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What DoorDash pays, after expenses, and what’s happening with tips

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Re: What DoorDash pays, after expenses, and what’s happening with tips

#131
post #122
post #115

Earlier quoted context omitted.

> you basically just "borrowed" money from your vehicle. so wouldn't it then make more sense to just sell the vehicle for $10003, then place that money in an interest earning asset like a bond, rather than "borrow" from the value of the vehicle?

If you weren't dependent on the vehicle to be able to travel, sure. Or as a backup home if you get evicted.

And this is why working under this scenario, the vehicle is a money losing asset (where every dollar you earned driving costs a dollar in vehicle depreciation, even with a tax deduction, it's still a money losing asset).

The deliverer has to be able to earn $1.15 (at least) per dollar depreciated from the vehicle for the work to be "worth it".

Re: What DoorDash pays, after expenses, and what’s happening with tips

#132

I drove for DoorDash for about a month. What killed me was the wait between deliveries. I think it was like 45 minutes on average and when I did get a delivery it was like a tiny $7 delivery. There would be 2 hour stretches of times pretty often. But then once in awhile I'd get a string of maybe 3 or 4 runs that paid like $12. over 2 or 3 hours.It was too inconsistent. Had no idea if I ever got tips, from my understa…

>There's just too many drivers I think. interesting, I'm desperate for more drivers. I run a side business that delivers cookies, drivers do just under 30 deliveries a day (about 3-4 every hour) and make minimum wage plus 100% of tips are split at the end of pay period. it ends up being about $3/delivery in tips, which is an extra $9/hr for a total of $21/hr (minimum wage is $12). A driver could theoretically make ov…

6 days a week is a lot.

Re: What DoorDash pays, after expenses, and what’s happening with tips

#133
post #63

This is why when I do order from Doordash, I only tip in cash and make sure to write it in the comments. Still the best online delivery by me even if they are a shit company. Hate Grubhub more.

Do the delivery drivers see the message prior to accepting the gig? If so, can you add the actual price of the delivery as charged to you by DoorDash to the message so they can know how much they can game DoorDash?

That is my question, too. After Doordash said they were giving 100% of the tips to the drivers, I started tipping high at the order thinking that the drivers were getting X for the delivery and then 100% of what I tipped. Based on this sample it appears I have been hoodwinked by Doordash and it irritates me.

If I tip only cash, does my order sit and sit and sit?

Re: What DoorDash pays, after expenses, and what’s happening with tips

#135
post #37

Earlier quoted context omitted.

Aren’t minimum wage raises responsible for this? If restaurants are forced to pay $15 an hour minimum, how can it be profitable without them being more productive?

It may surprise you to learn that most businesses employ minimal staffing no matter what the min. wage is. I worked for $5.25 an hour as a teenager, and that doesn't mean they just employed more people and we all took it easy. I would challenge the assertion that a business would not optimize worker output just because they are cheaper (and cheaper is relative, I'm sure even when it was lower the business owners stil…

Good point. Why would a business voluntarily pay more than they have to?

Re: What DoorDash pays, after expenses, and what’s happening with tips

#136
post #25
post #7

I would guess that DoorDash is very negative for restaurants and restaurant waitstaff, also.

That doesn't make any sense. It's a choice for restaurants to sign up and they have like 10 services to choose from. If it's not good for the restaurants they'll just stop using it. Any marginal delivery is pure profit for a restaurant.

> If it's not good for the restaurants they'll just stop using it.

it's not that it's not good, but that they noticed the delivery funnel is growing (and foot-traffic funnel correspondingly shrinking). This means if they don't participate, they risk losing this revenue stream to their competitors (who do participate).

This is what happens when your business becomes a commodity to another business. You have to make sure your business has a value proposition that prevents it from becoming a commodity (or make sure you are very efficient at production and scale up to take advantage of your product becoming a commodity).

Edit: i suspect things like massive, efficient industrial kitchens producing delivered food may become the new norm.

Re: What DoorDash pays, after expenses, and what’s happening with tips

#137

I drove for DoorDash for about a month. What killed me was the wait between deliveries. I think it was like 45 minutes on average and when I did get a delivery it was like a tiny $7 delivery. There would be 2 hour stretches of times pretty often. But then once in awhile I'd get a string of maybe 3 or 4 runs that paid like $12. over 2 or 3 hours.It was too inconsistent. Had no idea if I ever got tips, from my understa…

The black box is one reason I always set my tip amount to $0 on the app and simply tip in cash when my food arrives.

Re: What DoorDash pays, after expenses, and what’s happening with tips

#138
post #7

I would guess that DoorDash is very negative for restaurants and restaurant waitstaff, also.

Increased revenue is usually a problem you (a business) want to have. If that revenue isn't trickling down to the workers, well, that is pretty much America in a nutshell.

Increased revenue doesn't mean increased profit.

https://www.afr.com/technology/why-restaurants-hate-uber-eat...

https://www.abc.net.au/news/2018-04-22/uber-eats-criticised-...

Re: What DoorDash pays, after expenses, and what’s happening with tips

#139
post #96
post #94

Earlier quoted context omitted.

What does that even mean?

Really simplistic view: Before the hour of work I had $10003 of vehicle, $0 in my pocket, and an hour of time. After the hour of work I had $10000 of vehicle, and $3 in my pocket. With the assumption that you are going to eventually pay that $3 back into your vehicle, by paying for repairs or buying a new one, you basically just "borrowed" money from your vehicle.

[deleted]

Re: What DoorDash pays, after expenses, and what’s happening with tips

#140

Earlier quoted context omitted.

>There's just too many drivers I think. interesting, I'm desperate for more drivers. I run a side business that delivers cookies, drivers do just under 30 deliveries a day (about 3-4 every hour) and make minimum wage plus 100% of tips are split at the end of pay period. it ends up being about $3/delivery in tips, which is an extra $9/hr for a total of $21/hr (minimum wage is $12). A driver could theoretically make ov…

6 days a week is a lot.

yup, it is. but if a driver needs the money... we don't ask or expect it.
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