DoorDash future plan

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future-me

New

future-me
Jun 13, 2021 13 Comments

I think DD will either expand into (1) retail operations kinda like Wolt in Europe, or will adopt (2) a hybrid Cloud Kitchen model like companies in South East Asia.

This is apart from their international expansion to Japan, etc., and grocery/Walmart delivery.

(1) They will think retail operations will justify a parallel low-commission high-aov offering, but the unit economics might not work out despite aggregation.

(2) Going the hybrid CK route means adding a differentiated product within their main offering. Can use the opportunity to nudge customers to buy more by splitting the savings between their commission and cost to customer.

What do you think?

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TOP 13 Comments
  • I’m surprised at the top vote where they expect DD to die. They literally have millions of customers (a lot of which pay for a subscription like Amazon users pay for Prime) and employ millions of independent contractors and partnerships with hundreds of thousand of businesses (top tier like CFA).

    It doesn’t matter which industry you are in - if you are a watch maker, sell high end pools, or flat screen TVs. If you have this much market penetration, you are not going to just die.
    Jun 13, 2021 0
  • Why you think we won't do both?
    Jun 13, 2021 3
  • CSG International / Product
    dev021

    Go to company page CSG International Product

    dev021
    DD should provide the full stack experience. That's where the money is now. They have deliveries figured out and now they need to sell 5* rated food under their brand. They could sub-lease in the beginning but cloud kitchen is the way to go. Think more b2b than b2c here.... airlines, vacation homes, weddings, conferences, corporate catering...list goes on and possibilities are enormous.
    Jun 13, 2021 4
  • Snap
    iat

    Go to company page Snap

    PRE
    Google
    iat
    DD can’t do ghost kitchens successfully. They’ll partner with CloudKitchens to do it right.
    Aug 12, 2021 0
  • DoorDash / Eng
    KMxO17

    Go to company page DoorDash Eng

    KMxO17
    Nice one…
    May 3 0