Doordash and Pizza Arbitrage

#1

Post by lunchbreak » Mon, May 18, 2020, 12:23 AM UTC

Doordash and Pizza Arbitrage
themargins.substack.com

Re: Doordash and Pizza Arbitrage

#2

Post by ed312 » Mon, May 18, 2020, 2:03 AM UTC

Do businesses have any recourse here? E.g. for the pizza situation - can a business ban DoorDash and its ilk?

Re: Doordash and Pizza Arbitrage

#3

Post by 5revive » Mon, May 18, 2020, 2:03 AM UTC

it will be interesting to see the impact of SoftBank withdrawing on consumption patterns of city-dwelling professionals. So much of their daily life is subsidized courtesy of Son

Re: Doordash and Pizza Arbitrage

#4

Post by WrtCdEvrydy » Mon, May 18, 2020, 2:08 AM UTC

ed312 wrote: post #2

Do businesses have any recourse here? E.g. for the pizza situation - can a business ban DoorDash and its ilk?

It probably can't since people don't have to be honest about being DoorDash.

Re: Doordash and Pizza Arbitrage

#5

Post by exacube » Mon, May 18, 2020, 2:09 AM UTC

I'm curious to hear how restaurant delivery services are meant to make profit; is it really through service fees (or a monthly subscription model), and tips?

Cost per meal seems way too high for people to use it often. Maybe it make economical sense for larger party orders, but how often do those kinds of orders happen during considering the COVID situation?

Re: Doordash and Pizza Arbitrage

#6

Post by gberger » Mon, May 18, 2020, 2:09 AM UTC

WrtCdEvrydy wrote: post #4

ed312 wrote: post #2

Do businesses have any recourse here? E.g. for the pizza situation - can a business ban DoorDash and its ilk?

It probably can't since people don't have to be honest about being DoorDash.

But how can DoorDash advertise and impersonate someone else's restaurant without their consent?

Re: Doordash and Pizza Arbitrage

#7

Post by [deleted] » Mon, May 18, 2020, 2:09 AM UTC

ed312 wrote: post #2

Do businesses have any recourse here? E.g. for the pizza situation - can a business ban DoorDash and its ilk?

[deleted]

Re: Doordash and Pizza Arbitrage

#8

Post by noad » Mon, May 18, 2020, 2:10 AM UTC

This is so asburd it feels like a story in bad movie. We have pushed finance & capital so far into the realm of fiction that it doesn't really make sense anymore.

Artificial growth for the sake of artificial growth, just so you can get to your exit and leave someone else holding the bag. Ponzi schemes at massive scale.

How did the startup/VC world become so entangled in all this bullshit capitalism?

Re: Doordash and Pizza Arbitrage

#9

Post by coderholic » Mon, May 18, 2020, 2:10 AM UTC

ed312 wrote: post #2

Do businesses have any recourse here? E.g. for the pizza situation - can a business ban DoorDash and its ilk?

The pizza business is the one making the profit here, at doordash's expense.

It'd presumably be trivial for doordash to fix this, by checking the order amount against the cost. The article explains why they might not be doing that ("growth")

Re: Doordash and Pizza Arbitrage

#10

Post by jabbany » Mon, May 18, 2020, 2:13 AM UTC

noad wrote: post #8

This is so asburd it feels like a story in bad movie. We have pushed finance & capital so far into the realm of fiction that it doesn't really make sense anymore. Artificial growth for the sake of artificial growth, just so you can get to your exit and leave someone else holding the bag. Ponzi schemes at massive scale. How did the startup/VC world become so entangled in all this bullshit capitalism?

I have a vague sense that this exact scenario with pizza was covered in the Silicon Valley sitcom...