DoorDash overtook the entire industry in 7 years, WTF? Should we invest?
Does anyone else find it balls to the walls insane that DoorDash is the number 1 food delivery company? I think people somehow forget that the company is only 7 years old. Grubhub and Seamless were the "FAANG" of food ordering for decades, Postmates had a 2 year head start, and Uber has the brand name recognition with 100M+ monthly users. How in god's name did a no-name startup overtake Seamless, Postmates, and Uber - not just overtake, but DOMINATE the industry in half a decade?
Just think about that for a second. Suppose some company gets started in 2013 and overtakes Google in search - that is unheard of. Suppose some company gets started in 2013 and overtakes Facebook as a social media platform. Suppose some company gets started in 2013 and overtakes Salesforce as the CRM company for businesses.
Does anyone find it mind boggling that 3 college kids with zero brand name recognition overtook Seamless, Postmates, and Uber in the logistics business? They are now the official delivery platform of the NBA. They are creating new partnerships every day. Is this a company that we should invest in for the IPO? People laughed at the idea of investing in Amazon, Tesla, and FB when they first IPO'ed. Again, a company started by 3 college kids with zero experience overtook the "FAANGs" of delivery, and became the number 1 player in the market. They overtook Uber Eats which already had billions of dollars in its pocket and top engineers/marketing. What gives???
#doordash #uber #grubhub #yelp #postmates
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Postmates is so confusing, isn't that a company that competes against UPS, FEDEX, and USPS? That is what I think when people say "Postmates", what the hell is a Postmates... isn't it a company like DHL?
Postmates under-invested in customer service. When a delivery goes wrong, people want compensation. I ordered a pizza that came 3 hours late (not on a special day like Super Bowl or anything like that) and Postmates refused to offer even a token credit for my next order.
Seamless had a great reputation in NYC Manhattan but that operating model, which includes couriers doing deliveries purely on foot, does not work in other places.
Grubhub didn't innovate in time. When DoorDash and UberEats offered live GPS order tracking, all Grubhub could do was tell you to wait with your phone in hand for the next 30-120 minutes while your order is prepared.