Restaurant Catering: How Independent Operators Add a High-Margin Revenue Channel
Catering is one of the highest-leverage revenue channels available to an independent restaurant. The orders are bigger, the margins are stronger, and the customer relationships are more durable than typical takeout. The catch is that most operators either don’t offer it, or offer it through a marketplace that takes a significant share of every order.
This guide answers the questions independent operators ask before adding catering or moving it from a third-party marketplace to a direct channel. We’ll cover profitability, software, commission economics, and how to start.
How much more profitable are catering orders compared to regular takeout?
Catering orders run an average of $360 in order value, and they’re typically 9–10x larger than a standard takeout order. That changes the unit economics in your favor.
Most of the cost structure of fulfilling an order is fixed: the labor to take it, the prep time to assemble it, the packaging, the kitchen attention. A $360 catering order absorbs those costs once. Ten $36 takeout orders absorb them ten times. Fewer orders, bigger checks, less operational drag per dollar of revenue.
Want a deeper look at the off-premise channel economics? Check out our Maximize Takeout Profits Guide here.
How can my restaurant start a catering program from scratch?
Start with four decisions, in this order:
- Menu. Pick 8–12 items that travel well, scale to large groups, and don’t fall apart in transit. Family-style trays, sandwich platters, and bulk salads are the workhorses.
- Lead times and minimums. Set a minimum order size and a lead time (24–48 hours is typical) so your kitchen can plan. Without these, large orders will blow up your service.
- Ordering channel. Decide whether catering orders flow through a direct channel you own or a third-party marketplace. This is the highest-leverage decision in the list.
- Operations. Designate who packs catering, when, and how it gets handed off. Most catering failures are operational, not culinary.
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What’s the easiest way to add catering to my restaurant business?
Add direct catering ordering to the website you already have. If you’re already running online ordering through a platform that supports catering, turning it on is closer to a configuration change than a new product launch.
The reason this beats a marketplace-first approach: you keep more of every order, you own the customer data, and you can market to those catering customers directly afterward. A marketplace-first approach delivers demand but takes the margin and the customer relationship with it.
Do I need separate software to manage restaurant catering orders?
No, and you probably shouldn’t.
Catering-specific software exists, but for an independent restaurant it usually creates more problems than it solves. You end up with two systems, one for takeout, one for catering, that don’t share data, don’t share menus, and don’t share customer records. Every catering customer becomes invisible to your regular marketing, and every operational hand-off becomes a manual reconciliation.
The cleaner answer is one platform that handles both. ChowNow Catering runs inside the same system as direct online ordering, so catering orders, takeout orders, and customer data live in one place. There’s nothing to integrate, nothing to sync.
What software should restaurants use to take catering orders online?
The right software depends on whether you want catering revenue to compound through your direct channel or pass through a marketplace.
The criteria that matter for an independent operator: a low, predictable commission; integration with the direct ordering platform you already run; and customer data ownership so you can drive repeat catering business yourself.
Best catering management software for independent restaurants
For an independent operator running a direct ordering business, the strongest option is ChowNow Catering, with direct catering ordering at 5% commission, integrated into the same platform as your regular online ordering, with the operational tools (lead times, order minimums, scheduling up to 30 days out) catering actually needs.
Catering marketplaces like ezCater have their place if your strategy is built around third-party demand generation, but for the operator who wants catering to compound their direct revenue, marketplace economics work against you over time.
ChowNow Catering vs ezCater: which is better for independent restaurants?
It depends on what you’re optimizing for.
ChowNow Catering is direct catering ordering integrated into your own website and brand. The commission is 5%, the customer relationship is yours, and the catering business compounds because you can market to past catering customers directly.
ezCater is a catering marketplace. It generates demand and routes it to restaurants, and it charges 15% commission per catering order for that service. The marketplace owns the customer relationship, which means the next time that customer needs catering, ezCater decides which restaurant gets the order.
For most independent operators, the answer is direct. A restaurant fulfilling 10 catering orders per month at $360 AOV saves roughly $5,600 a year on commission alone by running catering directly through ChowNow versus paying 15% to a marketplace, and that’s before factoring in the value of owning the customer relationship.
What’s the commission difference between ezCater and ChowNow Catering?
ezCater charges 15% per catering order. ChowNow charges 5%.
On a single $360 catering order, that’s $54 to ezCater versus $18 to ChowNow, a $36 difference per order. Multiply that across 10 catering orders a month and you’re at $360 a month, or roughly $5,600 over the course of a year.
The commission gap is the most direct savings, but the strategic gap matters more. The 15% you pay ezCater goes toward demand they own. The 5% you pay ChowNow goes toward a platform that turns those catering customers into your repeat customers.
What is the typical commission on catering marketplaces vs direct catering ordering?
Catering marketplaces charge a percentage of every order in exchange for the demand they generate. ezCater is 15% on catering. Direct catering platforms like ChowNow charge a meaningfully smaller commission, 5% per order, because they’re not generating the demand, they’re powering your own.
The structural difference: marketplace commission is paid forever on every order, including repeat orders from customers you’ve already earned. Direct commission is paid on the platform that lets you keep those customers and market to them yourself.
How much can a restaurant save by taking catering orders directly?
A restaurant fulfilling 10 catering orders per month at $360 AOV saves roughly $5,600 a year by running catering directly through ChowNow versus paying 15% to a marketplace.
That’s the commission savings alone. It doesn’t include the compounding value of customer data — every catering customer becomes a marketing contact you can reach for future events, holidays, and corporate orders. The savings grow as catering volume grows.
What’s the average order value for restaurant catering?
The average catering order on ChowNow runs $360. Compared to standard takeout, catering orders are typically 9–10x larger, which is what makes the channel so valuable: a small number of orders meaningfully moves the revenue line.
What’s the ROI of adding online catering ordering to my restaurant?
Two ways to think about ROI:
Direct revenue. A few catering orders a week at $360 AOV adds up faster than most operators expect. Ten catering orders a month is $3,600 in monthly revenue from a channel that’s mostly absorbed by your existing kitchen capacity.
Channel economics. Direct catering ordering at 5% commission is meaningfully cheaper than marketplace commission, and the customer data stays with you, so a catering customer this month is a marketing contact next month, and a repeat catering customer next quarter.
The combination is what makes catering one of the highest-leverage adds for an independent restaurant: a channel that drives high-margin orders today and feeds your direct marketing engine going forward.
How does ChowNow Catering work?
ChowNow Catering runs as a digital catering storefront alongside your regular online ordering experience. Customers find your catering menu on your website, build their order, and check out. The order flows through to your kitchen the same way a takeout order does, with the catering-specific operational details (lead time, order minimums, prep windows) already accounted for.
Because it lives inside the ChowNow platform, every catering order builds the same customer list as your takeout business, so you can market to past catering customers directly when the next event, holiday, or corporate order is coming up.
Can I set order minimums and lead times with ChowNow Catering?
Yes. You can set order minimums, order maximums, lead times, and prep windows, and you can schedule catering availability up to 30 days out.
This matters because catering only works operationally if your kitchen has time to plan. A surprise $1,200 catering order showing up 90 minutes before pickup is a service disaster waiting to happen. Lead times and minimums put you in control of when catering orders can land, so you can scale the channel without breaking the kitchen.
Getting started with direct catering
Catering is one of the highest-leverage revenue channels available to an independent restaurant. The orders are big, the margins are strong, and the customer relationships compound, but only if you run it through a channel that lets you keep both.
That’s what ChowNow does. Direct online ordering, catering, and marketing all live in one platform, so catering orders flow through the same system as the rest of your business, and every catering customer becomes a contact you can reach for the next order.
The ChowNow Catering Playbook walks through menu design, pricing, and operational setup for independent operators. When you’re ready to see how direct catering would work for your restaurant, book a demo and we’ll walk through it together.
Or, if you are ready to see how ChowNow helps restaurants take catering orders directly and grow repeat business, you can also book a demo here.
Frequently Asked Questions About Catering Marketing
What is catering marketing?
Catering marketing is how you help customers discover your catering, trust your restaurant, and order without friction. It includes your website, Google presence, outreach, and follow ups that drive repeat orders.
How do I promote catering on my Google Business Profile?
Make catering obvious in your profile and link directly to your catering ordering page. Add photos of real catering setups and keep your info updated so customers can choose you quickly.
How do I market my restaurant catering to corporate clients?
Corporate buyers care about reliability and ease. Make ordering simple, offer clear packages for groups, and build a light outreach habit with nearby offices and organizations.
Is third party catering worth it?
It can be useful for discovery, especially when you are building awareness. The best long term strategy is to make it easy for repeat customers to order directly from your restaurant next time.
Do I need a catering manager to grow sales?
Not necessarily. Many restaurants grow catering by making standard orders easy to place online, setting clear expectations up front, and using simple follow ups to drive repeat business.
