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The new "cloud native" model that's popping up in places like NYC is one where restaurants will farm out their delivery orders to a commercial kitchen. This com
by wayoutthere 7y ago
The new "cloud native" model that's popping up in places like NYC is one where restaurants will farm out their delivery orders to a commercial kitchen. This commercial kitchen may make the delivery orders for 50+ restaurants, some of which have no physical storefront. Delivery drivers just go to a warehouse somewhere instead of the main storefront and the customer is none the wiser.
Most takeout / delivery places have been reduced to a menu and a handful of recipes by services like GrubHub and Postmates, so I guess this isn't surprising.
- dehrmann 7y agoI was at a brick-and-mortar restaurant in a good location ordering and saw that 90% of their orders were going to GrubHub and Postmates. It seemed silly to pay of the downtown overhead and make the courier deal with parking for something that could be done out of a warehouse. So part of this model I get.
- empath75 7y agoUntil these Vc funded delivery services go belly up because the business model isn’t sustainable without subsidized prices. Then restaurants that got rid of their restaurants will have no business at all.
- wayoutthere 7y agoNot sure that matters much; 80% of restaurants in NYC don't last more than 5 years anyway. And I'm not sure the business model is unsustainable either -- food delivery existed profitably long before GrubHub.