You’ve probably noticed that your food delivery receipts are getting much longer.
Extra charges for small orders, the driver’s fuel or delivery in a busy area, when combined with a tip (you should always tip!), can quickly turn your $6 coffee and bagel into a $14 order.
It’s frustrating for sure, but also an annoyance consumers can’t dodge in a delivery industry that has rapidly consolidated. The question is how long customers will take excessively high fees before ditching the apps. A run through this month’s earnings updates from industry leader DoorDash and next-in-line Uber Eats, part of Uber Technologies, shows the answer is not anytime soon. DoorDash beat Wall Street’s expectations for orders placed and value of orders, and Uber Chief Executive Officer Dara Khosrowshahi assured investors that elevated inflation was not impacting consumer spending. "They’re spending their money on experiences and food is a part of that,” he said.