A lot of what you hear and read about the big delivery networks — DoorDash, Grubhub, Uber Eats, etc. — is that they’re a terrible economic deal for restaurants. It’s an especially tough tradeoff for neighborhood restaurants and startups, which don’t have much leverage or much profit margin to spare.
Grubhub was early to the food delivery game and unlike its VC-backed competitors, it was consistently profitable. That its business model worked should have given Grubhub a leg up, but what it actually meant was that the company was playing a different game from competitors bloated with venture capital and untethered to things like profit and unit ... See more
The most important shift in restaurants in the past decade has been the rise of online ordering and delivery. UberEats, Postmates, Doordash, and a handful of other apps have been knife-fighting (in extremely uneconomical ways) for the privilege of becoming food delivery aggregators. Own enough customer demand, the thinking goes, and not only will r... See more