𝙼𝚘𝚟𝚎 𝙵𝚊𝚜𝚝 𝙰𝚗𝚍 𝙱𝚛𝚎𝚊𝚔 𝙴𝚟𝚎𝚗: 𝙳𝚎𝚕𝚒𝚟𝚎𝚛𝚢 𝙴𝚌𝚘𝚗𝚘𝚖𝚒𝚌𝚜 𝙰𝚛𝚎 𝚃𝚘𝚞𝚐𝚑
US delivery behemoth DoorDash reported their full year 2021 results, shaking off some doubts that food delivery demand would slow amidst re-opening with 369 million orders coming through the platform.
That number was ahead of expectations, and sent DoorDash's share price higher, but it still wasn't enough to make a net profit, instead notching a $155m loss.
That's not a surprise to anyone familiar with the industry. Research from McKinsey suggests the economics of food delivery are still challenging for everyone involved – delivery companies, drivers and restaurants.
Many of the restaurants on aggregator platforms may actually be losing money (70c) on an average order. Drivers are making ~$9 per order including tip before considering their own expenses, and the platforms are squeezing out just a 3-4% margin.
𝙲𝚑𝚊𝚛𝚝𝚛 | 𝙳𝚊𝚝𝚊 𝚂𝚝𝚘𝚛𝚢𝚝𝚎𝚕𝚕𝚒𝚗𝚐
