What is Zoned Pricing?

Zoned pricing is a pricing tactic in which restaurant operators set up pricing models by region, delivery, and service boundaries to determine prices at varied rates for menu items at the exact same location. They tend to use price adjustments to account for different operating costs, delivery distances, and conditions in the marketplace.

Restaurants commonly use zoned pricing for:
  • Delivery orders
  • Multiple restaurant locations
  • Catering services
  • Different service areas
  • Regional promotions

Modern POS systems and ordering systems can automatically calculate based on the location a customer has chosen or based on delivery areas.

How Does Zoned Pricing Work in Restaurants?

Zoned pricing defines predefined price zones with assigned price zone policies.

The general process is as follows:

  • The business sets pricing guidelines based on the zone.
  • The customer puts in an order & a delivery address or selects a zone on the map.
  • The order’s zone is detected based on the delivery info in the POS or on the online order app.
  • The system automatically adds your menu pricing or other charges for the zone the customer chose.
  • This is where the customer checks out.

This will make sure that your pricing will be consistent for all of your services in your service area.