{"id":10653,"date":"2026-04-24T10:06:11","date_gmt":"2026-04-24T10:06:11","guid":{"rendered":"https:\/\/deonde.co\/blog\/?p=10653"},"modified":"2026-04-24T10:06:11","modified_gmt":"2026-04-24T10:06:11","slug":"how-to-calculate-roi-food-delivery-software","status":"publish","type":"post","link":"https:\/\/deonde.co\/blog\/how-to-calculate-roi-food-delivery-software\/","title":{"rendered":"How to Calculate the Real ROI of Food Delivery Software Before You Sign Anything"},"content":{"rendered":"<p><span style=\"font-weight: 400;\">Most food business owners evaluate software the wrong way. They look at the monthly subscription price, compare it to what they&#8217;re paying aggregators, and assume the math works in their favor. Sometimes it does. But often, they&#8217;re missing three to four cost layers that flip the calculation entirely \u2014 and they discover that six months too late.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Before you sign any food delivery software contract, you need to run a proper ROI calculation. Not a rough estimate \u2014 a structured, five-step analysis that accounts for hard savings, soft returns, and the payback timeline your cash flow can actually absorb. We&#8217;ve helped thousands of food businesses across 48+ countries make this decision. Here&#8217;s the exact framework we recommend every operator use before committing to any platform.<\/span><\/p>\n<p><b>What is the ROI of food delivery software?<\/b><span style=\"font-weight: 400;\"> The ROI of food delivery software is the net financial return a food business gains from investing in a delivery platform \u2014 calculated by measuring all cost savings, revenue gains, and operational improvements against the software&#8217;s total annual cost, expressed as a percentage. A positive ROI confirms the investment generates more value than it costs.<\/span><\/p>\n<h2><b>5 Steps to Calculate the Real ROI of Food Delivery Software<\/b><\/h2>\n<p><img loading=\"lazy\" decoding=\"async\" class=\"alignnone size-full wp-image-10651\" src=\"https:\/\/deonde.co\/blog\/wp-content\/uploads\/2026\/04\/5-Steps-to-Calculate-the-Real-ROI-of-Food-Delivery-Software.png\" alt=\"5 Steps to Calculate the Real ROI of Food Delivery Software\" width=\"1024\" height=\"905\" title=\"\"><\/p>\n<h3><b>Step 1: What Are You Actually Paying Right Now?<\/b><\/h3>\n<p><span style=\"font-weight: 400;\">Before you measure any ROI, you need an accurate baseline \u2014 and most operators don&#8217;t have one. Third-party delivery platforms don&#8217;t make their true cost easy to see in one place.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Here is what you need to add together:<\/span><\/p>\n<ul>\n<li><b>Commission fees \u2014 the visible cost.<\/b><span style=\"font-weight: 400;\"> DoorDash, Uber Eats, Zomato, Talabat, and similar platforms charge between 15% and 30% per order in base commission. On $5,000 worth of monthly delivery orders, that&#8217;s $750\u2013$1,500 leaving your business before you&#8217;ve counted anything else.<\/span><\/li>\n<li><b>Payment processing fees \u2014 layer two.<\/b><span style=\"font-weight: 400;\"> Third-party platforms typically charge 2.9%\u20133.5% in payment processing on top of commission. This fee doesn&#8217;t appear in your headline commission rate, but it hits every transaction.<\/span><\/li>\n<li><b>Marketing and boost fees \u2014 layer three.<\/b><span style=\"font-weight: 400;\"> Want visibility on the platform? Sponsored listing fees, campaign costs, and &#8220;boost&#8221; charges can add another 5%\u201310% of monthly revenue. Most restaurants spend in this range just to maintain competitive placement within the app&#8217;s search results.<\/span><\/li>\n<li><b>Lost customer data value \u2014 layer four.<\/b><span style=\"font-weight: 400;\"> According to research across direct ordering platforms, owning your customer data increases lifetime value by up to 67% through direct marketing and loyalty programs. When a customer orders through a third-party app, their contact info, preferences, and order history belong to the platform \u2014 not to you.<\/span><\/li>\n<\/ul>\n<p><b>Your true current cost formula:<\/b><\/p>\n<p><b>True Monthly Cost = (Commission % \u00d7 Monthly Revenue) + Payment Processing Fees + Boost Spend + Estimated Customer LTV Loss<\/b><\/p>\n<p><span style=\"font-weight: 400;\">Run this against your last three months of delivery data. Most operators we work with discover their real cost is 35%\u201345% of delivery revenue \u2014 not the 15%\u201330% they originally assumed. That gap is where the real ROI story begins.<\/span><\/p>\n<h3><b>Step 2: What Does the Software Actually Save You?<\/b><\/h3>\n<p><span style=\"font-weight: 400;\">Once you know your true current cost, identifying the hard savings from food delivery software becomes straightforward. These are the numbers you can take directly to a spreadsheet.<\/span><\/p>\n<p><b>Commission elimination.<\/b><span style=\"font-weight: 400;\"> If you process $5,000\/month in delivery orders through an aggregator at 25% commission, you&#8217;re paying $1,250\/month in fees alone. Switch to a commission-free delivery platform and you keep that margin immediately \u2014 every single month.<\/span><\/p>\n<p><b>Driver cost savings.<\/b><span style=\"font-weight: 400;\"> Good<\/span><a href=\"https:\/\/deonde.co\/food-delivery-management-software-restaurant.shtml\"> <span style=\"font-weight: 400;\">delivery management software<\/span><\/a><span style=\"font-weight: 400;\"> handles auto-dispatch, route optimization, and driver payouts automatically. According to industry data, route optimization alone reduces delivery costs by 20%\u201335% through fuel savings and fewer missed assignments. <\/span><i><span style=\"font-weight: 400;\">(Source: Straits Research, 2025)<\/span><\/i><\/p>\n<p><b>Order accuracy savings.<\/b><span style=\"font-weight: 400;\"> Manual order management generates errors. Each error results in refunds, remakes, and customer churn. Automated order management systems reduce error rates significantly \u2014 and every prevented refund goes directly back to your bottom line.<\/span><\/p>\n<p><b>Labor efficiency gains.<\/b><span style=\"font-weight: 400;\"> When orders flow automatically from customer to kitchen to driver \u2014 without staff manually punching in orders from multiple apps \u2014 your labor hours per order drop. For a restaurant handling 50+ orders daily, this typically saves 1\u20132 staff hours per shift.<\/span><\/p>\n<p><b>Hard Savings Formula:<\/b><\/p>\n<p><b>Annual Hard Savings = (Commission saved per month \u00d7 12) + (Driver cost reduction \u00d7 12) + (Error reduction savings \u00d7 12) + (Labor hour savings \u00d7 hourly rate \u00d7 365)<\/b><\/p>\n<p><span style=\"font-weight: 400;\">For most operators processing more than 200 orders per month, this number clears the software&#8217;s annual cost well within the first quarter of going live.<\/span><\/p>\n<h3><b>Step 3: What About the ROI You Can&#8217;t Put in a Spreadsheet?<\/b><\/h3>\n<p><span style=\"font-weight: 400;\">Hard savings only tell part of the story. Three soft ROI factors matter enormously for long-term profitability \u2014 and most operators completely ignore them when evaluating software.<\/span><\/p>\n<p><b>Customer data ownership.<\/b><span style=\"font-weight: 400;\"> When you own your ordering channel, you own the customer relationship. You can run retargeting campaigns, send personalized<\/span><a href=\"https:\/\/deonde.co\/restaurant-chat-notification-solution.shtml\"> <span style=\"font-weight: 400;\">push notifications<\/span><\/a><span style=\"font-weight: 400;\">, and build loyalty programs that bring customers back directly. Research on direct ordering platforms shows customer reorder rates on direct channels (35%\u201355%) are roughly double those on third-party apps (15%\u201325%).<\/span><\/p>\n<p><b>Brand equity recovery.<\/b><span style=\"font-weight: 400;\"> On a third-party app, customers associate their experience with the platform \u2014 not your restaurant. Studies show that 43% of customers cannot recall the restaurant name after ordering through a delivery app. Your own platform puts your brand front and center on every order, every notification, and every receipt.<\/span><\/p>\n<p><b>First-party analytics.<\/b><span style=\"font-weight: 400;\"> With your own<\/span><a href=\"https:\/\/deonde.co\/restaurant-data-analytic-management-solution.shtml\"> <span style=\"font-weight: 400;\">analytics dashboard<\/span><\/a><span style=\"font-weight: 400;\">, you can see which menu items drive the most reorders, which<\/span><a href=\"https:\/\/deonde.co\/food-delivery-zone-management-system.shtml\"> <span style=\"font-weight: 400;\">delivery zones<\/span><\/a><span style=\"font-weight: 400;\"> are most profitable, and which promotions generate real revenue versus just discounts. This intelligence compounds over time \u2014 and every week on your own platform, your decisions get sharper.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">These three factors don&#8217;t appear in a monthly savings calculation. However, they determine whether your business is building equity or simply processing transactions for someone else&#8217;s platform.<\/span><\/p>\n<h3><b>Step 4: How Do You Run the Full ROI Calculation With Real Numbers?<\/b><\/h3>\n<p><span style=\"font-weight: 400;\">Here is the complete ROI formula for food delivery software:<\/span><\/p>\n<p><b>ROI (%) = [(Annual Savings + Annual Revenue Gains) \u2013 Annual Software Cost] \u00f7 Annual Software Cost \u00d7 100<\/b><\/p>\n<p><span style=\"font-weight: 400;\">Let&#8217;s run a worked example using realistic figures for a restaurant processing $5,000\/month in delivery orders.<\/span><\/p>\n<p><b>Current situation \u2014 third-party platform:<\/b><\/p>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Monthly commission (25%): $1,250<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Monthly payment processing fees (3%): $150<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Monthly boost\/marketing spend: $250<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><b>Total monthly cost: $1,650<\/b><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><b>Annual cost: $19,800<\/b><\/li>\n<\/ul>\n<p><b>After switching to your own platform:<\/b><\/p>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Software subscription: $49\/month ($588\/year)<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Payment processing (2%): $100\/month<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Driver management costs: $200\/month<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><b>Total monthly cost: $349<\/b><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><b>Annual cost: $4,188<\/b><\/li>\n<\/ul>\n<p><b>Annual hard savings: $15,612<\/b><\/p>\n<p><b>Add conservative soft revenue gains<\/b><span style=\"font-weight: 400;\"> (5% improvement in repeat order rate \u00d7 monthly volume): Additional annual revenue: $3,600<\/span><\/p>\n<p><b>Total annual return: $19,212<\/b> <b>Annual software investment: $588<\/b><\/p>\n<p><b>ROI = [($19,212) \u2013 $588] \u00f7 $588 \u00d7 100 = 3,167%<\/b><\/p>\n<p><span style=\"font-weight: 400;\">Even if you apply a 70% conservative discount to the soft revenue gains and cut the commission savings estimate by 20%, the ROI still exceeds 1,500%. The math is not close. This is why we consistently see operators call this the highest-ROI technology decision they&#8217;ve made for their food business. To understand more about how switching to your own platform increases margins, read our breakdown on<\/span><a href=\"https:\/\/deonde.co\/blog\/increase-profit-margins-own-delivery-platform\/\"> <span style=\"font-weight: 400;\">how to increase profit margins with your own delivery platform<\/span><\/a><span style=\"font-weight: 400;\">.<\/span><\/p>\n<h3><b>Step 5: How Long Before the Software Pays for Itself?<\/b><\/h3>\n<p><span style=\"font-weight: 400;\">ROI percentage tells you the return. Payback period tells you <\/span><i><span style=\"font-weight: 400;\">when<\/span><\/i><span style=\"font-weight: 400;\"> you&#8217;ll feel it \u2014 and that matters for cash flow planning.<\/span><\/p>\n<p><b>Payback Period Formula:<\/b><\/p>\n<p><b>Payback Period (months) = Annual Software Cost \u00f7 (Monthly Savings + Monthly Revenue Gains)<\/b><\/p>\n<p><span style=\"font-weight: 400;\">Using our example:<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Annual software cost: $588<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Monthly savings + revenue gains: $1,600<\/span><\/li>\n<\/ul>\n<p><b>Payback Period = $588 \u00f7 $1,600 = 0.37 months \u2014 under two weeks<\/b><\/p>\n<p><span style=\"font-weight: 400;\">For most food businesses processing more than 150 orders per month, payback happens within the first 30\u201360 days. For smaller operations under 50 orders\/month, expect 2\u20134 months.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">According to SaaS industry benchmarks, a payback period under 12 months is considered excellent for any software investment. <\/span><i><span style=\"font-weight: 400;\">(Source: SaaS Capital, 2025)<\/span><\/i><span style=\"font-weight: 400;\"> Commission-free food delivery software routinely achieves payback in 1\u20133 months \u2014 a standard almost no other business technology can match.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Before signing any contract, ask the vendor to walk you through this calculation using your actual order volume. If they can&#8217;t \u2014 or won&#8217;t \u2014 that tells you something important about how confident they are in their own product&#8217;s value.<\/span><\/p>\n<h3><b>What Red Flags Should You Watch Before Signing?<\/b><\/h3>\n<p><span style=\"font-weight: 400;\">Running the ROI calculation is only half the work. The other half is reading the contract carefully. Here are four things that commonly erode the ROI you calculated on paper.<\/span><\/p>\n<p><b>Per-order fees hidden in &#8220;processing.&#8221;<\/b><span style=\"font-weight: 400;\"> Some platforms advertise zero commission but charge a per-order transaction fee that functions exactly like commission at scale. Always calculate total cost at your actual monthly order volume \u2014 not the sample scenario on the pricing page.<\/span><\/p>\n<p><b>Long lock-in periods with no exit clause.<\/b><span style=\"font-weight: 400;\"> If the software underperforms, can you leave? Annual contracts with no early exit clause eliminate your ability to course-correct. We recommend starting with a monthly plan and upgrading once you&#8217;ve verified ROI in your first 60 days.<\/span><\/p>\n<p><b>Setup fees that weren&#8217;t in the headline price.<\/b><span style=\"font-weight: 400;\"> Implementation costs, onboarding fees, and branded app publishing charges can add significantly to your upfront investment. Factor these into your payback period calculation \u2014 they extend the timeline meaningfully for lower-volume businesses.<\/span><\/p>\n<p><b>Analytics locked behind a premium tier.<\/b><span style=\"font-weight: 400;\"> If you can&#8217;t measure delivery performance, driver efficiency, and customer reorder rates in your base plan, you cannot manage ROI. Always confirm that reporting and analytics are included \u2014 not sold separately. Look at what our<\/span><a href=\"https:\/\/deonde.co\/blog\/commission-free-restaurant-ordering-system\/\"> <span style=\"font-weight: 400;\">commission-free ordering system<\/span><\/a><span style=\"font-weight: 400;\"> includes by default to understand what a complete, transparent package should look like.<\/span><\/p>\n<h3><b>How We Help You Run the Numbers Before You Commit<\/b><\/h3>\n<p><span style=\"font-weight: 400;\">We built our pricing model with ROI transparency in mind. Our plans start from $49\/month \u2014 with no per-order commissions, no hidden boost fees, and no customer data lockout.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Every subscription includes a full analytics dashboard, driver management, delivery zone configuration, online payments, and a branded customer app \u2014 so every metric described in this framework is measurable from your first week live.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Before you go live, our team works through this exact five-step ROI calculation with you using your real order volume, delivery frequency, and current third-party spend. We want you to know the numbers before you sign \u2014 not six months after.<\/span><\/p>\n<p><a href=\"https:\/\/deonde.co\/pricing.shtml\"><span style=\"font-weight: 400;\">Explore our pricing<\/span><\/a><span style=\"font-weight: 400;\"> or book a live demo to run the calculation on your business. We&#8217;ll do the math together.<\/span><\/p>\n<h2><b>Frequently Asked Questions<\/b><\/h2>\n<p><b>How do I calculate the ROI of food delivery software?<\/b><\/p>\n<p><span style=\"font-weight: 400;\">Use this formula: ROI (%) = [(Annual Savings + Annual Revenue Gains) \u2013 Annual Software Cost] \u00f7 Annual Software Cost \u00d7 100. Start by calculating your true current cost \u2014 commission, payment fees, boost spend, and lost customer data value. Then quantify your hard savings from switching to your own platform. Always run the calculation on your actual order volume, not industry averages.<\/span><\/p>\n<p><b>What is a good payback period for food delivery software?<\/b><\/p>\n<p><span style=\"font-weight: 400;\">A payback period under 12 months is considered excellent for any business software investment. For commission-free food delivery platforms, most operators processing 150+ orders\/month see payback within 30\u201360 days. The key variable is your current commission spend \u2014 the higher it is, the faster the software pays for itself.<\/span><\/p>\n<p><b>What hidden costs of third-party delivery should I include in my ROI calculation?<\/b><\/p>\n<p><span style=\"font-weight: 400;\">Beyond the headline commission rate (15%\u201330%), include payment processing fees (2.9%\u20133.5%), sponsored listing and boost fees (5%\u201310% of revenue), and the estimated lifetime value of lost customer relationships. Most operators discover their true third-party cost is 35%\u201345% of delivery revenue \u2014 not the 15%\u201325% they originally assumed.<\/span><\/p>\n<p><b>Is food delivery software worth it for a small restaurant?<\/b><\/p>\n<p><span style=\"font-weight: 400;\">Yes, if you process more than 50 delivery orders per month. Below that volume, the absolute commission savings may not cover the software cost within the first 1\u20132 months. However, the brand equity, customer data, and analytics benefits remain valuable even at lower volumes \u2014 particularly if you&#8217;re building long-term repeat business rather than relying on one-time platform orders.<\/span><\/p>\n<p><b>Which metrics should I track after switching to my own food delivery platform?<\/b><\/p>\n<p><span style=\"font-weight: 400;\">Track five metrics monthly: commission saved, average order value, customer reorder rate, delivery error rate, and driver cost per order. Compare these against your pre-switch baseline. By month three, you&#8217;ll have a clear, data-backed picture of whether the software is performing as projected \u2014 and where you can optimize further.<\/span><\/p>\n<p><b>How does owning customer data affect my ROI?<\/b><\/p>\n<p><span style=\"font-weight: 400;\">Customer data ownership is one of the most undervalued ROI drivers in food delivery. Research shows direct channel reorder rates (35%\u201355%) are roughly double those on third-party apps. Every customer who reorders directly through your branded platform instead of a third-party app adds 100% margin on that order \u2014 no commission, no fees, and a stronger relationship with your brand.<\/span><\/p>\n<p><script type=\"application\/ld+json\">\n{\n  \"@context\": \"https:\/\/schema.org\",\n  \"@type\": \"FAQPage\",\n  \"mainEntity\": [\n    {\n      \"@type\": \"Question\",\n      \"name\": \"How do I calculate the ROI of food delivery software?\",\n      \"acceptedAnswer\": {\n        \"@type\": \"Answer\",\n        \"text\": \"Use this formula: ROI (%) = [(Annual Savings + Annual Revenue Gains) \u2013 Annual Software Cost] \u00f7 Annual Software Cost \u00d7 100. Start by calculating your true current cost \u2014 commission, payment fees, boost spend, and lost customer data value. Then quantify your hard savings from switching to your own platform. 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They look at the monthly subscription price, compare it to what they&#8217;re paying aggregators, and assume&#8230;<\/p>\n","protected":false},"author":14,"featured_media":10652,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1008,1006],"tags":[640,1056,1057],"class_list":["post-10653","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-marketing","category-food","tag-delivery-management-system","tag-food-delivery-software","tag-roi"],"_links":{"self":[{"href":"https:\/\/deonde.co\/blog\/wp-json\/wp\/v2\/posts\/10653","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/deonde.co\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/deonde.co\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/deonde.co\/blog\/wp-json\/wp\/v2\/users\/14"}],"replies":[{"embeddable":true,"href":"https:\/\/deonde.co\/blog\/wp-json\/wp\/v2\/comments?post=10653"}],"version-history":[{"count":1,"href":"https:\/\/deonde.co\/blog\/wp-json\/wp\/v2\/posts\/10653\/revisions"}],"predecessor-version":[{"id":10654,"href":"https:\/\/deonde.co\/blog\/wp-json\/wp\/v2\/posts\/10653\/revisions\/10654"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/deonde.co\/blog\/wp-json\/wp\/v2\/media\/10652"}],"wp:attachment":[{"href":"https:\/\/deonde.co\/blog\/wp-json\/wp\/v2\/media?parent=10653"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/deonde.co\/blog\/wp-json\/wp\/v2\/categories?post=10653"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/deonde.co\/blog\/wp-json\/wp\/v2\/tags?post=10653"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}