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Reading between the lines, the only real opportunity for a sustainable moat is the dark kitchens and order batching. This has been tried and failed a few times
by jerkstate 7y ago
Reading between the lines, the only real opportunity for a sustainable moat is the dark kitchens and order batching. This has been tried and failed a few times already, my guess is the secret ingredients are scale and marketing.
Delivery from traditional restaurants is just too low margin, historically it was done by only some types of restaurants at break-even or even a slight loss to increase demand, now that people are used to paying $6-10 premium, once the music stops and the VC money stops flowing, the restaurants that stay in business will easily adapt.
- noer 7y agoThe tools required for a marketplace that connects people to existing restaurants and a "marketplace" that connects people to multiple "restaurants" that are in reality all from the same dark kitchen are pretty different. The former only requires staff, the latter requires real estate, equipment and product in addition to staff. It's essentially building a restaurant with a tech component, not building a tech product.