[ELI5] How do delivery services like Uber Eats make money when a rider get’s $5+ per delivery?
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They increase the price of all the dishes/products by ~10% (specific case here in Italy, with Glovo) and the restaurants also have to pay some of their share. Then you usually pay a service fee in addition to this.
In short, they take a cut from the top, from the bottom and from the middle. And a bit of that goes to the driver.
They increase the price of all the dishes/products by ~10% (specific case here in Italy, with Glovo) and the restaurants also have to pay some of their share. Then you usually pay a service fee in addition to this.
In short, they take a cut from the top, from the bottom and from the middle. And a bit of that goes to the driver.
a lot of them don’t make money, actually. I don’t know the specific numbers on Uber Eats, but Uber as a company has been cash-flow negative for it’s entire existence. They’re burning investment capital in order to push top-line growth. Not profitable yet. Might never be profitable.
a lot of them don’t make money, actually. I don’t know the specific numbers on Uber Eats, but Uber as a company has been cash-flow negative for it’s entire existence. They’re burning investment capital in order to push top-line growth. Not profitable yet. Might never be profitable.
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