Why are delivery companies like DoorDash and GrubHub suddenly economically viable?

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People have had cars, addresses, and telephones for a century. Pizza and Chinese food have been showing up at people’s doorsteps for decades. Surely it seems like everything one would need to build a food delivery contracting company existed before the internet. What was missing that prevented me from ordering tacos by phone in 1995?

In: Economics

13 Answers

Anonymous 0 Comments

Smartphones mostly. Basically every driver comes equipped with their own GPS and order management system that GrubHub or DoorDash doesn’t have to pay for.

The rest of it is mostly about convincing different restaurants that its more viable to get these services to deliver for them than it is to have their own delivery service. And that random people can be reliable enough to get the job done. Like Grubhub was founded in 2004, and the entire recruiting random people via smartphone to deliver things has been building up since then.

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