<story><title>DoorDash S-1</title><url>https://www.sec.gov/Archives/edgar/data/1792789/000119312520292381/d752207ds1.htm</url></story><parent_chain><item><author>rpcwork</author><text>Nobody showed them more love than I did. Just because it felt like such a fun way to get food while still supporting the gig-workers. Until, I started noticing the huge markup on sides&amp;#x2F;entrees that I recall costing way less on the restaurant menu.&lt;p&gt;Did prices go up? Nope, it was doordash.&lt;p&gt;A side of garlic sauteed edamame is $4.75 on the restaurant menu, but $7.85 on the delivery app. $7.85 isn’t too much for a good tasting side, but I am not a fan of being lied to about pricing. Felt like getting ripped off.&lt;p&gt;It obliterates my trust in today’s delivery apps and damages the value proposition.&lt;p&gt;One wonders: How much of the revenue is coming from markup in menu prices? What happens to this revenue when the average consumer grows wise to these markups?&lt;p&gt;Re: &lt;a href=&quot;https:&amp;#x2F;&amp;#x2F;www.forbes.com&amp;#x2F;sites&amp;#x2F;suzannerowankelleher&amp;#x2F;2020&amp;#x2F;02&amp;#x2F;27&amp;#x2F;meal-delivery-apps-can-charge-markups-as-high-as-91&amp;#x2F;&quot; rel=&quot;nofollow&quot;&gt;https:&amp;#x2F;&amp;#x2F;www.forbes.com&amp;#x2F;sites&amp;#x2F;suzannerowankelleher&amp;#x2F;2020&amp;#x2F;02&amp;#x2F;27...&lt;/a&gt;</text></item><item><author>kevindong</author><text>In the age of deeply unprofitable (as in, they lose more money than they grossed in revenue) tech companies going public, DoorDash actually seems pretty okay.&lt;p&gt;In the 9 months ended 2020-09-30, DoorDash had a net loss of $149 million on $1,916 million in revenue (see page 93). Which implies if they can raise their revenue by ~7.78% while keeping costs steady, they can break even. Given their rate of revenue&amp;#x2F;cost increases (in the same timeframe as above compared to the 9 months ended 2019-09-30, revenue grew 326% while costs grew 192%), they could very plausibly do so within the next year.</text></item></parent_chain><comment><author>titanomachy</author><text>Doordash charges the restaurants a percentage of the order, so a lot of restaurants increase their prices on Doordash to recover the cost. I&amp;#x27;ve seen the same thing on other platforms. If you are ordering for pickup, it&amp;#x27;s usually a &lt;i&gt;lot&lt;/i&gt; cheaper to order by phone or through the restaurant&amp;#x27;s website (if you can).&lt;p&gt;A sushi order I made last week would have been $77 (delivered) on Postmates. I ordered the same items from the restaurant directly and picked it up myself for $36. The restaurant is a 10-minute walk away.&lt;p&gt;This makes me skeptical of the business model. Those margins will absolutely get whittled down over time and these companies are already unprofitable.</text></comment>
<story><title>DoorDash S-1</title><url>https://www.sec.gov/Archives/edgar/data/1792789/000119312520292381/d752207ds1.htm</url></story><parent_chain><item><author>rpcwork</author><text>Nobody showed them more love than I did. Just because it felt like such a fun way to get food while still supporting the gig-workers. Until, I started noticing the huge markup on sides&amp;#x2F;entrees that I recall costing way less on the restaurant menu.&lt;p&gt;Did prices go up? Nope, it was doordash.&lt;p&gt;A side of garlic sauteed edamame is $4.75 on the restaurant menu, but $7.85 on the delivery app. $7.85 isn’t too much for a good tasting side, but I am not a fan of being lied to about pricing. Felt like getting ripped off.&lt;p&gt;It obliterates my trust in today’s delivery apps and damages the value proposition.&lt;p&gt;One wonders: How much of the revenue is coming from markup in menu prices? What happens to this revenue when the average consumer grows wise to these markups?&lt;p&gt;Re: &lt;a href=&quot;https:&amp;#x2F;&amp;#x2F;www.forbes.com&amp;#x2F;sites&amp;#x2F;suzannerowankelleher&amp;#x2F;2020&amp;#x2F;02&amp;#x2F;27&amp;#x2F;meal-delivery-apps-can-charge-markups-as-high-as-91&amp;#x2F;&quot; rel=&quot;nofollow&quot;&gt;https:&amp;#x2F;&amp;#x2F;www.forbes.com&amp;#x2F;sites&amp;#x2F;suzannerowankelleher&amp;#x2F;2020&amp;#x2F;02&amp;#x2F;27...&lt;/a&gt;</text></item><item><author>kevindong</author><text>In the age of deeply unprofitable (as in, they lose more money than they grossed in revenue) tech companies going public, DoorDash actually seems pretty okay.&lt;p&gt;In the 9 months ended 2020-09-30, DoorDash had a net loss of $149 million on $1,916 million in revenue (see page 93). Which implies if they can raise their revenue by ~7.78% while keeping costs steady, they can break even. Given their rate of revenue&amp;#x2F;cost increases (in the same timeframe as above compared to the 9 months ended 2019-09-30, revenue grew 326% while costs grew 192%), they could very plausibly do so within the next year.</text></item></parent_chain><comment><author>tomashertus</author><text>I just noticed it this weekend. Side of egg rolls on Doordash is $10, additional egg roll $2. On menu $6.50 and additional egg roll $1. When I noticed that, I immediately removed the order and called the restaurant directly.&lt;p&gt;The markups for ordering through doordash are ridiculous. I can afford to pay $25 for a burrito, but I&amp;#x27;m not going to do that. That&amp;#x27;s a ridiculous price for being lazy&amp;#x2F;greedy.</text></comment>