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DoorDash from Application to IPO

blog.ycombinator.com

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Re: DoorDash from Application to IPO

#31

Post by dec0dedab0de »

sxg wrote: post #15

As a customer, DoorDash is just consistently a terrible experience. I have the DashPass, which was advertised as free delivery for many restaurants. Turns out it only works if you spend $12, and even then sometimes it doesn’t apply. If you check prices between the app and the actual restaurants’ websites, there’s often an extra $2-3 added on for each item on DoorDash (I don’t blame the restaurants). When it’s all sai…

The worst is when they give the drivers a second order after they're already holding yours. So the driver has your food sitting for 45 minutes before they even start driving to you.

Re: DoorDash from Application to IPO

#32

Post by lambda_obrien »

anaphor wrote: post #24
sxg wrote: post #15

As a customer, DoorDash is just consistently a terrible experience. I have the DashPass, which was advertised as free delivery for many restaurants. Turns out it only works if you spend $12, and even then sometimes it doesn’t apply. If you check prices between the app and the actual restaurants’ websites, there’s often an extra $2-3 added on for each item on DoorDash (I don’t blame the restaurants). When it’s all sai…

I consistently get late orders, missing items, or the app is just completely down after I order and I can't access anything. Literally the only reason I keep using it is because of the lax refund/credits policy which results in me getting free food.

I have an honest question: do you feel like you're taking advantage of the situation in an unethical way?

You seem know the service will suck and would normally not use it, but you do it anyways because you get free food, which is in turn effectively paid for by everyone else using the service, VC investors, and by Doordash taking advantage of employees/contractors by stealing their tips (in the past).

Re: DoorDash from Application to IPO

#33

Post by toomuchtodo »

darkwizard42 wrote: post #26
jgalt212 wrote: post #23

Earlier quoted context omitted.

> that a company would succeed has it succeeded? What happens if their cost of capital goes positive? What happens if people start going to restaurants again?

They just IPOed to the tune of $70B market cap... This comment really comes across as out of touch... The company just went public and based on their S-1 has been massively growing even pre-pandemic! (both huge measures of success)

It's not out of touch to question metrics when it appears a company was dumped on public investors with no profitability in sight. Growth is not success; profit is, growth is simply the mechanism by which you're supposed to reach profitability.

If we define success as cashing out, sure, success. It feels like the delta in journey between building a sustainable, profitable business that handsomely rewards you at your exit and "congrats on your lottery ticket" is growing by the day. Let's not kid ourselves, investor dollars chasing after your equity when you go public and with no evidence profitability is possible is a rare lottery ticket that has paid out (or maybe not so rare! See: Adam Neumann/WeWork).

EDIT: I want to really stress that this isn't "sour grapes" but more echo chamber fatigue. If you are founders at a startup, who grow it into a unicorn, are delivering value, your employees and customers are happy and delighted, and you're profitable, those are the folks who deserve to be congratulated when they IPO and become billionaires and are who you can learn the most from on your own startup journey.

Re: DoorDash from Application to IPO

#34

Post by choppaface »

sxg wrote: post #15

As a customer, DoorDash is just consistently a terrible experience. I have the DashPass, which was advertised as free delivery for many restaurants. Turns out it only works if you spend $12, and even then sometimes it doesn’t apply. If you check prices between the app and the actual restaurants’ websites, there’s often an extra $2-3 added on for each item on DoorDash (I don’t blame the restaurants). When it’s all sai…

I've consistently seen orders marked Doordash that have been sitting for 30-45 minutes when I got to pick up my own food. They also have flaked several times on me-- no delivery after an hour. They seem to have a weakness dispatching drivers. The restaurants are doing their job.

What happens if the restaurant completes a Doordash order but then Doordash fails to deliver it and must issue a refund? Does that transaction still get recognized as revenue?

Re: DoorDash from Application to IPO

#35

Post by deepakhj »

mynameisvlad wrote: post #30
sxg wrote: post #15

As a customer, DoorDash is just consistently a terrible experience. I have the DashPass, which was advertised as free delivery for many restaurants. Turns out it only works if you spend $12, and even then sometimes it doesn’t apply. If you check prices between the app and the actual restaurants’ websites, there’s often an extra $2-3 added on for each item on DoorDash (I don’t blame the restaurants). When it’s all sai…

My order from a restaurant that's a 5 minute drive away (raising a puppy, I can't really leave him alone right now) arrived almost 40 minutes after it was picked up. I was given a credit that didn't even cover the delivery and service fees, let alone the tip that they don't let you edit after the order.

Doordash and Amazon Fresh has been a saviour the first month with the puppy.

Re: DoorDash from Application to IPO

#36

Post by danenania »

mynameisvlad wrote: post #30
sxg wrote: post #15

As a customer, DoorDash is just consistently a terrible experience. I have the DashPass, which was advertised as free delivery for many restaurants. Turns out it only works if you spend $12, and even then sometimes it doesn’t apply. If you check prices between the app and the actual restaurants’ websites, there’s often an extra $2-3 added on for each item on DoorDash (I don’t blame the restaurants). When it’s all sai…

My order from a restaurant that's a 5 minute drive away (raising a puppy, I can't really leave him alone right now) arrived almost 40 minutes after it was picked up. I was given a credit that didn't even cover the delivery and service fees, let alone the tip that they don't let you edit after the order.

UberEats has a "guaranteed delivery time" feature that they pretty much never go past in my experience. The delivery usually arrives sooner, but at least you know what the worst case scenario is. They also recently added "priority delivery" which lets you ensure the driver won't make any other stops between the restaurant and your house for a few extra bucks--this seems to drastically improve predictability and is well worth it imo.

I'd love to see DoorDash copy both of those (assuming they haven't already--it's been awhile since I've used it). I've had many similar frustrations with them. Being hungry and waiting on food that is already 45 minutes late, with no indication of whether it will arrive sooner, later, or ever as the driver zig zags all over creation on the map is a special version of first world hell.

Re: DoorDash from Application to IPO

#37

Post by strictnein »

danenania wrote: post #29
strictnein wrote: post #21

Another example of tech "disruption", which typically just means siphoning money from an established system and adding little in return.

The users apparently feel they are getting something in return. Otherwise why download and use the app (and pay extra for the food)?

Users get something, restaurants lose, delivery people are abused and underpaid, but the founders will be very rich.

Looking at the entire system there was very little added, there's just a lot of money being shifted to a small group of people.

Re: DoorDash from Application to IPO

#38

Post by vultour »

danenania wrote: post #36
mynameisvlad wrote: post #30

Earlier quoted context omitted.

My order from a restaurant that's a 5 minute drive away (raising a puppy, I can't really leave him alone right now) arrived almost 40 minutes after it was picked up. I was given a credit that didn't even cover the delivery and service fees, let alone the tip that they don't let you edit after the order.

UberEats has a "guaranteed delivery time" feature that they pretty much never go past in my experience. The delivery usually arrives sooner, but at least you know what the worst case scenario is. They also recently added "priority delivery" which lets you ensure the driver won't make any other stops between the restaurant and your house for a few extra bucks--this seems to drastically improve predictability and is we…

Is this new? My last Uber order was 3? years ago when my order was over 2 hours late. I contacted support and their answer was essentially " shit happens".

Re: DoorDash from Application to IPO

#39

Post by snarf21 »

sxg wrote: post #15

As a customer, DoorDash is just consistently a terrible experience. I have the DashPass, which was advertised as free delivery for many restaurants. Turns out it only works if you spend $12, and even then sometimes it doesn’t apply. If you check prices between the app and the actual restaurants’ websites, there’s often an extra $2-3 added on for each item on DoorDash (I don’t blame the restaurants). When it’s all sai…

This is a mad dash to cash in at an IPO before vaccines get distributed and people rush back to dining in person after a year of pent up demand and their revenue falls off a cliff.

Re: DoorDash from Application to IPO

#40

Post by crispyporkbites »

Good for them to cash out now- the food delivery model is at peak right now, and the fees are starting to reach a sustainable level that is turning customers off. Customers are learning the hard way that some food doesn’t travel well, and other food just isn’t worth the high delivery fees.

It was great while it lasted but until more VC money floods in the land grab is over and it’s going to be a long, hard slug to keep a margin and keep these businesses profitable.

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