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The idea that this is just GrubHub or DoorDash or whoever being greedy doesn't seem to jive with these companies losing money too. It seems more likely that th

The idea that this is just GrubHub or DoorDash or whoever being greedy doesn't seem to jive with these companies losing money too. It seems more likely that the economics of general delivery service just don't work out very well for most restaurant types. It ends up costing the restaurant too much, such that the prices to compensate themselves and the drivers fairly are higher than consumers will tolerate paying. A nice, friendly co-op would probably work okay for restaurant types that were already known for delivery (e.g. pizza), probably not for others.

kerkeslager 6y ago
> The idea that this is just GrubHub or DoorDash or whoever being greedy doesn't seem to jive with these companies losing money too. The executives of GrubHub and DoorDash aren't losing money. Note that "not making as much money" is not the same as losing money.
- TulliusCicero 6y ago
  I mean okay, but I doubt the executive pay is really moving the needle in terms of whether these companies are profitable. > Note that "not making as much money" is not the same as losing money. I'm talking about the company being profitable, not whether employees are able to draw a salary or whatever. I would think this would be obvious. Both companies are currently unprofitable. Granted, the pandemic obviously isn't helping things. https://craft.co/doordash/metrics https://craft.co/doordash/metrics https://investors.grubhub.com/investors/press-releases/press-release-details/2020/Grubhub-Reports-First-Quarter-2020-Results/default.aspx https://investors.grubhub.com/investors/press-releases/press...
  - kerkeslager 6y ago
    > I mean okay, but I doubt the executive pay is really moving the needle in terms of whether these companies are profitable. Sure, but executives being paid does jive with "[t]he idea that this is just GrubHub or DoorDash or whoever being greedy", which is what I was responding to. The executives being the ones who make the decisions for the corporation.
thatguy0900 6y ago
Wouldn't it hurt them that they're trying to service every resteraunt in every area simultaneously, with massive marketing budgets? Seems like it would be much cheaper to just service your local area
- dehrmann 6y ago
  Economies of scale usually mean it's the opposite.

kerkeslager 6y ago

> The idea that this is just GrubHub or DoorDash or whoever being greedy doesn't seem to jive with these companies losing money too. The executives of GrubHub and DoorDash aren't losing money. Note that "not making as much money" is not the same as losing money.

TulliusCicero 6y ago
I mean okay, but I doubt the executive pay is really moving the needle in terms of whether these companies are profitable. > Note that "not making as much money" is not the same as losing money. I'm talking about the company being profitable, not whether employees are able to draw a salary or whatever. I would think this would be obvious. Both companies are currently unprofitable. Granted, the pandemic obviously isn't helping things. https://craft.co/doordash/metrics https://craft.co/doordash/metrics https://investors.grubhub.com/investors/press-releases/press-release-details/2020/Grubhub-Reports-First-Quarter-2020-Results/default.aspx https://investors.grubhub.com/investors/press-releases/press...
- kerkeslager 6y ago
  > I mean okay, but I doubt the executive pay is really moving the needle in terms of whether these companies are profitable. Sure, but executives being paid does jive with "[t]he idea that this is just GrubHub or DoorDash or whoever being greedy", which is what I was responding to. The executives being the ones who make the decisions for the corporation.

thatguy0900 6y ago

Wouldn't it hurt them that they're trying to service every resteraunt in every area simultaneously, with massive marketing budgets? Seems like it would be much cheaper to just service your local area

dehrmann 6y ago
Economies of scale usually mean it's the opposite.