DoorDash Business Model 2026: How It Makes Money - FourWeekMBA

DoorDash is a platform business model that enables restaurants to set up at no cost delivery operations. At the same time, customers get their food at home and dashers (delivery people) earn some extra money. DoorDash makes money by markup prices through delivery fees, memberships, and advertising for restaurants on the marketplace.

By Gennaro Cuofano · August 16, 2026 · 24 min read

Last Updated:June 2026— Enhanced with AI business impactanalysisLast Updated:June 2026Table of ContentsDoorDash Business Model in 2026: What ChangedKey MetricsWhy This Matters in the AI EraDoordash DoordashOrigin storyDoorDash’s mission, vision, and value props for its key playersDashers bring the food straight to customers’ doors and, in turn, make some extra incomePartners make their menus available on the platform and, in turn increase their revenues and get more exposureCustomers get food straight to their doors. DoorDash core valuesDoorDash flywheelRecapping the value props, DoorDash offers to each core playerLocal Merchants’ Core Value PropositionsConsumers’ Core Value PropositionsDashers Core Value PropositionsHow does DoorDash make money?DoorDash in numbersThe Economics of DoorDashThe hardest problem? Last-mile delivery!DoorDash growth strategyLooking into the future? Beyond foodKey HighlightsRelated Visual StoriesHow AI Is Changing ThisKey TakeawaysConnected Last-Mile Delivery Business ModelsRelatedDoorDash Business Model in 2026: What ChangedDoorDash has evolved beyond food delivery into a comprehensive last-mile logistics platform. The company now generates 65% of revenue from non-restaurant verticals including grocery (DashMart), alcohol, prescription drugs, and B2B logistics. AI-powered demand forecasting and autonomous delivery pilots in 15 cities have reduced delivery costs by 23%. The platform’s advertising revenue grew 340% since 2024, whilesubscriptionservices now account for 18% of total revenue through DashPass Premium tiers. Key MetricsMetric2026 ValueTotal Revenue$12. 8 billionCommission Rate (Restaurant)18-25%DashPass Subscribers28. 5 millionAdvertising Revenue$1. 9 billion (15% of total)Monthly Active Users42 millionAverage Delivery Time28 minutesTake Rate (All Verticals)22. 3%Why This Matters in the AI EraDoorDash’s AI-first approach transforms on-demand logistics through predictiveinventorymanagement, dynamic pricing algorithms, and route optimization. Machine learning models now predict demand with 89% accuracy, enabling proactive merchant partnerships and reducing food waste. For businesses, DoorDash’splatformdemonstrates how AI can create multiple revenue streams from a single customer base while maintaining operational efficiency at scale. Business ModelKey elements and framework breakdownFood Delivery Platform Commission-Based Revenue Delivery and Pickup Fees DashPass Subscription Partnering with Restaurants Integration with POS Marketing and Promotions Geographic ExpansionKey ElementsFood Delivery PlatformDoorDash operates as an on-demand food deliveryplatformconnecting customers with local restaurants. It offers a convenient way to order food for delivery or pCommission-Based RevenueDoorDash generates revenue through commissions on orders placed through its platform. It charges restaurants a percentage fee on each order for facilitating theDelivery and Pickup FeesDoorDash charges customers delivery fees for the convenience of having food delivered to their location. It may also impose additional fees during peak demand tDashPass SubscriptionDoorDash offers asubscriptionservice called DashPass, providing members with benefits like reduced delivery fees and exclusive discounts. It generates recurriPartnering with RestaurantsDoorDash collaborates with restaurants to expand their customer reach and offer delivery services. Restaurants can choose to partner exclusively with DoorDash oIntegration with POSDoorDash integrates with the point-of-sale (POS) systems of partner restaurants. This integration streamlines the order process, reducing the potential for erroMarketing and PromotionsDoorDash invests inmarketingcampaigns and promotions to attract and retain customers. It offers discounts, deals, and incentives to encourage orders. Geographic ExpansionDoorDash expands its services to new cities and regions, increasing its market presence. It enters both domestic and international markets to tap into a wider cbusinessengineer. ai · Updated 2026DoorDash is aplatformbusiness modelthat enables restaurants to set up at no cost delivery operations. At the same time, customers get their food at home and dashers (delivery people) earn some extra money. DoorDashmakes moneyby markup prices through delivery fees, memberships, and advertising for restaurants on the marketplace. Origin storyAs Tony Xu explained in an interview withVox:“We started the company to really helpsmall businesses, people like my mom. I grew up working out of my mom’s restaurant as a dishwasher, and my mom’s story is one where she came to this country, she wanted to be a doctor, but the U. S. didn’t recognize her license because we immigrated from China. It was a different license, and we only had $250 in the bank, so we couldn’t put her through school. ”The experience in the restaurant family business shaped Tony Xu, which together with other founders would start DoorDash which over the years got almost a billion in funding. As theInstacart storyteaches as well, those newly born startups, in the 2010s had learned a lot from the failure of Webvan, the first company that at the rise of the dot-com bubble (early 2000s) tried to build a grocery service online. Webvan got funded by important investors (among them Andy Rachleff and Sequoia Capital, and John Doerr from Kleiner Perkins) and yet it failed miserably. The failure of Webvan (a mixture of bad timing, and even worse execution) taught a lesson that also helped shape the lean methodology forplatform business models. The same Tony Xu, CEO and co-founder of DoorDash knew well the story of Webvan. In the same interview for Vox, he highlighted how DoorDash got backed by the same investors, but the time was right:“It was just too early [referring to Webvan], and actually, one of their cities was profitable. That was actually San Francisco at the time, but because there wasn’t enough demand in other markets, and because they had invested so heavily in these warehouses, and time that with the downturn, it was difficult to raise further capital, and that’s why the business shut down. ”As Tony Xu pointed out, three factors were lacking at the time. of Webvan. First, consumer demand wasn’t ready (most people didn’t even know what the Internet was at the time). Second, the mobileplatformthat started in 2007, enabled consumers to shop from anywhere and freelance workers to take orders on demand (dashers are a key player for DoorDash, at least untilautonomous drivingpicks up). And a third aspect that Tony Xu pointed out is the readiness of merchants to offer convenience beyond experience within theirbusiness models(one keyvalue propositionfor restaurants is the expansion of their customer base via the app and delivery service). DoorDash’s mission, vision, and value props for its key playersDoorDash’s goal is “to grow and empower local economies. ”And itsvisionwhich, as DoorDash explains,“will take decades to realize – is to build a last-mile logistics platform, create a set of services to grow a merchant’s sales, and produce a membership program that connects consumers to the merchants that sustain them. ”The workflow and template DoorDash follows starts from onboarding local businesses that make their menus available on its platform. From there, customers can order their food and get it delivered by “dashers,” who will bring the food straight to the customer’s door. DoorDash’smissionis to “enrich the communities in which local businesses operate. ”Three core assets enable thisvision:An on-demand logisticsplatformthat can facilitate the local delivery of any item. Merchant services to grow sales in the modern era. A membership program to the physical world for consumers. Let’s look then at its key players. Dashers bring the food straight to customers’ doors and, in turn, make some extra incomeAs “dashers” join the platform, they get the chance to earn some extra money flexibly. As Doordash specifies there is adifference betweenbeing a dasher and a driver for a ridesharing app: first, you don’t have passengers in the car; second, dashers can use any mode of transportation (car, bike, motorcycle). The way dashers make money will comprise a base pay + promotions and tips. Source: DoorDashPartners make their menus available on the platform and, in turn increase their revenues and get more exposureAccording to DoorDash, itsvalue propositionfor restaurants featuring their menus on theplatformmoves around three elements:Reach new customers. Improve margins. Increasebrandpresence. How DoorDash expresses itsvalue propositionfor Partners (restaurants) in terms of the improved bottom line. How DoorDash expresses itsvalue propositionfor Partners (restaurants) in terms of improved customer base and exposure. How DoorDash expresses itsvalue propositionfor Partners (restaurants) in terms of adding up service, like delivery, very flexibly. Customers get food straight to their doors. Customers simply get the convenience of getting food delivered to their homes. Convenience is not always guaranteed, as DoorDash makes money primarily by charging a commission to restaurants. Conversely, prices might go un on the DoorDash app, as the cost and commission might get dumped on customers. Therefore, the keyvalue propositionis the comfort of getting food delivered straight to your home. DoorDash core valuesDoorDash’s core values are summarized well in its prospectus, where those are described as:Be customer-obsessed, not competitor-focused. Get 1% better every day. Operate at the lowest level of detail. Dream big, start small. We are owners. DoorDash flywheelHow three core elements strengthen the DoorDash overall businessmodel: Economies of Scale, Local Network Effects, and Increased Brand Affinity. The DoorDash Flywheel (Source: DoorDash Prospectus). Local Network Effects:As more local merchants join in, that creates more selection on DoorDash Marketplace, thus driving more consumer engagement and sales for merchants on the platform. Economies of Scale: As theplatformadoption grows, it leverages higher order volume, thus more revenues for merchants and more opportunities for dashers to earn money. This makes theplatformmore appealing to dashers, improving fulfillment and making further scale possible. Increasing Brand Affinity:By leveraging both economies of scale and localnetwork effects, this enables DoorDash to further invest on its platform, grow thebrand’s perception, and lower over time the acquisition costs to further scale. Recapping the value props, DoorDash offers to each core playerDoorDash highlights some corevaluepropositions for each key player. Local Merchants’ Core Value PropositionsDoorDash emphasizes three core elements for Merchants:Demand Creation:Merchants can tap into the existing and growing consumers demand present on the DoorDash platform. Broad Array of Merchant Services: Merchants also get a set of fulfillment options for consumers to provide those same services to their customers via the DoorDash platform. Operational Efficiency:DoorDashplatformcan be plugged easily into the Merchants’ workflow by expanding their service capability. Last-mile delivery isn’t always a simple investment, especially for local merchants operating in cities, where consumers might want to get orders across town. Consumers’ Core Value PropositionsDoorDash’s core values for consumers aren’t so different from what other platforms like Amazon offer. Those comprise:Convenience. Wide Selection. Great Customer Experience. Value(a balance between convenience, selection, and quality of offerings). Dashers Core Value PropositionsDoorDash here emphasizes three core values for its dashers:Flexible Opportunities to Earn. Earnings Transparency. Dasher Community. How does DoorDash make money?DoorDash makes money in three ways:Delivery fees: That might vary depending on the order. They might be anywhere between $5 to $8 for the customer. Commissions: This might be as high as 20% on orders (however, in May 2020, DoorDash announced a 50% cut on the commissions). DashPass: Asubscriptionservice that gives unlimited access to the platform, with $0 delivery fees on orders of $15 or more. The price is $9. 99 per month. DoorDash in numbersThe company generated almost two billion in revenues for the nine months ending in September 2020. An over 3x increase year over year. Most DoorDash operating expenses are skewed toward the Cost of revenues. This includes things like order management costs – payment processing charges, costs associated with canceled orders, costs related to placing orders with non-partner merchants, and insurance expenses –platformcosts– costs for onboarding merchants and Dashers, costs for providing support for consumers, merchants, and Dashers, and technologyplatforminfrastructure costs, andpersonnel costs. Other large operating costsare associated with sales andmarketing, primarily consisting of advertising and other expenses related to merchant, consumer, and Dasher acquisition andbrandmarketingexpenses. (Financial Data Source: DoorDash Prospectus)Other KPIs to take into account for DoorDash comprise the Marketplace gross order volume (GOV) that reached over $16 billion for the nine months ending in September 2020, with a 23% contribution margin (which represents the incremental profit, or the money made after removing all variable costs). (Financial Data: DoorDash Prospectus). The Economics of DoorDashExample of how DoorDash makes money and how it generatesvaluefor its key players. As orders flow through the platform, DoorDash uses the cash generated from the order to pay back merchants after taking a commission. And to pay back dashers after taking a consumer fee from the order (Image Source: DoorDash Prospectus). DoorDash makes money from the orders placed on the platform. While theplatformapplies a commission to consumers and merchants, part of this commission is paid out to dashers. At the same time, another chunk is retained by DoorDash, and it works as the revenue generated by the company. Let’s take the example above; on an order placed from a consumer for $32. 90, this is broken down in:Cost of food = $22. 40Tax = $1. 70Tip = $3. 30And Consumer Fees = $5. 50The tip will be paid out to dashers directly, and the consumer fees will also be, in part, paid out to dashers for fulfilling the order. Therefore, in general, on such an order, thedasher gets $7. 90. On the other hand, the merchant gets $20. 10 in revenues for an order of $32. 9 by the consumer (of which $22. 4 was for the cost of food). This is how the revenues recognized by the merchants willlook like:Cost of Food = $22. 40Tax = $1. 70Commission & Fees = -$4. 00Merchant Earnings= $20. 10The hardest problem? Last-mile delivery!When looking at a business like DoorDash, it is surprising that large organizations (like Chip — as explored inthe economics of AI compute infrastructure— otle or Panera) partnered up with theplatformto offer delivery options. Why do they not develop their own? (in part, they do). The answer here is understanding the real, hard problem behind aplatformlike DoorDash. Which is not about simply setting up or giving delivery options to customers. That is about last-mile logistics. In short, last-mile logistics, or the so-called “last mile,” comprises the activities needed to provide a service to the final customer. The last-mile problem is a very hard one, now on the priority list for many organizations (Amazon,Uber Eats,Instacart, and many others). The primary reason is that last-mile logistics gets counterintuitive as it usually does not benefit fromeconomies of scale. Therefore, the last mile sits outside thenetwork effectscreated by the organization, as the last step – required to get to the final customer – is disconnected from the rest of the network. The consequence is that the last mile is the most expensive (most of the costs of the supply chain — as explored inhow AI is restructuring the traditional value chain— lie in that last mile), hard to tackle (it requires a degree of customization that can’t be canceled out), and yet extremely important (consumers see the face of the delivery person as the only “physical connection” with the company). Therefore, when thinking about the realvalueof aplatformlike DoorDash, that is all about last-mile logistics. DoorDash growth strategyDoorDash is mapped around its three key players/partners/stakeholders:Merchants, therefore DoorDash is focusing itsplatformon enabling:More merchants to join in. While making more merchants’ services available to them. Consumers, to enhance its platform, DoorDash’sgrowth strategyis focused on the following:Getting more consumers onboard as selection improves through making merchants join in. And as more services become available to merchants, consumers have more options, thus getting more engaged and spending more often on the platform. In short, the threegrowthlevers are:More merchants’ services also drive consumer experience through variety. Improved dasher experience also drives more efficient fulfillment and better consumer experience. Increased operational efficiency driving more merchants, consumers, and dashers on the platform. Looking into the future? Beyond foodAs companies look into the future, how the market evolves. DoorDash sits in the middle of the transportation, communication, and food market. This means that as the company evolves, it will also look for new formats to enhance itsbusiness model. In DoorDash’s case, just like other companies likeUber Eats,GrubHubandInstacart, look for the evolved autonomous delivery market. This will change theirbusiness modelsand make them evolve. Where those platforms had to leverage inexpensive labor to grow up (which, as a side-effect, created the “Gig Economy,” but also legal backlash), they will look more into automating solutions in the future. And indeed, in 2019, DoorDash boughtScotty Labs, a company that enables people. to remotely control self-driving cars. As Tony Xu,founderand CEO of DoorDash, explained toVox:“We started with food just because it was the hardest problem; It’s not just because it’s high frequency, but because if you can figure out food … if you can deliver something in 30 minutes, you can deliver something in an hour. The reverse is not true. ”Key HighlightsOrigin Story and Mission: DoorDash was founded with themissionto help small businesses, inspired by CEO Tony Xu’s experience in his mother’s restaurant. They aimed to create aplatformthat empowers local economies and offers convenience. Business Model: DoorDash operates as a food deliveryplatformconnecting customers, restaurants (partners), and dashers (delivery drivers). It generates revenue through delivery fees, commissions from restaurants, and a subscription service called DashPass. Core Players and Value Propositions:Merchants (Restaurants): DoorDash offers restaurants expanded customer reach, improved margins, and increasedbrandpresence by featuring their menus on the platform. Customers: Customers benefit from the convenience of food delivery, a wide selection, and a good customer experience. Dashers (Delivery Drivers): Dashers get flexible earning opportunities, transparency in earnings, and a sense of community. Revenue Streams:Delivery Fees: Customers pay fees varying with their orders. Commissions: Restaurants pay a percentage of the ordervalue. DashPass: Subscription service offering free delivery for a monthly fee. Growth Strategy:Focus on merchants: Enabling more restaurants to join and providing a variety of services. Enhancing consumer experience: Attracting more customers as the selection and services expand. Operational efficiency: Improving dasher experience and increasingplatformefficiency. Future Directions:DoorDash aims to evolve beyond food delivery, looking towards the autonomous delivery market. Acquisition of Scotty Labs to explore remote control of self-driving cars. Financial Snapshot:DoorDash’s revenue increased significantly, generating almost two billion in revenues for nine months ending in September 2020. It uses a commission-basedmodelto generate revenue while sharing a portion with dashers. ElementsAnalysisImplicationsExamplesFood Delivery PlatformDoorDash operates as an on-demand food delivery platform connecting customers with local restaurants. It offers a convenient way to order food for delivery or pickup through its app or website. Provides customers with a wide range of dining options and convenience. Enables restaurants to expand their reach and access a larger customer base. Customers use the DoorDash app or website to order food from their favorite local restaurants and have it delivered to their doorstep or prepared for pickup. Restaurants partner with DoorDash to offer delivery services without the need for in-house delivery staff. Commission-Based RevenueDoorDash generates revenue through commissions on orders placed through its platform. It charges restaurants a percentage fee on each order for facilitating the delivery or pickup service. Provides a sustainable revenue stream tied to transaction volume. Encourages DoorDash to drive order volume and maintain partnerships with restaurants. For every order placed through DoorDash, a portion of the order total is collected as a commission fee. Restaurants pay this fee to access DoorDash’s delivery and customer base. Delivery and Pickup FeesDoorDash charges customers delivery fees for the convenience of having food delivered to their location. It may also impose additional fees during peak demand times. Generates additional revenue while offsetting delivery costs. Helps DoorDash maintain profitability and offer competitive pricing. Customers pay a delivery fee for the convenience of having their food delivered. During peak demand, DoorDash may apply surge pricing or additional fees to balance supply and demand. DashPass SubscriptionDoorDash offers a subscription service called DashPass, providing members with benefits like reduced delivery fees and exclusive discounts. It generates recurring revenue from subscription fees. Encourages customer loyalty and repeat business. Creates a predictable income stream through subscription renewals. Customers subscribe to DashPass for a monthly fee, gaining access to reduced delivery fees and special promotions. The subscription encourages frequent use of DoorDash services. Partnering with RestaurantsDoorDash collaborates with restaurants to expand their customer reach and offer delivery services. Restaurants can choose to partner exclusively with DoorDash or use multiple delivery platforms. Allows DoorDash to offer a wide variety of cuisine options and restaurant choices. Competition among delivery platforms can provide incentives for restaurants to improve quality and service. Restaurants enter into agreements with DoorDash to make their menus available for delivery through the platform. Some may choose to partner exclusively with DoorDash, while others work with multiple delivery services. Integration with POSDoorDash integrates with the point-of-sale (POS) systems of partner restaurants. This integration streamlines the order process, reducing the potential for errors and ensuring accurate delivery. Enhances operational efficiency for both DoorDash and restaurants. Improves order accuracy and overall customer satisfaction. Restaurants can integrate DoorDash into their POS systems, enabling seamless order management and improving the delivery experience for customers. Marketing and PromotionsDoorDash invests in marketing campaigns and promotions to attract and retain customers. It offers discounts, deals, and incentives to encourage orders. Drives customer acquisition and engagement. Attracts new users and retains existing ones through competitive pricing and promotions. DoorDash runs advertising campaigns, offers limited-time discounts, and collaborates with restaurants on promotions to entice customers to place orders through its platform. Geographic ExpansionDoorDash expands its services to new cities and regions, increasing its market presence. It enters both domestic and international markets to tap into a wider customer base. Broadens DoorDash’s user base and revenue potential. Encourages competition with local and global food delivery providers. DoorDash gradually expands its services to new cities, regions, and countries to offer its platform to a growing number of customers and restaurants. Customer SegmentsDoorDash’s customer segments include individuals and families seeking convenient meal solutions, office workers ordering lunch, and businesses looking for catering services. Diverse customer segments allow DoorDash to cater to various needs and occasions. Specialized services, like catering, target businesses. DoorDash serves a broad range of customers, from individuals ordering dinner to professionals seeking lunch options and businesses arranging catering for events. Distribution StrategyDoorDash primarily distributes its platform through digital channels, offering downloads on app stores (iOS and Android). It also collaborates with restaurants to promote its service through their own marketing efforts. Digital distribution ensures accessibility through smartphones. Restaurant partnerships leverage existing customer bases for growth. Users can download the DoorDash app from app stores, making it accessible on mobile devices. Restaurants often promote their DoorDash partnership through their websites, social media, and physical locations. Value PropositionDoorDash’s value proposition centers on providing convenient access to a wide variety of local restaurant options, enabling customers to enjoy restaurant-quality meals in the comfort of their homes. Offers a time-saving solution for meal preparation. Provides access to diverse cuisines and dining experiences. Encourages customer loyalty through DashPass. DoorDash promises convenience by bringing restaurant-quality meals to customers’ doorsteps. DashPass subscribers enjoy cost savings and exclusive benefits, further enhancing the value proposition. Uber Eats vs. DoorDashDoorDash FinancialsDoorDash generated over $6. 5 billion in revenue in 2022 and over $1. 3 billion in net losses for the same period. DoorDash EmployeesIn December 2022, DoorDash announced the mass layoff of 1,250 employees, bringing the employees from 8,600 in 2021 to 7,350 at the end of 2022. DoorDash GOVDoorDash defines its Marketplace GOV as the total dollarvalueof Marketplace orders completed in its local logistics platform, including taxes, tips, and any applicable consumer fees, including membership fees related to DashPass. In 2022, DoorDash GOV was over $53 billion, vs. almost $42 billion in 2021. Is Uber Eats Profitable?Uber Eats’ EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization) – which measures a company’s operational efficiency – was negative for $348 million in 2021, compared to over $870 million in negative EBIDTA in 2020 and over $1. 3 billion negative EBIDTA in 2019. Uber Eats RevenueIn 2021, Uber Eats passed $8. 3 billion in revenue, compared to $3. 9 billion in revenue in 2020. How Much Does Uber Eats Pay?In general, a Uber Eats rider might make anywhere between $15-20 an hour in the US. Uber Eats has a take rate of 17-20% on each order placed by the customer. Uber Eats riders’ hourly rates can vary based on geography and route availability. Read Next:Uber Eats Business Model,McDonald’s Business Model,OpenTable Business Model,Amazon Business Model,TripAdvisor Business Model. How AI Is Changing ThisAI is fundamentally transforming DoorDash’score business modelby optimizing its three-sided marketplace connecting restaurants, drivers, and customers. The company’s sophisticatedmachine learningalgorithms now power dynamic pricing, route optimization, and demand forecasting, directly impactingrevenue streamsfrom delivery fees, service fees, and restaurant commissions. A concrete example is DoorDash’s AI-driven “predictive ordering” system, which analyzes historical data, weather patterns, local events, and user behavior to pre-position drivers in high-demand areas before orders spike. This reduces delivery times from an average of 45 minutes to under 30 minutes, increasing customer satisfaction and order frequency while enabling DoorDash to charge premium delivery fees during peak periods. Additionally, the AI system optimizes driver routes in real-time, allowing more deliveries per hour and higher driver earnings, which reduces turnover costs and improves the platform’s efficiency—ultimately boosting DoorDash’s take rate from each transaction. For deeperanalysis:The Business Engineer — AI Strategy IntelligenceKey TakeawaysDoorDash is a platformbusiness modelthat enables restaurants to set up at no cost delivery operations. "We started the company to really help small businesses, people like my mom. DoorDash's goal is "to grow and empower local economies. "DoorDash's core values are summarized well in its prospectus, where those are described as:DoorDash highlights some corevaluepropositions for each key player. DoorDash makes money from the orders placed on the platform. When looking at a business like DoorDash, it is surprising that large organizations (like Chipotle or Panera) partnered up with theplatformto offer…Connected Last-Mile Delivery Business ModelsDeliveroo Business ModelDeliveroo is a British online food delivery company founded by Greg Orlowski and Will Shu in 2013. Shu developed theplatformin response to a lack of high-quality food delivery in London. Deliveroo makes money by collecting 25-45% of every order it facilitates. It also charges delivery fees and onboarding fees for restaurants that wish to be featured on the platform. Deliveroo for Business is a service designed for corporate clients needing to order food in bulk. The company also charges a higher commission to businesses that utilize a network of digital kitchens to process orders. DoorDash Business ModelDoorDash is a platformbusiness modelthat enables restaurants to set up at-no-cost delivery operations. At the same time, customers get their food at home, and dashers (delivery people) earn some extra money. DoorDash makes money by markup prices through delivery fees, memberships, and advertising for restaurants on the marketplace. Glovo Business ModelGlovo is a Spanish on-demand courier service that purchases and delivers products ordered through a mobile app. Founded in 2015 by Oscar Pierre and Sacha Michaud as a way to “uberize” local services. Glovo makes money via delivery fees, mini-supermarkets (fulfillment centers that Glovo operates in partnership with grocery store chains), and dark kitchens (enabling restaurants to increase their capacity). GrubHub Business ModelGrubhub is an online and mobileplatformfor restaurant pick-up and delivery orders. In 2018 the company connected 95,000 takeout restaurants in over 1,700 U. S. cities and London. The Grubhub portfolio of brands like Seamless, LevelUp, Eat24, AllMenus, MenuPages, and Tapingo. The company makes money primarily by charging restaurants a pre-order commission, and it generates revenues when diners place an order on its platform. Also, it charges restaurants that use Grubhub delivery services when diners pay for them. Lyft Business ModelLyft is a transportation-as-a-service marketplace allowing riders to find a driver for a ride. Lyft has also expanded with a multimodalplatformthat gives more options like bike-sharing or electric scooters. Lyft primarily makes money by collecting fees from drivers that complete rides on the platform. OpenTable Business ModelOpenTable is an American online restaurant reservation system founded by Chuck Templeton. During the late 90s, it provided one of the first automated, real-time reservation systems. The company was acquired by Booking Holding back in 2014 for $2. 6 billion. Today OpenTable makes money via subscription plans, referral fees, and in-dining with its first restaurant, as an experiment in Miami, Florida. Postmates Business ModelPostmates is a food delivery service built as a last-mile delivery serviceplatformconnecting locals with shops. Postmates makes money by collecting fees (commission, delivery, service, cart, and cancellation fees). It also makes money via itssubscriptionservice (called Unlimted – $9. 99/month or $99. 99 annually), giving free delivery on orders of more than $12. Uber Eats Business ModelUberEats is a three-sided marketplace connecting a driver, a restaurant owner, and a customer with Uber Eats platform at the center. The three-sided marketplace moves around three players: Restaurants pay commission on the orders to Uber Eats; Customers pay small delivery charges and, at times, cancellation fees; Drivers earn through making reliable deliveries on time. Other hand-picked related resources:Business Strategy ExamplesTypes of Business Models You Need to KnowBlitzscaling Business Model InnovationWhat Is a Value Proposition?What Is Business Model Innovation And Why It MattersPlatform Business ModelsNetwork Effects In A NutshellDigital Business Models

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