The Impact of Social Innovation through Food Delivery Platforms on Business Performance of Restaurants: Focusing on Service Innovation and Operational Efficiency

Purpose: This study aims to identify the business performance and the mechanism according to the use of the Food Delivery Platform (FDP) by restaurants. More specifically, we will look at food delivery platform usage fees from the perspective of advertising cost investment, and examine the effect of these usage fees on restaurant sales growth. In addition, we will examine the mediating role of operational efficiency in this effect. Research design, data, and methodology: For analysis, Baron & Kenny’s (1986) mediation regression equation and Hayes, Preacher, & Myers’ (2011) Macro were used. In addition, Data Envelopment Analysis (DEA) was used to measure the operational efficiency of restaurants. For analysis in this study, the raw data of 2022 Survey on the Management of Restaurant Business by the Ministry of Agriculture, Food and Rural Affairs were used. Results: First, it was found that the increase in the food delivery platform usage fee had a positive effect on the restaurant’s sales increase. More specifically, in restaurants, the monthly average per restaurant increased by about 1.7 million won as the food delivery platform usage fee increased. Second, in terms of the food delivery platform’s influence on the restaurant’s business performance, it was found that the restaurant’s operational efficiency was partially mediated, and one of the positive effects of the food delivery platform was improved operational efficiency. Implications: First, in practice, this study empirically analyzed that the food delivery platform is a way of digital transformation. Second, this study suggests that restaurants need continuous service innovation rather than one-time activities such as purchasing digital devices and software. Third, this study suggests that policy support for the food service industry should be accompanied by support for management capabilities. Fourth, this study contributed academically to the existing digital transformation and food delivery platform related research flow.