What is a cover fee? Restaurant reservation pricing explained

A cover fee is a charge that reservation platforms impose on restaurants for each guest booked through their system. For restaurants, these per-cover costs can add up to thousands annually, scaling with your success: the more guests you book, the more you pay. A restaurant doing 500 covers monthly through a platform charging $1 per cover pays $6,000 yearly in cover fees alone.

Key facts

• Definition: Per-guest charge from reservation platforms for each booking
• Typical range: $0.25-$1.50 per cover depending on booking source
• Industry benchmark: Many platforms now offer zero cover fees
• Why it matters: Cover fees create unpredictable costs that scale with success

The quick definition

A cover fee is a per-guest charge that some restaurant reservation platforms assess for each diner booked through their system. Unlike flat monthly subscriptions, cover fees vary based on your booking volume and source.

Most platforms distinguish between:

Why cover fees matter

Costs scale with success

Cover fees create a growth penalty:

The more successful you become at filling seats, the more you pay.

Unpredictable budgeting

With flat subscriptions, you know exact monthly costs. With cover fees, costs vary based on:

• Total booking volume
• Mix of network vs. direct bookings
• Seasonal demand fluctuations
• Promotional periods

Misaligned incentives

Platforms charging network cover fees are incentivized to:

• Drive bookings through their app (more revenue for them)
• Market your customers to other restaurants
• Keep diners in their ecosystem, not yours

How to calculate cover fee costs

Monthly cost calculation

Monthly Cover Fee Cost = (Network Covers x Network Fee) + (Website Covers x Website Fee)

Example (OpenTable Basic):

• 300 network covers x $1.50 = $450
• 200 website covers x $0.25 = $50
• Monthly subscription: $149
• Total monthly cost: $649

Annual projection

Annual Cost = (Monthly Cover Fee Cost x 12) + (Monthly Subscription x 12)

For the example above: ($500 x 12) + ($149 x 12) = $7,788 annually

Cost per reservation

To understand true booking costs:

Cost per Reservation = Total Platform Costs / Total Reservations

This reveals what you actually pay to process each booking.

What is a reasonable cover fee?

Current market reality

Many restaurants now choose platforms with zero cover fees.

When cover fees make sense

Cover fees may be acceptable if:

• Network discovery genuinely brings new guests
• Your volume is very low (flat fees would cost more)
• The platform offers unique features you need
• You cannot switch platforms easily

When to avoid cover fees

Consider alternatives if:

• Most bookings are from repeat guests
• Your volume is moderate to high
• You want predictable costs
• You prefer to own customer relationships

How to reduce or eliminate cover fees

1. Switch to flat-rate platforms

Many modern platforms offer subscription-only pricing:

2. Drive direct bookings

Reduce network cover fees by:

• Promoting your own website booking link
• Training staff to mention direct booking
• Adding booking buttons to your social media
• Using email marketing to drive repeat visits

3. Compare total cost of ownership

Calculate your current total costs:

Compare against flat-rate alternatives to find savings.

4. Negotiate if staying

If you have significant volume, negotiate:

• Lower per-cover rates
• Cap on total monthly fees
• Direct-only pricing (no network fees)
• Contract terms and length

Cover fee cost comparison

Example: 500 monthly covers

At higher volumes, the savings increase dramatically.

Related terms

• Cover - The unit of measurement that cover fees are based on
• No-show - Guests who do not arrive but still cost cover fees on some platforms
• POS (Point of Sale) - Often integrates with reservation systems, may have its own fee structure

Related: How to choose a booking system | Resos pricing