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A proposed class-action lawsuit claims that DoorDash charges iPhone users more than Android owners. Building this trust is essential, and it's why the majority of delivery orders on our platform are placed by return customers. According to the lawsuit, "DoorDash charges the expanded range fee on iPhone users more often than Android users and charges iPhone users more for 'delivering' (likely because studies reveal iPhone users earn more)." Ross Hecox, Reid Hecox, US District Court for the District of MarylandIn other cases, iPhone users were charged a slightly higher delivery fee, according to the lawsuit. Others balked at the suit's claim that iPhone users were in a higher-income bracket and thus being charged higher fees.
All told, there is a nearly $6 trillion in revenue opportunity from AI across the internet industry, a March report from Morgan Stanley found. "UBER/LYFT/DASH already use ML [machine learning] in their matching algorithms (matching rides/eaters with drivers/couriers)," Morgan Stanley wrote in its report. AI tailwind for Uber Uber has both its ride-sharing service and UberEats food delivery business. According to Morgan Stanley, AI and machine learning will be a tailwind to network efficiency. "The extent to which AI drives substantial improvements in top-line growth could lead to teens upside [for the stock]," Morgan Stanley said.
Some DoorDash workers are asking customers for extra tips to deliver their food. The workers accept orders, then ask customers for a higher tip before dropping purchases off. Screenshots of a DoorDash customer's conversation with a Dasher. Some DoorDash customers are getting similar requests for additional tips from workers, whom DoorDash calls Dashers, according to posts on social media and conversations that Insider had with a Dasher and two customers. "Obviously, I think Dashers asking customers for an extra tip after accepting an order is not OK," she told Insider.
The app will also designate restaurants that keep prices the same, Restaurant Business reported. Restaurants have tried to make delivery more profitable, but delivery services have pushed back. DoorDash is also adding a specification on its app when a restaurant's prices are the same through DoorDash and in-person, according to Restaurant Business. We understand that there may be many reasons why restaurants choose to raise their prices, but in our mission to improve the customer and merchant experience, we encourage restaurants to set prices on DoorDash that more closely reflect in-store menu prices." Restaurants have often raised prices on orders made through DoorDash and other delivery services to reclaim some of what they pay in commissions to these apps.
Delivery drivers expercienced a boom during the pandemic, but many say that luck has run out. But without being able to see exactly how much they'll be tipped, drivers say it's a gamble. Since the height of online ordering in the thick of the pandemic, delivery drivers have slowly seen their once-lucrative profits fade away. Now, drivers say they still have a hard time turning a profit unless the tip is worth it. According to the New York Times, Uber and DoorDash drivers figure they're paid about $3.50 per order, plus $1 per mile they have to drive.
That policy changes this week with the launch of Cash on Delivery for DoorDash's white label delivery service, DoorDash Drive, DoorDash announced Tuesday. While Cash on Delivery is available to any restaurant using DoorDash Drive, DoorDash said pizza and Chinese restaurants have been early adopters of Cash on Delivery during testing. DoorDash said Cash on Delivery is only available for restaurants using DoorDash Drive because those merchants specifically requested a cash option as many customers expect flexible payment methods. "Customers coming to DoorDash expect to pay with credit card, opposed to with cash," DoorDash told Insider. As such, DoorDash said its white-label delivery service could be an attractive option for pizza operators looking for a delivery service that now also accepts cash.
Winter Storm Elliot is intensifying into a "bomb cyclone," according to The Weather Channel. DoorDash said it is pausing food deliveries in Minnesota, Iowa, Michigan, and Indiana. 1 delivery operator, is suspending operations in multiple cities in Minnesota, Iowa, Michigan, and Indiana. "We have activated our Severe Weather Protocol in response to Winter Storm Elliot," the company said. According to The Weather Channel, Winter Storm Elliot is intensifying in the Plains, Midwest, and Great Lakes.
A DoorDash delivery driver had her car stolen with her infant twins inside. The children were eventually found, but the frightening incident highlighted a reality for many gig workers — their kids come with them on deliveries. It is not uncommon for delivery drivers to bring children along for deliveries, and it is allowed under DoorDash's guidelines. Last year, a DoorDash delivery driver in Georgia had her car stolen with her 1-year-old daughter inside. In San Francisco, a DoorDash driver's car was also stolen with his children inside last year.
That fee can be passed on to customers to save restaurants money. "The DoorDash self-delivery is a hack," Simmons, whose organization represents 550 local delivery operators in the US, said. And by deploying the self-delivery tactic with apps like Grubhub and DoorDash, restaurants can save even more money, Blum said. Colonel Delivery restaurants partners that use self-delivery can't pass on delivery fees to DashPass customers. But the "hack" is worth looking into if it can save restaurants from paying higher third-party delivery fees, he added.
Mike Hayes, 35, is a DoorDash delivery driver in Oregon. He can make up to $800 working about 45 hours a week; on slower weeks he earns $200 to $300. While I was job searching on Craigslist, I kept coming across ads to be a delivery driver for DoorDash, so I thought "Why not?" I work roughly eight hours a day, six days a weekHe works about 45 hours a week. On a good week, I can make up to $800 working about 45 hours a week.
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