This Week in Startups E1134: Deep dive on the food delivery wars with ChowNow CEO Chris Webb | Rising Stars of SaaS 4
Nov 5, 2020
Chris Webb, CEO of ChowNow, provides insights into the competitive food delivery landscape. He discusses the rising challenges restaurants face with commission fees from major delivery platforms. Webb emphasizes the need for transparency and ethical practices, especially for independent restaurants. The conversation covers shifts in consumer behavior during COVID-19 and how restaurants can leverage technology for customer ownership. Additionally, they explore the impact of Cloud Kitchens and gig economy workers on the industry, highlighting strategies for growth in a changing market.
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Food Delivery Competition
- Food delivery is a competitive market, not dominated by a few players.
- Many restaurants handle deliveries independently or use smaller services.
Grubhub's Non-Partnered Restaurant Practices
- Grubhub listed non-partnered restaurants without permission, taking their menus and marking up prices.
- DoorDash and Postmates initially used similar tactics but are moving away from them.
Negative Impacts of Non-Partnered Listings
- Listing non-partnered restaurants misleads customers on prices, menu accuracy, and delivery times.
- This practice can damage the restaurant's reputation and customer relationships.