It's becoming abundantly clear the real innovation from on-demand services (including ride-sharing companies), is their ability to transfer more money from labor to capital with complex pay structures. For many if not most of these companies, its their only means towards profitability. For instance, any rise in revenue Uber experienced in the last 3 years was exclusively due to cuts in pay for drivers. Tech has long lost the glow that prevented the public from scrutinizing whether a VC subsidized, underdeveloped business model is good for society. So far the answer seems to be no.
What DoorDash pays, after expenses, and what’s happening with tips
341–350 of 572 posts
Re: What DoorDash pays, after expenses, and what’s happening with tips
#342It's becoming abundantly clear the real innovation from on-demand services (including ride-sharing companies), is their ability to transfer more money from labor to capital with complex pay structures. For many if not most of these companies, its their only means towards profitability. For instance, any rise in revenue Uber experienced in the last 3 years was exclusively due to cuts in pay for drivers. Tech has long…
> any rise in revenue Uber experienced in the last 3 years was exclusively due to cuts in pay for drivers
Outrageous claim. Source?
Re: What DoorDash pays, after expenses, and what’s happening with tips
#343Earlier quoted context omitted.
I was surprised to learn recently - and it may just be one of the rideshare companies in one country, or it may be more widespread - that the driver may not be told the final destination until they have accepted and started the ride. So you might keep doing loops back to the airport (or a good restaurant precinct) because most of the jobs are OK; but it’s only when I hop in the car for a $10 ride to the next suburb t…
Actually, the rideshare folks usually (depending of course on location and personal preference) are after the airport drives. It's the onesie-twosie "bar-hopping" short trips that they don't like.
That’s what I’m getting at. Airport drives are usually the best, but if you aren’t told the passenger’s destination you could be forced to go all the way out to the airport to accept a tiny fare.
Great for me as a consumer; lousy for the driver’s income; and a reason why (to answer the question asked) some drivers / riders accept loss-making fares: they don’t get told in advance how much the trip is worth.
Re: What DoorDash pays, after expenses, and what’s happening with tips
#344Earlier quoted context omitted.
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?
It may sit for a while. We can't see notes before accepting it, unless you're willing to gamble on penalizing yourself with their 'Completion Rating' by accepting to read notes then 'reassigning' if there's no guarantee of higher pay. The 'Completion Rating' affects your ability to either schedule at 3pm, 6 days in advance or be a 'Top Dasher' that allows you to go on the clock any time you want. In smaller markets l…
Thank you for your reply!
What should I do if I want to maximize what the driver receives? My typical tip was to ensure the driver was receiving at least 25% of my order or $15, whichever is higher. Our orders are typically in the $50-$100 range since we use it primarily for dinner.
Re: What DoorDash pays, after expenses, and what’s happening with tips
#345It's becoming abundantly clear the real innovation from on-demand services (including ride-sharing companies), is their ability to transfer more money from labor to capital with complex pay structures. For many if not most of these companies, its their only means towards profitability. For instance, any rise in revenue Uber experienced in the last 3 years was exclusively due to cuts in pay for drivers. Tech has long…
> any rise in revenue Uber experienced in the last 3 years was exclusively due to cuts in pay for drivers Outrageous claim. Source?
Uber's own P&L.
An article regarding the P&L:
https://www.nakedcapitalism.com/2017/12/can-uber-ever-delive...
Re: What DoorDash pays, after expenses, and what’s happening with tips
#346Earlier quoted context omitted.
So you'd place only 95% of it in a bond. That's not the problem with the idea, the problem is that you need a car .
Which is the means to make money in this case. I don't get how you think you are contradicting me here.
The problem is how to turn car-value into cash. You have a car worth $10003 and your current needs can be filled by converting $3 per hour.
chii is suggesting you sell the car. That converts the entire car at once. Then you don't have to spend any hours! As an optimization on top of that, they suggest you store the value in a bond, and pull $3 per hour out of the bond instead.
The real problem with this idea is that selling the car leaves you with no car.
Your objection that "you need the cash now" is based on a misunderstanding of chii's idea. chii's idea does get you all the cash now. It gets you the cash far far faster than $3 per hour. It gets you the cash so fast that you could actually invest almost all of it and pull out $3 per hour and do things you actually want to do during those hours.
It's not "buy a bond, have no money today, have more money tomorrow".
It's "buy a bond, drain the bond for $3 an hour today, have more money tomorrow".
Compared to having 10k under your mattress, the bond has no downside.
The bond is not the problem with the idea.
The problem is that you have no car.
Re: What DoorDash pays, after expenses, and what’s happening with tips
#347Why can’t we have normal businesses where you employ your workers and charge your customers the real cost of the transaction ? If that is not viable, don’t start the business to begin with. Let’s just go back to first principles, can we ?
We can, stop using and supporting these predatory companies. Never use Uber, Lyft, Doordash, Uber Eats, AirBnB etc. No exception irregardless how easy or cheap it may be. It's a small sacrifice but can and will make a difference. Using these services to me is like asking a waiter to pay for part of my meal. When it comes around to paying the bill are you able to face someone and ask them to pay for part of what they…
Out of curiosity, are there any more ethical alternatives to AirBnB? My partner travels a lot for work and doesn't like staying in hotels. He's fine with staying in rooms vs. whole apartments (which seems to be the biggest strike on AirBnB's model) but it's pretty tough to dig up credible renters for each place he visits. Is there a Craigslist-like option or are hotels the best bet if we decide to drop AirBnB?
Re: What DoorDash pays, after expenses, and what’s happening with tips
#348It's becoming abundantly clear the real innovation from on-demand services (including ride-sharing companies), is their ability to transfer more money from labor to capital with complex pay structures. For many if not most of these companies, its their only means towards profitability. For instance, any rise in revenue Uber experienced in the last 3 years was exclusively due to cuts in pay for drivers. Tech has long…
> any rise in revenue Uber experienced in the last 3 years was exclusively due to cuts in pay for drivers Outrageous claim. Source?
It’s outrageous to say that is an outrageous claim at this point. To suggest Uber had other means of obtaining profitability would be the incredible claim needing tons of new evidence, not the other way around.
Re: What DoorDash pays, after expenses, and what’s happening with tips
#349[deleted]
Re: What DoorDash pays, after expenses, and what’s happening with tips
#350Earlier quoted context omitted.
You are already naming the problem here: > Some restaurants have started paying their servers more and not allowing tips. Service bad? -> complain to employer, employer punishes employee Service OK? -> employer pays employee for work done Service good? -> employer pays employee for work done and customer pays employee for good work (and employee shares it with all the other employees who are in the chain of service).
See it’s the “service good” category that I don’t think will exist. Why would people tip when tipping is no longer socially mandated? Where people seem to disagree here is with the idea that service workers are better off with low wages + tipping than higher wages + no tipping.
> See it’s the “service good” category that I don’t think will exist.
That's how it typically works where i live. servers share the tips and split the haul.
I don't know what social dynamics caused this, if it is a fluke or expected behaviour. So no way for me to predict how Americans would react.