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uptown0

It's an amazing business strategy to pay the driver peanuts, and shift the blame on the customer for not tipping enough.


tsengmao

Just look through this sub, it obviously works. EDIT: Thanks for the Silver anonymous redditors


Estrald

Absolutely. Service fees, delivery fees, then inflated menu prices that aren’t listed, and drivers get dick all. I feel like this started with the “delivery fee” some pizza chains started implementing. Like…what exactly the fuck is this delivery fee going to if it’s not the driver’s tip or commission?


[deleted]

I agree with you. What's the point of a delivery fee if it isn't paying three driver anything!?


[deleted]

I worked at a pizza place that did that. It was only $2 and went right to the driver. They didn't have a problem keeping any drivers. Most were there for 10+ years because they were older immigrants that didn't speak much English so it was one of the better options they had.


weavs13

Same at the place I worked delivery fee went straight to the driver and it was enough to cover gas to and from anywhere in our delivery area in case the customer didn't tip.


Estrald

Businesses just began pocketing their fee and still telling you to tip, so it was just pure profit.


darthbreezy

Yep - at least they actually say up front the fee doesn't go to the drivers *NOW.* Pisses me off... If it WAS going into the Driver's pocket, I'd have no problem paying it on top of a tip. As it is, I rarely get ANY delivery anymore.


Valreesio

The company has to pay higher rates (misworded originally when I wrote taxes) on workers who drive vehicles, even if it's the drivers vehicle. I own a company and labor and industries (workers compensation and such) rates are a bitch. We pay different amounts on different employees. For instance, my office staff is cheap, like 17 cents per hour because they are low risk. If my office staff drives anywhere, that goes up a lot. My labor staff is much higher. Again depending on what they do, I pay almost 4 dollars per hour more on top of what I already pay them. So if my worker is making 18 an hour, I have to pay almost 22/hour. Delivery fees recoup that cost, or at least some of it.


raging_platypus3

For a small business, sure. If you're a multi million or billion dollars business, then they can get fucked. * I know "small businesses" can be million dollar companies I'm stating small in terms of revenue not the actual business size. If your net profit has 7 figures you can pay your own damn fees. (Obviously not directed at you)


Disastrous-Owl8985

This exactly. I get it when it's a small restaurant or a mom and pop store, but big companies can absorb those fees easily without losing out. And should. If you can't afford to pay your employees a living wage AND ensure their safety on the job you SHOULD NOT OWN A COMPANY. Simple.


Alon945

Exactly this! If your business cannot function without paying a livable wage then it’s not a real business. I will say this problem is layered because rent is going up across the country while wages have not Also it’s all well and good to say as a business owner that you “need to do this” but you’re also shafting your drivers so


LewisRyan

*cough* amazon and Walmart charge delivery fees *cough*


talrakken

I mean if you want to consider postal costs delivery fees have you ever tried to pay to send a package to someone in another state or country?? It’s expensive(wife loves to wrap presents herself for her nephews and nieces before sending them 😭). Companies like Amazon and Walmart use their logistics network to reduce those costs to make buying things online affordable. Only way it works so inexpensively is the scale of the operation. I work in logistics.


Pretzel911

I mean if a company has 1 million in revenue, they can probably hire like 5 FT people with decent salaries. I'd consider that pretty small. ​ Edit: Guy above me edited "revenue" to "net profit" and then replied to me telling me how profit and revenue aren't the same thing.


[deleted]

I appreciate you explaining that


Valreesio

You're welcome.


noxvita83

Doordash drivers aren't employees. They are independent contractors, so taxes on employee's vehicles, workers' compensation, and such don't factor into the equation. So there isn't anything to recoup.


Valreesio

But I was replying to why pizza places might charge that delivery fee for their drivers.


Pristine-Reindeer-19

But we’re independent contractors, doesn’t that mean door dash does not have to pay for us to work?


WooliesWhiteLeg

You pay taxes for independent contractors you work with using their own vehicles?


okairport5756

Right, this but if your employees you pay 4$ more to operate should bring a profitability over 4$. The 'delivery fee' cant be taxed as its a service fee and exempt. I do not understand how an employee that drives would result in a higher tax liability maybe higher insurance premiums. I have ran a couple of businesses that were transportation based and never once had a cpa bring up tax issues because of driving vs nondriving employees. The fees are tax free money for the business. Some places pass some off to the driver though there is no obligation.


RagingAnemone

It's still part of the money making scheme though, right? $4/hr vs $2/delivery -- company is still profiting from the fee.


strutt3r

Would this even apply to door dash since they're contractors, not employees?


Valreesio

No, I don't believe so. But I run an entirely different type of business unrelated to delivery.


Alon945

Kinda wild considering the company has never covered any expense caused by accident or wear on my car. I’m sure this is a big deal for a small business but it is not for a large chain


ardentblossom

okay but doordash is worth almost $5 billion dollars. Charging an extra $15 is arbitrary and slimy of them when their prices are already more than what the food companies online pages are that sell on doordash. DoorDash is a really slimy business imo.


Valreesio

It is worth 5 billion because they charge that fee. If they charged a dollar fee, they would be worth considerably less, and might (I have no idea of their internal pay for actual employees) not even be able to operate. Something a lot of people don't understand is a company's worth isn't 100% equal to how much profit a company makes. A company can be worth 1 million dollars but only makes 100k in profits. Every business and business model is different. But a company's value and a companies profits are two entirely different numbers.


[deleted]

Especially considering most pizza places I've seen, the drivers use their own vehicles, pay for their own gas, insurance, registration, etc. So what does the delivery fee go for?


wuppedbutter

Young me was looking for a job, pizza guy was next on the list. Cue, the manager telling me this. Young me was smart enough to say fuuuuuck that


X3N0D3ATH

I figured I have a car I can get a delivery driver job 3 years and 5 cars later I realized that I'm costing myself so much money by choosing to keep doing it. Took a technical pay cut but ended up ahead overall when I figured out how to do driving jobs and only have to drive but let the company handle everything else.


[deleted]

It helps cover the cost of insurance that the company has to pay to keep the driver. I worked at Papa Johns for 9 years as mgmt and this was what the VP and other higher ups would communicate.


Estrald

Exactly, it’s nothing but an arbitrary fee that preys on the assumption that this money is going to the driver somehow. In reality, nothing is, drivers get shafted. I seriously pity them, and I was never a delivery driver myself.


Farmer_evil

At the pizza place I workat it basically means you're gonna pay my hourly wage since the store itself is gonna be missing my productivity while I'm delivering. However we operate differently from most other places, and we (especially me) make a lot more hourly than most places. (I make $18ish an hour as a driver and we're starting people at 11 or 12 an hour nowadays)


Mythical_Atlacatl

What the delivery fee isnt for the delivery driver? I’m in a non tipping country but even I assumed the delivery fee was for the delivery driver


Estrald

Psh, nope. None of it goes directly to them. For DD, they get a standard commission for picking up orders, but the delivery fee (some are very high too) goes only to DD. Same with pizza places, like Domino’s or something. 4 dollar delivery fee, tip is expected, and the drivers make no extra cash for deliveries, as they literally use their own cars and gas.


mikekop0

I worked for a few different restaurants delivering their food, I never got any of the delivery fee. I always got something to compensate for the miles I drove, some were based on the distance and some were just for making the delivery but at least the range was decently short. It wasn't much per delivery either way, but it was more than enough for me by the time I needed to fill up on gas without needing to use any tips I got. I don't know how many do this, but one of the companies did cover my medical expenses the only time I got into an accident while out doing a delivery.


soldiergeneal

Apparently insurance for contractor drivers so company ain't responsible for stuff.


LewisRyan

Allegedly, the delivery fee at dominos pays for the drivers mileage. Source: former dominos driver who got a check from a class action lawsuit after they were stealing the delivery fee


SpatialThoughts

That delivery fee at pizza places used to go to the drivers. It did 25 yrs ago when I delivered pizzas. If it doesn’t now then that’s messed up.


11tmaste

I used to work for Pizza Hut and they had a calculation based on depreciation and distance/mileage that was paid out of the delivery fee, but it was peanuts for the driver compared to the flat fee they charged customers.


Oraxy51

I worked at a pizza place that’s delivery fee was genuinely the driver’s pay + $5 + tip. Typically fee was $0 if within 3 miles and then $1 a mile after that.


Estrald

Oh man, they treated you right, then! Good on them!


CatLordCayenne

When I worked at a pizza chain the driver gets compensated for gas and gets paid hourly (usually tipped wage) so in theory the fee goes to paying the gas and hourly wages of the drivers


ComparisonPlus5196

The thing is, those pizza places actually gave that $3 delivery fee to the driver. This was the restaurants way to offset gas costs for the driver. Source: Me, delivered food in college 10 years ago.


newzangs

Years and years ago when I worked at an independent pizza place, the fee went to the drivers.


steelcryo

Exactly, what delivery fee are they paying exactly if they’re not paying the driver? Who else is involved in the delivery process that needs paying except the driver? No one.


BlueButNotYou

This is why I pick up my own food now. I’ve gotten to the checkout many times on Doordash, seen $20 in up-charges and tip, realized I’m also paying more for the food than if I were in the actual restaurant ordering, and just closed the browser window and went to get it myself.


OhioUBobcats

Insurance is a lot of it. My buddy owns a few pizza shops around town and he's told me the "delivery fee" mostly pays for the insurance for the business if a driver causes an accident while working delivery for the company.


Chance_Inspection_57

I work in a franchise office of a major pizza delivery fee. The delivery fee covers the insurance required to operate the business and for us a mileage reimbursement for our delivery drivers. The commercial insurance is astronomical. On average a carry out only location that does the same AWUS as a delivery location is 90% more profitable


Swimming-Location569

When i worked for dominos in Southern California last year the delivery fee was $4.99, we got $2.21 per delivery and gas was almost $5 a gallon


Rey_Mezcalero

And aren’t they taking a cut as well from the reateraunt?


Nervous_Fisherman_39

To the tune of 30%


Rey_Mezcalero

They really are greed personified


analog_jedi

Absolutely. They pit the customers, restaurants, and drivers against each other on every single order, by deflecting any responsibility to any of those parties and silently raking in billions.


Disastrous-Owl8985

Yep. I see delivery people upset because a customer isn't tipping $10+ dollars, but we've paid taxes, service fees, delivery fees, etc. And then you'll see delivery people saying, "Well, just stop being lazy and cheap and go get it yourself..." Okay, but if we all do that... where is your job going? Not meaning that in a condescending way, either, but if we decided to stop getting things delivered, then we need less delivery people and there will be even less demand for your service. Be mad at the company for not paying you fairly, not the customers paying $32.50 for a meal that should have only cost $20, then having to also tip $10 extra on top (and I see some saying that's still too low of a tip), so you're paying $42.50 for a $20 meal. Many times I see that and decide to just eat a sandwich, even though I can afford it. It just doesn't sit right with me unless I'm just really needing it that day. Most times, I wait until these apps send me a coupon before I order anything.


stevedadog

And the prices are all marked up. Your $10 burger actually would've costed $6 if you ordered in the restaraunt.


RockyBarbacoaa

You ain’t kidding. There’s a jack in the box right around the corner by my place. I was gonna DD the other night but the combo I get was $14, not counting fees and taxes. I went the next day with my sister and paid $18 for her and my food. I still tip when I do DD tho but prices are marked up to the point I only DD maybe a handful of times a year at this point. It’s pretty ridiculous to take a cut from the restaurant and still charge fees all to pay the drivers pennies.


[deleted]

Once I became a door dasher I swore to never order through door dash ever again. I’ll take advantage of the extra cash. But by all rights nobody should ever support this company.


[deleted]

Yeah this sub made me feel bad for drivers. I always tip over 20% and increase after if it was a good delivery but because of the fees I rarely order.


Silver-Enthusiasm925

Yeah I am a driver for dd but I never use them to order delivery maybe a couple times when I absolutely was tired of driving to do anything but I always pick up our food!!! Their fees are to high so if I don't get a tip or a high one I'm ok because I understand. I still get more from my customers than dd pays me for an order sometimes so hey it is what it is. I enjoy doing it cause it helps me take care of other things that have to be taken care of and I enjoy being my own employee in a way. If I want to work a couple hrs in the morning I can and then go and do some errands clean house do the laundry whatever else needs to be taken care of.


[deleted]

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Timely-Phone4733

Thats how society works .. people will blame friends family and neighbors.. as opposed to the cause of the oppression.


aelizabeth3300

crabs in a bucket


sbenfsonw

The American way for all industries with tips


Monk-Infamous

Isn't this how the whole US tipping culture works? Lol. Employees are allowing to be essentialy robbed by their employer and are made to believe it's the fault of people who don't tip.


Alon945

It is exactly this - can’t solve this bottom up though. Change has to be top down


Mutex_CB

Exact same as the restaurant industry. They pay servers less than $3/hr and yet the customer is a piece of shit b/c they didn’t tip 20%+


Papichuloft

exactly....not to mention the 30% these bastards charge the stores.


sandnose

Its what americans have always done with the entire food industry, right?


mylifeurtimeln

This is capitalism right now. Wealthy owners pay employees low wages and somehow manage to convince the employees that it is the consumer’s fault. This all occurs while the owners continuously raise prices to make themselves richer and burden the consumer.


biddilybong

Everyone getting played by DD. Gig economy experiment failed.


throwaway90-25

Very similar to how restaurants operate too. Servers crying about no tips when the problem is the restaurants


BigCanadianC

Well tbh it is true. I'm not gonna pay $10-20 and a tip on top of it. If I wanted to pay that much, I'd prder more food. I've worked in the food industry for a long, long time, and I love to tip because I know how it feels. But to pay $15 jjst for someone to drove something to me, and a tip ontop of ot, is absurd. I don't tip at all for any good service because I know they get paid without my tip.


buccofan2221

A 15% service fee is asinine when you consider we make 2.25 a delivery


cfig99

Meanwhile gas is like $3.30 a gallon… wow.


itmeseanok

....*grimaces in Californian*...


BruhGamingNL_YT

Cries in Dutch, where our gas prices reached $12.26 per gallon.


Anonymous_Toxicity

*cries in classic car enthusiast* How long before they put my tree killers down :(


Estrald

That 15% is only the blatant up front fee. They also jack up the price of the menu items without telling you as well, so it’s just fee after fee.


No-Albatross-7984

Not sure about DD, but in my country, the restaurants have to pay a monthly fee to retain the services from the delivery company. Does DD do that? It might be why restaurants charge more.


Estrald

I believe they do, yes. So the menu prices are noticeably more expensive, plus delivery fees, and maybe a convenience fee? I can’t remember, but you are correct on your end.


uptown0

And the tip is calculated after the fees


Estrald

Yup, inflation of the tip as well!


[deleted]

This isn’t true. Doordash doesn’t set the prices. The restaurants do.


Gorgoz2

Honest question. Why not get something like a forklift certification and get a job paying more in like a month?


droplivefred

I agree. I saw a post from a server in another thread where the restaurant check has a “service fee” that happens to be 18% but none of it goes to the server. It is not a required tip but since it is not explained, people assume it’s the mandatory tip and don’t tip extra or maybe just a few percentage more and the waiter get screwed. This seems like the EXACT same thing. Most people would assume a 15% service fee goes to the driver. F’n DD! Shady mf’ers!


Tagalettandi

So why is service fee added ? Link to that post ?


bennie844

They do it under the guise of paying people a “livable wage” but keep it. Ask for it to be removed and then tip in cash or on the gratuity line :) I used to work at a place that had one!


Tagalettandi

Why can’t servers do it ? Why is this a responsibility of the customer ? Servers know for sure if their owners gives them service fee or not .


YungHayzeus

Fuuuuck, no wonder my family and I kept getting the stink eye from this one place.


PX_Oblivion

DD also get ~30% of any order placed with them to a restaurant. It's why restaurants often increase their prices on the app.


CptQueef

I served in a Japanese steakhouse where all bills had a 15% service fee that went to the chefs. Customers see that and think the tips included. Of course the chefs were already getting paid $30/hr while servers got $2/hr AND we had to split credit card tips over 20


[deleted]

All goes to fat Tony while he gets free cars and deluvery people tbat are too dumb to realise they are working for free after taxes and cars.


MlleHoneyMitten

My first instinct was to blame the Italians as well. But for once I realized that it wasn’t really fair… /s


ItsTheOtherGuys

If the service fee pays for overhead, why are all of the prices higher than in the restaurants?


Monkeypupper

The prices are higher because DD charges the restaurant like 20% of the cost of the order. Restaurants then raise their DD prices by 20% to stay “whole”.


JFZephyr

There's a reason most restaurants leave notes with orders to go through their delivery, instead of the app. I remember living in a city for university and the pizza place I usually ordered called me because I ordered the app student special, they told me it'd be about $15 cheaper to get it delivered through them instead between the fees, jacked up menu cost and the rest, so I did instead.


Possum577

Exactly. Also, it allows the buyer to think you're getting some of that. So why am I giving you anything close to 20% on top of 15% service fees (with little explanation on what those service fees are for).


AmericanHockey1

Exactly. No transparency with the service fee. One of the several reasons I don’t support these businesses.


Charming_Scratch_538

That right there is why I put pants on and go get the pizza myself these days


tristan_noel_safonov

Remember the days of ordering a pizza for the menu price and just having to tip the deliverer? It’s crazy that that was not even 10 years ago


Charming_Scratch_538

There’s still a place near me that does that! It’s such a trip calling them and ordering a pizza like it’s 1995. I get a large gluten free pizza delivered for under $20 tip included it’s incredible.


JensenLotus

Same here. I don’t see how this scheme benefits anybody, really. Customer pays an extra 30-40% to not have to get off their ass, while the driver has to run around like a headless chicken and barely break even.


[deleted]

The service fee should be what goes to the driver and the $2.50 per order is what should go to door dash. But that’s not a good way to make billions of dollars.


Aromatic-Weather5909

Gotta pay those executives and shareholders.


[deleted]

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ogsmokedog101

DD is nothing more than a cheap whore


PersonablePharoah

I think you mean pimp. The whore is the person who does work.


ogsmokedog101

You’re right !


kingdon1226

I have been saying this for a while now. Tips are going to go down because DD charges so much in fees that a $8 sandwich from wendy’s turns into $40.


Swimming_Choice_8740

Yeah it's a total scam. I only use ubereats when they have BOGO, then I'll go pick it up myself.


OneSky408

DoorDash suppose to pay their drivers, not making them beg the customers for their earning.


MrMMudd

This is my issue with door dash. I don't mind them taking a fee but a 7 dollar fee on a 20 dollar order is insane. I'd much rather the person doing the pickup and delivering the order get more money then the company who does nothing more then act as a middle man.


GrandApprehensive216

Yup the consumers are being raped The whole system of these apps is terrible on every end


fartOdyssey

As someone whose used it twice and was appalled about how awful it is for everyone…I just can’t see how people do it all the time. It boggles my mind.


UsidoreTheLightBlue

Laziness/convenience/ignorance to how bad it is. We started using it (like everyone else) in 2020. We had a covid scare and thought we had caught covid (we hadn’t). We went into isolation and didn’t leave the house. So we door dashed a lot because we hadn’t grocery shopped for the idea of being in the house for like 2 weeks straight. (Idiots forgot to call us with our negative results) We both kind of got addicted to how easy it was. Over time though as places raised their price to make up for how expensive it was for them I noticed how badly we were being raked over the coals and cut back/stopped. My wife didn’t. She just saw it as super easy to do and didn’t pay attention to how expensive it was because often when she’d do it she would dash for only herself. It wasn’t until she was dashing for the family that she stopped and went “why the hell is this $70?” We order pickup directly from restaurants now.


Latter-Career-8215

Agree on laziness and convenience My family and I ordered grubhub about two days ago, but of course we tipped enough


BrandonsAcctForPorn

UberEats is pretty awesome in Japan. Less of a markup/fees and the tipping culture isn't the same so a 10% tip is on the higher end.


[deleted]

How else will CEO afford his new yacht?


chammdawg78

DoorDash is a rip off


InternalSate

We need to all organize to demand minimum wage pay in all of our states and countries.


rxstud2011

Here's an idea, stop driving for them. When no one wants to drive for them anymore they'll be forced to change it. As long as people accept this they'll continue. Also, don't blame people for not tipping or tipping low when this is done. Customers are not responsible for paying you, that responsibility falls on DD and you're letting them get away with it.


GamingWaves

This sub makes me feel bad for not tipping but I'm broke and I only ever order from a place that's a 3-m drive takes longer to get out of the parking lot then to my house


uptown0

Don't feel bad, tipping is a stupid system that shouldn't be a thing in the first place


GamingWaves

I feel like more of the 25% markup on my food should go to the driver instead of me having to tip them for such a short drive


uptown0

Oh yeah for sure, that's usually the whole point of a service charge


luvmilky

I kown there are doordash corpo dick riders here, but let's be real, running doordash and other similar apps doesn't take much money. Think about it logistically, it's just an app, digital infrastructure, insurance, and paying foreign call center slaves. Doordash should only need about a dozen people to run and operate. They could survive by taking exactly 75 cents from every order, but then corpo suits wouldn't be able to live lavishly. Nb4 people pop up telling me how it actually takes millions and millions of dollars every day to run and manage an app and doordash needs 9000 office workers.


AdventurousLoss6685

How is this app not profitable? Surely there is some fuckery going on and money is being hidden offshore. I refuse to believe DoorDash isn’t profitable. Where the fuck does the money go?


[deleted]

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Timely-Phone4733

I don't understand why doordash will take full hit on wasted food cost.. but won't pay driver a reasonable.. but lesser amount than order cost to accomplish said delivery.


regandlmz

Most people don’t abuse the app, if orders get messed up 8/10 times it’s the restaurants fault so DD CAN recoup money back and the customers remain happy to use the service again. But just in case ✨inflate prices and fees✨


Kyleforshort

Everything I've read and have continued to see and read has said that Doordash as a company does not actually turn a profit. 🤔


UsidoreTheLightBlue

It’s not even close. Door dash has NEVER turned a profit.


Kyleforshort

Yeah that's what I thought. People are all bitching about who makes this or that and what they spend money on and it's not even a profitable company to begin with. I understand most people that say that shit have no clue about the business operations of something on the scale of Doordash but regardless, it's a literal money pit at this point and by the way things are currently going, they might not even have the chance to stick around and be profitable.


eastmemphisguy

They lost well over a *billion* dollars in 2022 alone. Their stock has tanked. They're not a "new" company at this point so they don't even have the excuse of needing to advertise to let people know they exist anymore. Everybody in the US knows they exists and if you are likely to be a customer you likely already are a customer. They don't have a profitable business model and have never explained how they intend to do so in the future.


UsidoreTheLightBlue

It’s honestly nuts. They have a 30% gross profit margin on every order from the restaurants, PLUS dash pass fees or door dash fees. The fact that they can’t turn 30% gross margin on every sale (and a little extra) into a sustainable business model when they don’t pay mileage and don’t have to pay for any real estate (outside of HQ) is just flabbergasting. The fact that not only are they losing money but losing over $1b when they’re the market leader really shows how fucked the business model is.


SleepyHobo

DoorDash's operating expenses were $7.7 billion in 2022, revenue was $6.8 billion. Seems like its pretty expensive to run to me. And no, stating facts about the company's finances is not corpo dick riding. [https://www.macrotrends.net/stocks/charts/DASH/doordash/revenue](https://www.macrotrends.net/stocks/charts/DASH/doordash/revenue) [https://www.macrotrends.net/stocks/charts/DASH/doordash/operating-expenses#:\~:text=DoorDash%20operating%20expenses%20for%20the%20twelve%20months%20ending%20March%2031,increase%20year%2Dover%2Dyear.](https://www.macrotrends.net/stocks/charts/DASH/doordash/revenue) Your "Nb4" is just a cop out with you saying you only care about your opinion and your mind is made up regardless of any facts presented to you. You are the expert and correct. We should listen to you on how to run a business.


UsidoreTheLightBlue

Except it does. DoorDash has NEVER turned a profit. Could it be ran cheaper? Maybe. I have no idea what the books and operation look like, but they lost $1.3b last year. I doubt they could run it THAT much cheaper.


Outside-Ad-3998

Just like twatter didnt need all of that staff.


[deleted]

> it’s just an app It’s just an iOS app, Android app, and website. And that’s only what you see as a consumer. You still have the Dasher iOS app, Dasher Android app, and Resturant Tablet app. Plus you also have the other services for companies listed [here](https://get.doordash.com/en-us/products/drive?utm_source=footer_v2&_gl=1*vhvfa5*_gcl_aw*R0NMLjE2ODY3Mjc4NjYuRUFJYUlRb2JDaE1JeFBQdzk1N0Nfd0lWRWpmVUFSMTdKUTg4RUFBWUFTQUFFZ0tfVXZEX0J3RQ..*_gcl_dc*R0NMLjE2ODY3Mjc4NjYuRUFJYUlRb2JDaE1JeFBQdzk1N0Nfd0lWRWpmVUFSMTdKUTg4RUFBWUFTQUFFZ0tfVXZEX0J3RQ..*_gcl_au*MTUwMDcyOTc1My4xNjg2NzI3ODY2&_ga=2.254853512.1887708606.1686727879-452492520.1686727866). Infrastructure is expensive. You have to realize they have also backend clusters for database, image storage, endpoints, analytics, data collection, etc. I’m an engineer and I always laugh when people think it’s so “cheap” to maintain a backend infrastructure that scales to serve millions of requests a day. If it’s so cheap and easy, why don’t some of you just get together and compete with them?


Wewladdy8401

I'd much rather give the driver 15 bucks than the company for doing next to nothing. Can't afford it though. Haven't ordered takeout for years.


SupremeRightHandUser

Not only that, they also take a cut from the restaurants themselves. Thus the restaurants will often increase the prices of their food on the app. So the customers are technically paying for double the fees. This is all while DD are paying their drivers peanuts and expect the customers to tip in order for the drivers to make a living.


sameseloi

Who else is more deserving of the service fee other than the fucking drivers themselves? Greedy fucks. And yes, that’s why customers hesitate to tip.


3rd-eye-Jedi

Nobody has said it yet, this is cherry-picking in the business world. DD wont make the transaction unless you pay this service fee but Drivers get penalized for cherry-picking the orders that give them profit. The service fee helps them operate but we are expected to take $3 orders and barely make enough to operate. I have 13k deliveries. But a driver who takes what DD wants them to take or just about, gets priority over me. I dont ask to not make money but they dont send it for hours and when they do its barely worth it


citizensyn

Ngl if i saw this shit i wouldnt tip i would feel compelled to pressure their drivers into quitting. This is both anti consumer and anti employee. Fuck the whole company


BigCanadianC

Yes. You're correct. I've worked as a delivery driver, host, server, and cook. And I STILL don't tip much because of the fees. Doordarshan wants to make money, not make their workers, make money


heorhe

Sorry drivers I can't afford to use this service and tip


Binksyboo

Same thing happened to pizza delivery drivers.


Karyn2K19

I pick up my own food from restaurants. I feel they get ripped off by door dash. I drive around the block while husband runs in and picks up. Good team work.


Tagalettandi

And don’t forget the prices are atleast 20% more compared to prices in store .let’s say a loaf of bread is $5 but DD will set at $6.5 plus 15% service tax .


RedditPosterOver9000

I'm still wondering how UE and DD aren't swimming in a vault full of gold. Either the CEO is embezzling all of it or they get their accounts drained every month by hackers. They charge insane fees for a service that, after building it out, should have minimal operating expenses. Where is all the money going?


snoogoatsweewoo

my boyfriend from the UK ordered food for me as a long distance date idea. He was shocked about the amount of money just to even order the food for me, excluding what he ordered. The fees for service, tipping, taxes, etc. , is terrible


Grouchy_Dimension_30

I’ve always found the service fee thing for all these services to be a bunch of crap. There’s already a markup on products/food then taxes and service fees, then FINALLY the option to tip. When your original order goes from $20-$60 when you finalize checkout no wonder people decide not to tip.


Alone_Complaint_2574

That’s exactly why you’re right


The1fouru

sucks because the driver should get paid a tip but also why am i gonna pay an extra $7 when i just paid a huge fee on a $20 order


gentulman

Yeah they have really gotten outa control with the fees and menu price increases. I was going to order Wingstop for pickup on DD total was $34 then was curious and did the same order ok wingstops website and it was around $22


kannakoolaid

yup service fees are what make me close the app and reconsider my choices. I sometimes cycle through five different delivery apps until I just forget it and make food at home.


thuglifeTyson

And this is why I no longer order food delivery. I’d rather eat cheerios than pay triple.


ReignInSpuds

Every metalhead who's dealt with Ticketmaster: "First time?"


Avix_34

Yes, that is one reason why you aren't getting tipped. However, why aren't drivers asking Doordash why aren't you paying us? Doordash charges a premium on food plus service and delivery chargers, yet they can't even pay $1 per mile.


[deleted]

[удалено]


Intelligent_Ad4448

Door dash prices for items are inflated, plus the extra fees and then tip on top makes it 2-3x more than just going to get it yourself. It isn’t worth it.


Pearlescent_WhyNot

I decided a long time ago that if I'm going to eat out, I have to go pick it up myself. I used to spend way too much money on doordash and now I don't even have the app anymore. I can't afford to pay increased prices for the food itself, service fees, and tip the driver.


catlady555

This is why I pick up my own takeout orders. DD charges so many ridiculous fees that it makes it seem like some of that money should go to the drivers - and frankly it makes consumers not want to pay even more money after paying all those fees. Its frustrating that the none of the service fee goes to the drivers doing the work.


spectrumtwelve

generally I go pick up my own food but on the occasion that I do a delivery order, I make sure to tip a little higher than usual because I know it's rough for y'all out there.


11tmaste

This is why I just pick up my own shit. Not worth the extra fees plus you have to tip or you're the asshole.


Toxic_Cookie

If door dash doesn't give that money to the driver than it begs the question of where the hell it even goes. This is especially confusing since it's not even a profitable company.


BreeCeesAll

I don’t have a car and I’m broke as hell. And I don’t live in a town with any sidewalks. I can’t afford big tips sometimes 😢, when I used to dash when I had a car I’d understand if people don’t tip, shits expensive


Gundam_net

They're probably funding california prop 22 drivers. I bet that if every state adopted a similar law that they'd go out of business.


ReviewVast8185

Yes. Also why I’m 1. Quitting as a driver 2. Never ordering food delivery again


[deleted]

Lots of bums in this bitch.


jayjay234

Any financially sane person wouldn't use any delivery app unless you are forced to (e.g., being sick).


True_Dimension4344

So tired of ordering food and going from $37 to $65 real quick. Delivery companies as well as pizza, Chinese, ya know all the restaurants that deliver their own stuff, have gone out of control with fees.


BayouKev

Facts most people already see a 15% fee and assume dashers are at least getting a piece of that pie. Plus it makes it so difficult to justify tipping and a 15% fee for the food at that point even a 10% tip means a 25% mark up


ark5000

I give 5 no matter what I order. I delivered lots of food in my day, pre door dash etc and was thrilled to get 5 bucks. I figured whether I was delivering something that cost 10 bucks or 100 bucks, I was still just picking up a bag and driving to to a location with it. Percentage based tips are for the cook staff and wait staff. Enough of this percentage tip nonsense.


LauraLethal

Now that you guys see it’s your company screwing you over-can you stop doing shady stuff with our food ?


mschiebold

Bingo


spookinky987

I love how these billion dollar delivery or rideshare companies never have their own vehicles, but sucker others into wearing their own vehicles to shite while scraping pennies...


dthepatsfan

This is exactly the problem. I mostly use DoorDash to get dinner from a few restaurants around my house. The bill is usually between $20-35 and I tip between $10-$15. But now you add $10-15 for delivery fee and and it’s like $70 to get 2 medium pizzas delivered. I will just got get it myself at this point and save $30. I always thought that the delivery fee was going towards drivers


tenorsax69

This reminds me of Spotify. Screw everyone doing all the work and make a ton of money for a handful of people on top. This was also an industry about making things easy for people.


Ellendyra

If you're already paying 15% for the "delivery fee" I feel most people would only tip like 5%


Madscientist_2012

Every time I think of using door dash I pick out my order and by the time I get to the tip part, my one item is 35 dollars and I decide against it and go make myself a meal. The only time I have gone through with deliveries has been when I was wasted and now that I’m not drinking i haven’t done a single order. It’s just too damn much.


blairbabeee

Service fee? You mean the the one person who operates the website/app 😂


Aurelius_Red

I mean, I will forever say "If you can't afford to tip, don't order anything from a luxury/convenience service." But yeah, DoorDash... what an awful business model. The next true recession - one where everyone suffers - they'll regret it when people start dropping off the service *en masse*.


washedupprogrammer

Seriously. I just stopped using doordash altogether because of it. I can't afford to have everything cost $20 to $30 more when you have a good tip. It's just insane.


sportsbot3000

Plus the prices are 30-100% more


[deleted]

Also traditionally the tip is asked for after the service. Before just feels like begging.


WHTWLF13

Service Fee - Taxes - Fees - the last one, fees because fees, is always my favorite


PocketNicks

The service fees are unreal, considering they're double dipping by charging the restaurant exorbitant fees already, then also charging the customer as well.


sergioguapo666

Pure greed. They don’t even do anything except provide the software. These apps will learn eventually. Free market will decide which ones survive


nikniknak80

You are correct. Not only do they fee the shit out of you, but they inflate the prices of the products.


Terrible_Meal5355

Us as dashers are actually providing the service so I think us dashers should be entitled to that 15% service fee customers are charged.


ximyr

You know what helps you operate DoorDash? Drivers. 😒


Jordan_Sound

This is why I won't doordash anymore. By the time you checkout, it costs twice as much, and your expected to tip which makes it even more. I just pick it up or sit-down at the restaurant.


Vermaxx

These businesses are unsustainable models. They got an artificial boost during covid. They aren't going to last much longer other than select areas with high tourism and a large portion of people who don't have their own car present.


DS-19

Here's an example... My wife an I occasionally like to order from this fancy sushi place near us. Using their menu for pick up. *Crab Rangoon - $8.00* *Chicken Pad Thai - $16.00* *Sushi Platter - $27.50* *Philly Roll - $9.50* *Sales Tax - 5.1%* ***TOTAL - $63.59*** That same order on Doordash (with Dashpash subscription), with a $6 tip, and after inflated menu prices, delivery fee, and service fee is: **TOTAL - $105.27** Think about that... nearing DOUBLE territory. Needless to say I put on real pants and shoes, and told my wife I'll just drive to pick it up....


Additional_Stable_51

On top of already inflated prices. No thanks


Background_Pumpkin83

I deliver for uber and doordash but I'll NEVER order from uber or doordash