points by paulddraper 11 hours ago | 0 comments
77% of the U.S. 3rd party food delivery is DoorDash + Instacart.
(Nearly all of the remaining amount is Uber Eats.)
So if not a monopoly, then at least a duopoly.
As a rule, two-sided marketplaces are very difficult to disrupt.
[–] tomrod 11 hours ago
[–] paulddraper 10 hours ago
> almost only network effect due to
"Only" is a massive amount of lifting in that sentance.
Network effects are among the most durable/effect competitive qualities. And they have that network on both sides.
[–] rektomatic 11 hours ago
There's literally 100s of apps that provide food delivery service. Just because one is doing really good doesn't make it a monopoly.
[–] howunfortunate 11 hours ago
So more like a 0.77opoly then
- Other delivery service
- Other task service
- Go yourself
While they are an effective duopoly, it would be good to also consider them as monopolistic competition versus a true market split out -- there is very little traditional moat, and almost only network effect due to restaurants accepting their services and menu.