There’s been a belief in some circles that food delivery companies would never be profitable and only worked because of an abundance of cheap capital which was subsidizing customers and delivery people.
Thank you so much for sharing and for the great analysis.
One way to look at the GOV by cohort is that Year 1 is not a full year. If you assume that it is half a year, 1x becomes 2x, which makes the following multiples look a bit less impressive by comparison.
Doordash and Profitable Food Delivery
Thank you so much for sharing and for the great analysis.
One way to look at the GOV by cohort is that Year 1 is not a full year. If you assume that it is half a year, 1x becomes 2x, which makes the following multiples look a bit less impressive by comparison.
Quick typo in the "estimated margins at scale" chart, it says Q3 '21 while I believe you meant Q3 '20