Comment by paxy
7 hours ago
I’d cry “antitrust” but who are we kidding at this point. The relevant parties have likely been paid off already.
7 hours ago
I’d cry “antitrust” but who are we kidding at this point. The relevant parties have likely been paid off already.
"DoorDash and Instacart believe that communities benefit when Main Street competes"
That's rich! Communities benefit when small businesses compete against each other. Announced as part of a merger of two giant public companies.
But doordash says this merger means more choice for the consumer, how could antitrust play a role here? I mean, unless they're lying about removing choices from the market place will result in more choices in the market place, but doordash wouldn't do that would they?
I mean neither of these companies provide an important service. If they both disappeared tomorrow I think most people wouldn't care.
IMO grocery delivery is a game changer. I don't use either service, but use a different one[s]. Even with a tip (I have been doing $15/per delivery), it's not much more expensive than normal groceries at Trader Joe's etc, and I don't have to put on outdoor clothes, walk to my car, navigate traffic, navigate the aisles, wait in line, reverse... IMO big QOL of life increase.
And second-order effects like I can always have fresh fruit + veggies / not worrying about rot by getting it in smaller quantities delivered more often.
For those wondering about price: It's much cheaper than takeout or prepared food delivery, but more expensive than getting your own groceries. Offset a bit by less food waste.
> Even with a tip (I have been doing $15/per delivery), it's not much more expensive than normal groceries at Trader Joe's
In my experience its significantly more expensive for groceries: up to 20% for items + service fee + subscription + tip.
I was canceling Instacart subscription and they offered me another year for discounted price ($17). I kept it but I won’t ever extend it for full price given how much more it costs.
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How can that be profitable on the long run?
Feels like it will end up more expensive in a few years
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But if they were gone, the worst is you're putting pants on and getting your own products. There are not essential, they're simply a labor and regulatory arbitrage for gig workers to schlep product to consumers at very low wages.
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Antitrust does not have "important service" requirement. What has happened in gaming is another travesty but there is plenty of people who would say it's not "important service". Antitrust must be universal.
I know a lot of people who survive (almost) exclusively off take out and delivery. Especially in cities like NYC.
Right but where's the moat?
And takeout and delivery existed before this.
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TYVM. But I rely on Instacart as I live alone and can't drive anymore since my eye surgery 10 years ago. If I didn't have instacart I don't know how I'd ever get any groceries.
Grocery delivery is an important service for a large chunk of the population. About 40 million people in the country (mostly low income) live in food deserts. Plenty more don't own cars. Doordash & co have burned VC money for a decade to monopolize the delivery pipeline so restaurants and grocery stores rarely hire their own drivers anymore. And now with this kind of consolidation they can raise their prices unchecked.
Do you have a source that these low income Americans are the ones who are ordering food? My understanding was this was largely people with additional disposable income who were doing it for convenience and not necessity as the product for the price was a good enough trade off. I find it hard to believe low income Americans are getting their groceries delivered when they can’t afford the base prices for the most part.
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The food desert thing has been debunked. And the notion that millions of low income people are using DD to get broccoli delivered is laughable.
I'd be curious to see if it lowered food prices at all if these services and their upcharges weren't around anymore to influence pricing.
What if you’re disabled and need to order food ?
The way this was handled before these gig economy food delivery companies sprang up. People didn't automatically die of starvation because they were disabled and became adults prior to DoorDash. Medicaid and Meals on Wheels fill in some of the gaps depending upon age and state.
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How many of their customers fit this description?
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