Have you ever thought that in the market we always have better options? And especially when it comes down to food, you surely want the best. No compromising on the taste buds.
Currently, the food delivery industry has taken a big leap. With a few feathery finger taps on the phone screen, there you have it, your favorite food at your doorstep. Brilliant!!
Consequently, to capitalize on this brilliance, numerous food delivery apps have held the digital helm. Among these many, two giants stand out — Doordash and Grubhub. So, we decided to take on the Doordash vs Grubhub comparison deeply.
As a user, we want the best out of the bests, the ultimate hand in the deck.
Although both Grubhub and Doordash are great captains of their ships, they please different crowds. Therefore, in this article, we are going to pick each of these companies, analyze their features and services, compare them fiercely, and show who wins the Grubhub vs Doordash face-off. Let’s order the battle.
The History Of Grubhub & Doordash
What is Grubhub?
Grubhub is an online food and grocery delivery platform that connects users and restaurants together through its app and website.
In 2020, it got acquired by Just Eat Takeaway at $7.1 billion
What is Doordash?
Doordash, on the other hand, is no different, except for a few features. And these differences are what sets them apart in their own ways. We’ll discuss all these differences later in the article. But before that, let’s have a look into their past and their present.
Who Was First Grubhub or DoorDash?
|Headquarters||Chicago, IL||San Francisco, C|
|Operating Countries||United States||United States, Australia, Canada, Germany, New Zealand, Japan|
|Number of Cities||4,000+||7,000+|
|Valuation||$7.1 billion||$72 billion (2022)|
|Market Share||9% (as of 2022)||65% (as of 2022)|
Although we have revealed these companies before you in figures, figures do not reveal everything. Their way of doing business is different. If you look at the Doordash Business Model, you’ll see how it charges differently, its advertisement revenue stream, etc.
It is slightly different from Grubhub Business Model. Have a look into both these business models to understand their inner mechanism, that is how they do what they do. Now, let’s take a look at who wins in Doordash vs Grubhub when weighed on different factors.
Doordash vs Grubhub –How is DoorDash Better than Grubhub?
In a market war, there usually remains no clear winner. And it especially stands true in the case of food on-demand services. When a company starts to stand up and rise, it keeps a target market in mind and frames its policies around it. All in all, each of the top companies ends up becoming a favorite of a different crowd.
For example, take the mobile phone market for example. The market is shared by different players, each with their own strengths and weaknesses. Samsung satisfies certain customers, Xiaomi appeals to others, and Apple has its own fan base. With that in mind, let’s compare Grubhub vs Doordash to see who comes out on top.
Which Services are Offered by Grubhub and Doordash?
Both Grubhub and Doordash deal in food and grocery delivery. However, there are a few differences.
Let’s have a sneak peek into Doordash vs Grubhub in terms of services offered.
|On-demand food delivery to all the diners craving in the cities they operate.||Food delivery from the partner restaurants.|
|Restaurant discovery services to allow diners find new and trending eating places.||Restaurant discovery feature to help you find new restaurants to try.|
|Grocery delivery by showing convenience stores nearby.||DashMart – a platform where you can order groceries and other essential items.|
|Alcohol delivery in specific locations.||DoorDash Drive – A service where DoorDash provides its own drivers to deliver food on behalf of restaurants.|
|Grubhub Corporate for businesses to feed their teams and employees with ease.||DoorDash has recently introduced its package pickup service. It allows a user to request a Dasher (their delivery person) to pick up their order and deliver it nearby.|
Grubhub and Doordash, both stand tall at around the same height except for the DoorDash package pickup service. But as we dive deeper into how these services are offered, you’ll be able to get your grab.
Grubhub or Doordash: User Experience and Interface
Upon the digital lawns, User Experience matters much. The app, the website, the flow, everything matters. If the app lags or crashes much, everyone suffers – the company, users, and the developers of course. And especially in the field of food delivery, when your taste buds are hyper-excited, you don’t want a lag.
Does the Grubhub app provide a convenient platform for ordering food?
Here’s a deep brief:
- Both the website and app greet users with tempting food photographs. Users get a field to enter their delivery address. On the home page, users see a list of restaurants near their
- location. Moreover, there are filtering options and a carousel of cuisines to help users narrow down their choices.
- Clicking on a restaurant name leads to the menu page. There, all the menu items are listed with photos. As you click on a picture, you get the item details as well. Furthermore, you can
- customize the quantity and other required fields before adding the item to the bag.
- Users can review their order details on the right side of the screen.
- One needs to create an account to order, and the website and app keep on prompting for the same.
- Furthermore, various payment options are there to provide ease of payment.
Overall, the design is smooth and functional. What’s more? One gets search suggestions, ratings, cuisine, price, distance, average delivery time, minimum order amount, and other user-relevant stuff. Much easier to order, and much harder to not order again. Overall, both UX and UI are smooth and comforting. Now, what about DoorDash?
Are DoorDash’s UI and UX based on simplicity and convenience?
Let’s have a look at a few key points:
- The ordering process is super smooth and simplified. For example, you see restaurants and dishes, you add them to your cart, and you get your food.
- Many delivery apps offer poor restaurant listings. This is not the case with DoorDash. It presents restaurant listings in a visually appealing and organized manner. You browse through
- various cuisines, explore restaurant options, access important details such as ratings, reviews, and estimated delivery times, and make your choice accordingly.
- You may also extensively customize your orders according to your preferences.
- To keep a check on your orders, real-time order tracking is there.
- No issues with payment also as DoorDash integrates multiple payment options such as credit/debit cards, Apple Pay, Google Pay, etc.
- You’ll easily find ratings and reviews from other users to get some help in making the right choice.
So, Grubhub or Doordash? Who hails in Doordash vs Grubhub in terms of app design and experience? To be true, both Grubhub and Doordash will be winners here. This leads us to our next comparison point.
Is Doordash Cheaper than Grubhub?
As a consumer, we want a platform that makes us feel rich, where food and groceries are made available at a lesser rate. So, which food delivery app is cheaper? We’ll reveal the relevant pricing for both eaters and restaurants. Let’s get into Grubhub vs DoorDash pricing faceoff.
Many studies and analysis got done for the cheapest food & grocery delivery apps in the US. These analyses found out that different companies please different people at different price levels.
Here’s a simple breakdown.
Orders Below $25
If you usually order food for an amount falling anywhere below $25, here is what the best option will be. So, in the analysis, different types of food were ordered. For example, ordering coffee was cheaper than ordering Thai food. So, where Thai was cheaper on GubHub, Coffee pleased the DoorDash users. Overall, it is a tie in DoorDash vs Grubhub for orders below $25 as the fight is for a dollar or two. But as the price increases, so does the difference.
Orders from $25 to $50
As the order value increases and ranges between $25 and $50, the faceoff takes a shift. The orders were made for around 4 different items. These were Coffee, Chipotle, Thai, and Ethiopian. And Doordash won this mid-price clash. The difference ranged anywhere from $5 to $10.
Orders from $50 to $75
In the case of local coffee chains, no considerable price difference was observed. However, Thai, Ethiopian, and other cuisine cleared the fog. As the price started to increase, Grubhub started capturing the flag. It won a clean war by a difference of anywhere around $10.
Order over $75
Ordering food for value leaping over $75 favored GrubHub clearly. The higher the cart value went, the more the savings increased in the case of GrubHub’s cart. Eventually, in an order of around $300 to $400, Grubhub saved around $20. Brilliant right?
Is Grubhub more profitable than DoorDash?
The Grubhub and Doordash pricing difference usually occurs due to their delivery fee and service fee. However, one may take their membership plans in which orders are delivered at zero delivery fee. In the case of DoorDash, it is called DoorDash Pass. This pass costs $9.99 for 1 month to $96 annually. Furthermore, there is a 50% flat discount for students.
You May Also Like: How Doordash Works?
Grubhub vs Doordash Pay For Drivers
Alright, we saw who pleases their customers better, but what about drivers? Are drivers happy with these companies when it comes to their pay rate?
Let’s get into Grubhub vs DoorDash pay faceoff.
Although both Doordash and Grubhub have a similar way of paying, their final pay differs much.
Let’s first talk about their tips. No matter whether Doordash or Grubhub, both these companies give 100% of the tip received to their drivers. But drivers cannot depend on tips alone. They need assured pay. So, how well do these companies pay?
In August 2022, DoorDash introduced the Time Earnings Mode in select markets. This optional feature provides drivers with a guaranteed hourly amount instead of payment per order. It’s important to note that this mode only accounts for active drive time, starting from when an order is accepted until it is dropped off. Furthermore, it operates on a pay model that includes base pay of $2 to $10 per order.
How Doordash Pay Work?
Base Pay + Promotions + Tips = Total Earnings
Grubhub, on the other hand, pays drivers per order rather than on an hourly basis. Their pay structure is a bit more intricate. Previously, Grubhub drivers were paid approximately $0.22 per mile and $0.13 per minute. However, they have recently transitioned to a more complex pay model.
How Grubhub Pay Work?
Delivery Pay + Grubhub Contribution + Tips + Special Offers = Total Pay
So, who wins when it comes to Grubhub vs Doordash Pay?
When compared, Doordash drivers were making more money on a monthly basis. This was due to the fact that Doordash was providing more work to their dashers.
Expand Your Knowledge on Top Food Delivery Apps : Ubereats vs Doordash
Analyzing Reach: Doordash’s Victory Over Grubhub
Alright, we now know which app to open in terms of pricing. But who has better reach? Door Dash or Grub Hub? After all, we rarely would care about a company if it would not be serving in our city. What’s the use?
At present, in 2023, Doordash takes the trophy with grace. It serves in 6 countries, and more than 7,000 cities, with 450,000 restaurants and 6 million delivery dashers globally.
It also keeps its Dashers happy. There seems to be no competition here. Although the company stepped late in the market, it has taken a quick sprint toward the finishing line.
On the other hand, Grubhub serves in the US alone. It covers around 4,000 US cities. Earlier, Grubhub depended upon restaurants to have their own delivery persons. It only provided a platform to gain more customers. However, recently, it has started providing its own delivery persons to restaurants for a nominal fee.
To sum up, Doordash clearly wins the Doordash vs Grubhub faceoff in terms of reach.
Grubhub or Doordash: What Restaurant Owners Will Get The Benefits?
There is no point in holding on to a fishing rod that has no bait on it. To provide better value to eaters, food delivery companies must make an effort to attract more and more restaurants. So, how much does a restaurant owner pay to DoorDash? Is it Door Dash or Grubhub in terms of partner benefits?
Here is What Doordash Offers:
- It offers discounted access to Sesame for healthcare and mental health services to its partners. As a result, they can provide their employees with virtual and in-person healthcare support. Great temptation.
- Furthermore, restaurant partners’ employees can have access to Breathwork at an 85% discount. Now, Breathwork helps manage stress and offers improved focus and sleep quality.
- One-month free trial is also there to access their platform and its many features to attract more and more eaters.
- DoorDash’s partners also receive a discount of over 40% on EdApp. This platform enables businesses to train their employees with engaging and effective learning modules.
- Its partners can enjoy four months of free access to 7 shifts, a team scheduling solution.
- Also, partners receive a 15% discount on StateFoodSafety. It is an ANSI-accredited training and certification provider.
Now, What does Grubhub Offer in Return?
- Free welcome merchant kit with marketing materials.
- Leverage technology through free tablets to manage orders.
- A free food photoshoot and expert advice are also there to provide a boost to sales.
- Furthermore, a free 30-day trial to know and test their platform.
Grubhub currently offers 3 plans to restaurants. These are Basic, Plus, and Premium. The higher you go, the better the benefits. For example, with the premium plan, the diners get to pay a lower delivery fee. It means more diners getting attracted, and thus, more sales.
This same goes with Doordash too. It offers 3 plans called Basic, Plus, and Premium. For example, its premium plan provides DashPass and a growth guarantee.
So, when it comes to Doordash vs Grubhub in terms of restaurant partner benefits, we clearly see that Doordash goes up as it offers better reach, plans, and extra benefits to help partners attract and retain more employees.
Delivery Time: Which Company Is Best For Food Delivery?
When we speak about food, our neurons that manage time go on a toss. We want it now, within minutes (seconds if possible). Longer delivery time usually leads to reduced customer satisfaction. And food delivery companies know this well. Thus, these companies try to deliver as quickly as possible. But which company delivers food quickly? Doordash or GrubHub?
- DoorDash — Delivery and service fees hover around $8.99 with an estimated delivery time of 40 minutes. But there are quicker options available also.
- Grubhub — Delivery and service fees hover around $6.99 with an estimated delivery window of 35-45 minutes.
But what if you live in an urban area?
- DoorDash — Service fees ranged from $3 for nearby restaurants to $3.99 for restaurants 25 minutes away, sometimes with no delivery fees. But what about the delivery time? Well, with Doordash, the estimated delivery times vary from 16 minutes for nearby restaurants to 36 minutes for further out restaurants.
- Grubhub — With Grubhub, the service fees ranged from $5.39 to $6.99 for urban delivery. And when it came to the estimated delivery time, it fell between 25-35 minutes for a restaurant 15 minutes away and 35-45 minutes for a restaurant 25 minutes away.
So, Who Wins the Doordash vs Grubhub Delivery Time Clash?
In suburban areas, both DoorDash and Grubhub offer similar estimated delivery times. The only difference is that DoorDash has slightly higher fees. However, in urban areas, DoorDash provides lower service fees and potentially quicker delivery times compared to Grubhub. It must be due to their vast networking and a colossal number of delivery persons called Dashers.
User Reviews and Ratings – Customer Satisfaction
They say that the faces of customers speak more about the taste than the words of a chef. And the same stands still and true when it comes to services offered by companies. You just cannot run away. This is the beauty of the digital world. You suffer from the ill practices of a business, you rate their services on the app stores.
Here is a quick insight into their app standings on the app stores.
|Apple Store||Play Store|
How is DoorDash Better Than Grubhub?
We saw different factors to compare Grubhub and Doordash, to see who is better. Here’s a simple breakdown of those things:
|Factors||Grubhub vs Doordash – Who wins?|
|User Experience and Interface||Tie|
|Pricing and Fees||Grubhub for larger orders, Doordash for Smaller|
|Restaurant Partner Benefits||Doordash|
|User Ratings and Reviews||Doordash|
Doordash vs Grubhub – Latest Standing, Statistics, and Market Trends
If a company is better than the other, its market position must speak and vouch proudly for it. So, where do these companies stand as of 2023?
Let’s start with their market cap.
Considering the fact that GrubHub is nearly two decades old, you might make a flying guess that it must have a greater market cap. However, it is not so. Here is where these companies stand.
|Doordash||$28.23B as of June 2023|
|Grubhub||$7.38 Billion as of June 2023|
The picture is clear: DoorDash has taken a giant leap in a lesser time.
Market Share of Grubhub and Doordash:
According to a report by Statista as of Feb 2023, DoorDash is winning the market share war. And this too with a huge margin. The number indicates a Goliath vs David sort of fight, with the only difference being that all companies hold goodwill here.
Doordash easily dominates the market with a whopping 65% share in the food on demand services industry. It is partly due to its marketing strategies, and partly due to its brilliant services. And just to give you an idea of how quickly it captured, mostly in blitzkrieg fashion, in 2016, Grubhub had a market share of 70%. It held the scepter with pride, which it no more has.
But, how much revenue are these companies generating?
At all these three facets of business-doing, Doordash has leaped well and long.
How these companies walk toward their future would be an interesting watch. Where recently, Grubhub announced to lay off 15% of its staff, Doordash has tossed the news that the pay of its New York dashers could triple from July. Furthermore, it has planned to increase its investment in the OOH advertisement. It also saw an increase of 27% in total orders. All this suggests a continuous growth spree of Doordash.
Currently, Doordash thrives in the market. Its nearest competitor is Uber Eats with a market share of around 25%. Still a long way to cover.
Concluding the Doordash vs Grubhub Confrontation
In the battle of food delivery, two titans have emerged well – Doordash and Grubhub. While both companies offer similar services, they cater to different crowds with their unique features and approaches.
Doordash boasts a larger market share. It has a brilliant reach and a higher valuation, serving customers in 6 countries and over 7,000 cities. On the other hand, Grubhub focuses primarily on the US market.
All in all, the winner between Doordash and Grubhub depends on individual preferences and the specific needs of customers and restaurant partners. But if you go by the market share and user reviews, Doordash has surely written its name on the sky for now. From 5% in 2016, it has come to capture 65% in 2022.
As far as food and food delivery companies are in the world, cherish it. Savor the delectable delights delivered straight to your door, leaving you longing for another delectable bite.
Surely, the food-delivery industry is booming. If you also see a market gap in the food-delivery industry and want to capitalize on the flow, look for a food delivery app development company. Get your app and business running. But before it, understand how the well-footed giants have fared so far in this industry.
1. Does Grubhub or DoorDash make more money?
As of 2023, both Grubhub and Doordash are netting losses. However, Doordash is generating more revenue than Doordash. As per their 2022 financials, Doordash generated 6.5 billion USD while Grubhub generated 2.4 billion USD.
2. Is DoorDash better than Grubhub?
When it comes to pricing, Grubhub is better for larger orders. However, for smaller orders and reach, Doordash surpasses Grubhub. It serves in more than 7,000 cities and has far more delivery persons called Dashers.
3. Do DoorDash and GrubHub pay drivers fairly for deliveries?
Considering the various factors involved such as tip, hourly rate, and work, Doordash drivers reaped more average monthly income than Grubhub drivers. It is due to the fact that Dashers receive more work comparatively.
4. How to build apps like Doordash and Grubhub?
To build an app like Doordash or Grubhub, you must hire a quality food delivery app development company with expertise in UI/UX design and integration of essential features like payment gateways and APIs.
5. How much does it cost to build an app like DoorDash?
The cost of building an app like DoorDash can range hugely depending upon the features and complexity involved. It might take anywhere from $20,000 for a simple app to $90,000 for an advanced one.
6. How much does it cost to clone Grubhub?
The cost estimation to make a Grubhub like app differs in as per the version of the app:- MVP app:- $10,000 to $20,000, Fully Fledged Grubhub like app:- $30,000 to $50,000
Note:- This are the mere estimates connect with our consultants and let them know your requirements. So that they can give a perfect figure.