Are big restaurant chains secretly masquerading as independent eateries on delivery apps, and is this practice killing small businesses? It’s a controversial tactic that’s sparking outrage among independent restaurant owners. Independent restaurants are sounding the alarm, accusing global chains of using sneaky strategies to dominate delivery platforms like Deliveroo and Just Eat. But here’s where it gets controversial: while some see this as unfair competition, others argue it’s just smart business. Let’s dive into the details.
Global chains like Pizza Hut, TGI Fridays, Frankie & Benny’s, Las Iguanas, and Barburrito have been creating virtual brands on delivery apps, often under different names that give the impression of being small, independent businesses. For instance, Frankie & Benny’s operates under names like Bird Box and Stacks, while TGI Fridays runs Mother Clucker. This practice has left many independent restaurant owners feeling betrayed, as they struggle to compete with these corporate giants.
Justina John, owner of ONJA Taste of Tanzania in Cardiff, puts it bluntly: ‘It’s like small fish trying to swim with the sharks.’ Justina, who opened her restaurant a year ago, has noticed an overwhelming presence of chain restaurants on delivery apps, often disguised as independents. ‘It’s very sneaky, and it’s not fair to small businesses,’ she adds. ‘The only thing keeping us alive is authenticity—there are certain things you can’t fake.’ She calls for delivery platforms to take greater responsibility by verifying listings and clearly separating independent businesses from corporate brands, making it easier for customers to support genuine indies.
But here’s the counterpoint: delivery platforms like Just Eat, Deliveroo, and Uber Eats argue that virtual brands benefit all businesses, including independents. Just Eat claims these brands allow partners to expand their offerings and diversify revenue streams, while Deliveroo says it’s about championing local businesses by helping them reach new customers in a digital world. Uber Eats adds that it’s committed to leveling the playing field with dedicated account managers and equal exposure opportunities.
And this is the part most people miss: While these platforms claim transparency—allowing customers to see the address of the restaurant—many consumers still struggle to differentiate between independents and corporate-backed brands. Jamie Rees, co-owner of Cardiff’s Fowl and Fury, points out that chains like Frankie & Benny’s and TGI Fridays are flooding the market with multiple digital brands under one roof. ‘They have more money for advertising, promos, photographers,’ he says. ‘It feels a little bit unethical, because people order from these ghost kitchens because of the branding.’
Rajendra Vikram Kupperi, director of Vivo Amigo, echoes this sentiment, calling ghost kitchens ‘a killer’ for independent businesses. ‘The bigger brands can undercut prices and offer better deals,’ he explains. He wants ghost kitchens and big brands separated from independents to prevent consumer confusion and encourage support for genuine local businesses.
But is this practice really unfair, or just a natural evolution of the industry? Peter Backman, CEO of theDelivery.World, argues that it’s only misleading if customers intentionally seek to support independents. ‘If the consumer just wants some wings, what does it matter?’ he asks. However, he acknowledges that transparency is key and suggests a dedicated page for independents on delivery apps—though he questions its practicality.
Here’s the burning question: Should delivery platforms be held accountable for ensuring transparency, or is it up to consumers to do their research? And are big chains crossing a line by disguising themselves as independents? Let us know your thoughts in the comments—this debate is far from over.
