Olive Garden Is Test-Piloting Delivery Options With Uber Direct

Olive Garden is trying to get into the delivery game by test-piloting delivery options with Uber Direct.

According to The Takeout, the initiative isn’t quite off the ground yet; by the end of this year, it will only be launching in a few places. However, Darden Restaurants, the parent company of Olive Garden, anticipates that the program will be adopted nationwide by May 2025.

Uber Direct is not the same as the larger consumer platform Uber Eats. Eventually, customers will place their orders only through Olive Garden’s mobile app and website.

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At the moment, Olive Garden is putting in place a procedure whereby staff members will deliver orders to drivers who will be waiting in certain pickup locations.

Olive Garden Rakes in the Profits

Whatever the Italian-inspired casual dining chain is doing is working, because back in September, the restaurant revealed an astounding $4.97 billion in total revenue. Despite inflation and other pressures on the American economy, the latest survey shows that there is a steady demand for Italian food.

The “Italian Restaurants in the US – Industry Market Research Report” was published by Research and Markets. This study discusses key success characteristics, sensitivity, and the size, growth, and disposition of the industry. Growth rates, industry forecasts for the next five years, and a list of the market’s leading firms and their market shares are also provided.

With a staggering $4.97 billion in sales and a $121.3 million profit, Olive Garden topped the list of the largest Italian restaurants in the US, according to the survey. The profit margin is 2.4% as a result.

According to the survey, demand for Italian restaurants — which are often seen as high-end dining options — tends to decrease when the economy is shaky and individuals have less money to spend. Recent supply chain interruptions and rising inflation have directly increased food costs, pushing restaurants to boost their pricing, which in turn limits revenue growth.

The paper also claims that prolonged conflicts, especially the one in Ukraine, have made the supply chain more complex and raised the volatility of material prices. The expected resolution of these issues may help limit these expenses, which is crucial for Olive Garden and other Italian restaurants to potentially succeed.