line with its own rules,” he said in an emailed reply to questions.

Operators often narrow their menus, engineer dishes to withstand transport and use packaging that preserves texture and presentation rather than simply hold food, he added.

The shift reflects the physical constraints of delivery, where time, steam and humidity can quickly degrade restaurant dishes.

“Steam, humidity, and time are merciless,” Callipo told QSR Media. Crispy items lose crunch, noodles clump, sauces separate and chilled items sweat or melt during transit, turning what works in a restaurant into a disappointing meal at home, he pointed out.

Because those issues are predictable, restaurants can design around them by simplifying dishes or rebuilding them for travel, Callipo said. “If a dish doesn’t travel well, don’t put it on delivery.”

Delivery Hero (Singapore) Pte. Ltd., which operates foodpanda in Singapore, said its data show a clear divide between quick-service restaurants and casual dining brands.

Fast-food chains dominate in order frequency and speed, driven by recognisable brands and lower prices. Casual dining brands, however, tend to generate higher spending per order.

“Fast-food competes on scale, whilst casual dining competes through differentiation,” Anuran Dhar, practice head for foodservice, wisdom sectors, and agribusiness at GlobalData Plc, said in a separate email.

Average food value for casual dining orders is typically 20% to 40% higher than fast-food because they often involve multiple dishes for group meals or special occasions, said Vivek Abraham, commercial director at foodpanda Singapore.

“Fast-food drives volume and speed, whilst casual dining captures higher-value, more intentional occasions such as family gatherings, weekend indulgences and restaurant-quality at-home experiences,” he said in an emailed reply to questions.

To capture those occasions consistently, restaurants need to redesign their menus and operations for delivery, he added. Brands that do so see stronger operational efficiency, better food quality upon arrival and higher customer ratings.

Menu engineering and packaging design are emerging as two of the most important levers.

Packaging quality

Packaging is increasingly expected to manage moisture, maintain temperature and protect presentation whilst remaining environmentally responsible.

Singapore diners are also becoming more vocal about sustainability concerns, pushing restaurants to move away from single-use plastics toward alternatives such as vented moulded fibre packaging that lets steam escape and helps maintain crispness.

Packaging quality can directly affect commercial performance. Well-designed containers reduce spills and food deterioration, which helps improve customer ratings and reorder rates, Abraham said.

Beyond packaging, operators are also adapting menus to travel better. Formats such as rice bowls, braised dishes and set meals tend to perform well because they retain heat and structure during transport. Some restaurants separate sauces or hot and cold components to preserve texture.

Despite the opportunity, operational complexity remains a hurdle for many casual-dining kitchens.

Compared with fast-food chains, they often handle more ingredients and preparation steps, increasing the risk of bottlenecks, missing items and inconsistent orders during peak delivery periods.

Delivery economics also poses challenges. Platform commissions range from 20% to 35%, according to data from GlobalData, which can quickly erode margins when combined with packaging costs and promotional discounts.

Still, demand for delivery continues to expand. Singapore’s food delivery market was valued at $1.9b in 2025, according to a report by Momentum Works. This represents a 13% increase from a year earlier.

Fast-food chains account for about 79% of delivery revenue, leaving casual dining with a smaller share but significant room to grow, GlobalData said.

Executives said the next phase of growth could include delivery formats designed for small gatherings or “premium at-home” occasions, such as mini-catering sets for four to eight people or higher-quality beverages packaged to retain temperature during transport.

Restaurants that solve those challenges may gain an edge in Singapore’s increasingly competitive delivery market, Callipo said. “The brands that treat delivery as its own business will be the ones that win repeat orders.”