The Real Costs of Going Digital: What Restaurants Need to Know About Online Payments

Digital Growth Is Here — and It’s Not Slowing Down

The restaurant industry is embracing digital faster than ever. From mobile apps to web ordering, e-commerce is officially on the menu. But while new revenue streams are exciting, they come with serious side dishes: higher payment costs, fraud exposure, and chargeback chaos.

Ignoring these shifts won’t just ding your profits—it can quietly crush them.

The Digital Dining Boom

In-person dining isn’t dead, but digital ordering is exploding. According to the National Restaurant Association’s 2024 State of the Industry report, 66% of adults say they’re more likely to order takeout now than before the pandemic—and they’re doing it online.

At the same time, mobile payments now account for 14% of all in-person card transactions, up from just 7% in 2022, according to PYMNTS. Yet despite this growth, only 41% of full-service restaurants and 42% of limited-service spots plan to invest further in mobile payments this year. That’s a massive gap—and a massive risk.

Payments: Your New Biggest Expense (That Nobody Told You About)

Here’s what nobody tells you when you roll out online ordering: processing fees can quietly overtake major line items like rent.

Credit card fees typically run 2–3.5% per transaction, and third-party platforms (hi, delivery apps) often tack on even more. Restaurants already operating on razor-thin margins are feeling the squeeze—especially independents and small chains.

According to the Wall Street Journal, some operators now cite payment processing as their third-largest expense after labor and food costs. Ouch.

Fraud Loves Digital Ordering. Here’s Why You Should Care.

More online orders = more surface area for fraud. It’s that simple. The Nilson Report found a 16% year-over-year increase in card fraud losses globally, totaling $38 billion last year—and restaurants were a prime target.

Most attacks aren’t high-tech Ocean’s Eleven operations either. It's basic stolen card data, automated bot attacks on checkout pages, and “friendly fraud” where customers dispute legit charges just because they can.

Chargebacks: Death by a Thousand Disputes

Chargebacks used to be rare in restaurants. Now, thanks to digital channels, they’re a daily battle. According to Chargebacks911, friendly fraud accounts for nearly 50% of all chargebacks today.

It’s not just about losing a sale. It’s about dispute fees, penalties, time spent fighting it, and the risk of being labeled “high risk” by processors—leading to even higher fees.

What Smart Operators Are Doing (And How CTP Helps)

You can’t ignore the shift online—but you can outsmart it. Commerce Technology Partners works directly with restaurant groups to:

• Audit your payment setup: Are you overpaying? Are you exposed? We’ll tell you.

• Implement better fraud tools: Real-time detection, bot prevention, and smarter authentication.

• Chargeback strategy: Proactive policies, faster response times, and evidence management.

• Vendor negotiation: Better contracts, lower rates, smarter tech integrations.

Bottom line: You focus on great service. We’ll make sure your payments operation doesn’t quietly set your margins on fire.

Turning Digital Risk Into a Competitive Advantage

Going digital is non-negotiable for restaurants in 2024 and beyond. But doing it smartly—by understanding payment costs, fraud risks, and chargeback realities—is what separates thriving operators from those who drown in fees and disputes.

If you’re ready to turn digital into a real advantage, not a slow bleed, we’re ready to help.