delivery

Financing

Why DoorDash is taking a stand on delivery menu prices

A Deeper Dive: Senior Technology Editor Joe Guszkowski joins the podcast to discuss DoorDash’s push on prices, and how long consumers will tolerate the cost of third-party delivery.

Technology

DoorDash, restaurants at odds over price markups

The delivery company is pushing operators to keep prices more consistent between the app and their regular menus, saying markups are turning customers away. Restaurants say the markups are needed to manage delivery costs.

Tech Check: Many restaurants say consumers are dining in more and getting less delivery, even as DoorDash and Uber Eats keep growing.

The San Francisco startup focuses on families, pickup and local brands. It has 12 units and plans to double in size over the next year and a half.

Chain officials say the high prices of third-party services are driving patrons to dine on-site.

The group, created by public affairs firm Tusk Strategies and led by a former Obama official, is pushing for better data sharing and more fee transparency from delivery providers. And it would like to keep regulators on the sidelines.

Restaurants that mark up their prices on the app will now be less visible to customers, while those that keep them the same as in-store will get a boost.

Tech Check: Fewer operators foresee delivery-only concepts growing in 2023. It's looking like a smart bet.

The Bottom Line: The pizza delivery chain saw a dramatic shift toward carryout last year, which it blamed on the impact inflation is having on consumers. So why aren’t we aren’t DoorDash and Uber Eats saying the same thing?

The decision entitles Raef Lawson to $65 in unpaid minimum wage from eight years ago. It could have broader implications for third-party delivery companies.

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