Amazon is going after food delivery now after leading the grocery delivery market for a large margin. Amazon has now become a very challenging competitor for other food delivery companies like Doordash (current market leader). Among big tech, which company has the best delivery pipeline infra? Amazon. Tesla arguably can be a player in food delivery too. The future of food delivery most likely will be dominated by big tech like Amazon or Tesla. Agree? TC: $200k
Grocery delivery is more time forgiving than food delivery. Amazon can’t even get my package ETA = ATA, doubtful they’ll succeed for food.
Yeah, recently many late / missing packages.
If they had confidence in it I don't understand why they wouldn't instead build their own instead of 2% options in grubhub...you don't become a top player but just dipping your toe in the water.
Good point
Agree with this, Amazon has shown they're the world's greatest logistics company. They'll eventual become a serious if not leading player in last mile delivery
Yup, last mile delivery should be their strength in future.
Absolutely, if they can deliver without tipping and just flat price for subscription, I’m sold
😂 no tip
In Seattle, DashMart is quickly taking over as a preferred grocery delivery. Why pay $4.99 - $9.99 for delivery in 4-8 hours (if you’re lucky) when you can have your groceries delivered in 30 mins for $0.99? Not sure if DashMart has expanded to other city metros yet but it has quickly become my preferred choice.
Interesting. Hoping DashMart expands to NYC. There are many providers in India who deliver in just 30 mins.
Amazon is great at entering low margin businesses. Retail, whole foods, delivery, logistics, food delivery, etc. Only businesses that make money are AWS and Ads
Grocery vs Food Delivery is two different beast ( though both have cold/hot compliance components). Walmart leads grocery delivery just by sheer physical presence. Food delivery is led by DoorDash. Amazon vs Doordash will be an interesting battle. Both have great talent & business model.
Food delivery is a very low margin business. Grocery delivery is low margin as well. No reason for Amazon to get into food delivery. Amazon is betting big on online pharmacies (check Pillpack). Pharmacies are high margin business.
Should Amazon be diving into the unprofitable business of food delivery? Companies like Uber are better positioned to tell a driver to go quickly grab food from point A and deliver it to point B. And Uber Eats is barely eking out an accounting profit (probably juiced for show only)
There can be more than one player I feel But not sure how Amazon grocery delivery vs Walmart etc are doing, I haven't seen any numbers. Is Amazon grocery delivery that big?
Isn't Amazon Fresh #1?
No idea You read that somewhere?