Category: Apps

DoorDash is Dominating the U.S. Food Delivery Market


This post is by Carmen Ang from Visual Capitalist


area graph shows doordash capturing an increasingly large share of the u.s. delivery app market

The Briefing

  • DoorDash’s market share of food delivery services in the U.S. has crossed the 50% threshold.
  • This market dominance accelerated at the start of the COVID-19 pandemic.
  • Uber Eats is the next biggest delivery app while Postmates, Grubhub, and other platforms have lost ground.

DoorDash is Dominating the U.S. Food Delivery Market

The food delivery app market in the U.S. is shifting from an oligopoly, where market control was shared amongst four companies, to more of a duopoly setting.

According to McKinsey & Company, two major players—DoorDash and Uber Eats—control close to 80% of the food delivery market as of 2021.

Here’s how the overall food delivery app market has shifted since 2018:

BrandU.S. Market Share (2018)U.S. Market Share (2021)Trend
DoorDash16%53%⤴
Uber Eats26%26%
Postmates10%5%⤵
Grubhub36%12%⤵
Others12%4%⤵

The Most Popular Food Delivery App in the U.S.

The COVID-19 pandemic has helped accelerate DoorDash’s rapid growth and market dominance. The food delivery company increased its market share from under 20% in 2018 to 53% in 2021.

As the world stayed indoors to weather the pandemic, the entire U.S. delivery app market grew 48.3% within the first couple months of 2020. And over the course of the year, DoorDash’s individual share of the market grew by about 12.5 percentage points, helping the company’s annual revenue to balloon from $0.85 billion in 2019 to $2.88 billion in 2020.

While an easy-to-use interface (Read more...)

Just raises $8M in its effort to beat Root at the car insurance game



Just Insure, a pay-per-mile insurance technology company, has raised $8 million in a funding round. 

CrossCut Ventures, ManchesterStory and Western Technology Investments co-led the investment, which brings its total raised to $15.3 million since its January 2019 inception.

Los Angeles-based Just says it uses telematics “to reward safe drivers and reduce insurer bias” by looking at factors such as how, when and where customers drive, rather than factors such as ZIP code or marital status as most traditional insurers do. Or put more simply, it charges customers only for miles driven and its rates vary based on driving behavior. This way, Just says it’s able to offer lower rates for “safer drivers,” and it claims to save its customers around 40% from their “previous auto insurance company.” For now, it’s only available in Arizona, although the company plans to expand to other markets such as Texas, Nevada, Pennsylvania, Ohio and Georgia.

Image Credits: Just Insure

Of course, Just is not the first company to offer personalized auto insurance. There’s Metromile, which launched its personalized pay-per-mile auto insurance in 2012. And there’s also Root Insurance, an Ohio-based car insurance startup that uses smartphone technology to understand individual driver behavior. Although there are similarities between Root and Just, there are also distinct differences, according to founder and CEO Robert Smithson.

Root charges customers a monthly fee, and when policies are renewed, the rate is subject to change based on driving behavior. Just has a similar model. If its drivers (Read more...)

The World’s Most Used Apps, by Downstream Traffic


This post is by Omri Wallach from Visual Capitalist


The World’s Most Used Apps by Downstream Traffic

The World’s Most Used Apps, by Downstream Traffic

Of the millions of apps available around the world, just a small handful of the most used apps dominate global internet traffic.

Everything connected to the internet takes bandwidth to view. When you look at something on your smartphone—whether it’s a new message on Instagram or the next few seconds of a YouTube video—your device is downloading the data in the background.

And the bigger the files, the more bandwidth is utilized. Here’s a breakdown of the most used apps by category, using Sandvine’s global mobile traffic report for 2021 Q1.

Video Drives Global Mobile Internet Traffic

The biggest files use the most data, and video files take the cake.

According to Android Central, streaming video ranges from about 0.7GB per hour of data for a 480p video to 1.5GB per hour for 1080. A 4K stream, the highest resolution currently offered by most providers, uses around 7.2GB per hour.

That’s miles bigger than audio files, where high quality 320kbps music streams use an average of just 0.12GB per hour. Social network messages are usually just a few KB, while the pictures found on them can range from a few hundred KB for a low resolution image to hundreds of MB for high resolution.

Understandably, breaking down mobile downstream traffic by app category shows that video is on top by a long shot:

CategoryDownstream Traffic Share (2021 Q1)
Video Streaming48.9%
Social Networking19.3%
Web13.1%
Messaging6.7%
(Read more...)

Self Financial raises $50M to help the subprime consumer build credit and savings at the same time



Self Financial, a fintech company that aims to help consumers build credit and savings at the same time, announced today it has raised $50 million in Series E funding.

Altos Ventures led the financing, which also included participation from Meritech Capital and Conductive Ventures and brings the Austin-based startup’s total raised to $127 million since its 2015 inception.

The company, as many fintechs these days, aims to make building credit and savings more accessible, regardless of a person’s financial history. It requires no hard credit check to get started. 

“We’ve been focused on delivering high-quality, low-cost products that help with mainstream credit access,” said Self founder and CEO James Garvey.

Today, Self Financial has 200 employees, up from about 80 at the beginning of this year. The startup, which was initially founded in California but relocated to Austin after participating in the Techstars program in the city, plans to do more hiring with its new capital.

Garvey declined to reveal hard revenue figures, saying only that Self is going to do “nine figures” of revenue this year, about 2x compared to 2020. Self’s active customer base has more than doubled in the past 12 months to about 1 million today. Over time, it has served more than 2 million customers.

The fintech’s flagship product, he said, is basically secured installment loans, or small-dollar loans with a deposit account that has a CD (certificate of deposit) connected to it.

(Read more...)

Concreit closes on $6M to allow more people to invest in the global private real estate market



Concreit, a company that wants to open real estate investing to a broader group of people, announced today that it has closed $6 million in a seed funding round led by Matrix Partners. 

Hyphen Capital also participated in the round, in addition to individual investors such as Betterment founder and CEO Jon Stein; Andy Liu, partner at Unlock Venture Partners; and investor and advisor Ben Elowitz. Concreit raised the capital at a $22.5 million post-money valuation.

The Seattle-based startup also today launched its app, which it claims allows “anyone” to invest in the global private real estate market for as little as $1. 

It’s a lofty claim. But first let’s start with some background.

Concreit is not the first time that co-founders Sean Hsieh and Jordan Levy have worked together. The pair previously founded and bootstrapped VoIP communications platform Flowroute before selling it to West Corp. in 2018. Upon the sale of that company, Hsieh and Levy set out to build a company that, in their words, “could help everyday people become more financially secure.”

Hsieh, a second-generation immigrant, worked in his family’s restaurant where they shared the dream of achieving financial freedom through real estate. Similarly, Levy says he grew up watching his parents build a small construction business from scratch. He was intrigued by the idea of passive income through single-family rental homes but became disillusioned with the overhead, risk and hassle of managing one’s own single-family rental investments. 

So the duo worked together to design a (Read more...)

SoftBank’s latest proptech bet is leading Pacaso’s $125M Series C



Less than six months after raising $75 million, Pacaso — a real estate platform which aims to help people buy and co-own a second home — announced today that it has raised $125 million at a $1.5 billion valuation.

SoftBank Vision Fund 2 led the Series C funding round for Pacaso, which essentially went from “launch to unicorn” in five months earlier this year and is pronounced like Picasso. New backers Fifth Wall and Gaingels also participated in the financing, along with existing backers Greycroft, Global Founders Capital, Crosscut and 75 & Sunny Ventures. (Sunny Ventures is Pacaso co-founder Spencer Rascoff’s venture firm). With the latest round, Picasso has now raised a total of $215 million in equity funding since its 2020 inception. It also secured $1 billion in debt financing earlier this year.

The fully distributed startup launched its platform in October of last year and already has an annualized revenue run rate of $330 million, according to CEO and co-founder Austin Allison — a feat which quite frankly seems remarkable. The company currently manages nearly $200 million in real estate on its platform, and in the second quarter, its website and mobile app saw a combined 1.8 million visits, up 196% from the first quarter. It’s currently serving owners “in the hundreds.”

Former Zillow executives Allison and Rascoff came up with the concept of Pacaso after leaving Zillow together about two years ago. (Publicly traded Zillow today has a market cap of $24 billion.) 

With a unique co-ownership (Read more...)

Quicken, one of the ‘first fintechs,’ is being sold again



Five and a half years after being acquired by a private equity firm, personal finance software company Quicken is announcing that it is being acquired by another private equity firm.

In April 2016, an affiliate of H.I.G. Capital acquired Quicken from Intuit Inc. for an undisclosed amount. Today, Menlo Park, California-based Quicken is announcing that Aquiline Capital Partners will be acquiring a majority stake in the company — also for an undisclosed amount.

In an exclusive interview with TechCrunch, Quicken CEO Eric Dunn did share some other details about Quicken’s performance since that last transaction, as well as its plans for the future. Dunn has a history with the company, so can speak pretty comfortably about where it’s been, and where it’s going.

While he took over as CEO of Quicken in 2016, he first joined previous parent company Intuit as employee No. 4 in 1986 when Quicken was its only software product. During his tenure at Intuit, he served as the CFO through the 1993 IPO and merger with ChipSoft (now known as TurboTax). While he was CFO, Dunn was also a software developer who worked on almost all of the early versions of Quicken, and was the first VP/general manager of the business.

Since the H.I.G. buy, it appears that Quicken has grown quite a lot. It currently has 2 million active users, which Dunn said is “significantly higher” than what it had at the time of its spinoff from Intuit. The executive declined to reveal hard revenue (Read more...)

Varo Bank raises massive $510M Series E at a $2.5B valuation as it eyes the public markets



Varo Bank, which last year became the first U.S. neobank to be granted a national bank charter, announced this morning it has raised a staggering $510 million in a Series E funding round at a $2.5 billion valuation.

The massive “oversubscribed” financing comes nearly seven months after the fintech startup raised $63 million in a round led by NBA star Russell Westbrook, who also joined the startup as an advisor focused on the direction of Varo Bank’s programs aimed at underserved communities, including communities of color. 

Varo declined to reveal any hard revenue figures but did note that in the 13 months since obtaining its bank charter, the company has doubled its number of opened accounts to four million and tripled its revenue. The latest financing brings the San Francisco-based startup’s total raised to $992.4 million since its 2015 inception, meaning that this round alone effectively amounts to nearly $30 million more than what the company has raised over its lifetime. Varo has previously never disclosed valuation, but it did note that the $2.5 billion valuation figure is up “5x” since May of 2020.

At the time of its last raise, in February, Varo touted 3 million opened accounts. Doing the math we can deduce that the startup has added one million new accounts over the past seven months. At the time of its $241 million Series D last June (that included participation from U2’s Bono), Varo counted nearly 2 million banking and savings accounts.

Fertility tracking app Flo closes $50M Series B



Flo, a fertility focused period-tracking app, has closed a $50 million Series B funding round which it says values the company at $800M — underlining how much value investors are now attaching to women’s health tech.

The 2016-founded startup raised a $1M seed in its first year and has gone on to raise a total of $65M. The latest B funding round is co-led by VNV Global and Target Global.

Flo’s user-base has grown to around 200M globally — a proportion of whom pay it a subscription to access exclusive content, in addition to the core period tracking features.

The app uses machine learning to offer users “curated” cycle tracking and predictions, personalized health insights, and real-time health alerts — based on tracked symptoms, with data fed in by its sizeable user base. So while it started out as a period tracker Flo now touts its app as a proactive, preventative healthcare tool for women —  connecting them to “science-backed content, expert-led courses and accurate cycle predictions”.

But that’s also a measure of increased competition for women-centric utilities like period tracking — with Apple, for example, (finally) adding cycle tracking in the Health app that’s native to iOS back in 2019. So femtech startups like Flo have to do a lot more than provide basic utility to win women these days.

Flo appears to be getting something right with its current content and marketing mix: Over the past 12 months it says its active subscriber base has increased 4x (Read more...)

Notion acquires India’s Automate.io in push to accelerate product expansion



Notion said on Wednesday it has acquired Automate.io, an Indian startup that builds connectivity and integrations with over 200 services, as the workplace productivity startup looks to accelerate its product expansion to become more compelling for tens of millions of individuals and businesses that are increasingly moving to digital collaborative tools.

The San Francisco-headquartered startup, which was last valued at $2 billion in private markets, said the acquisition of the Hyderabad-headquartered Automate will help Notion understand the know-how of — and leverage — the 200 integrations the Indian startup has developed to give users and enterprises alike the ability to bring their most workflows into Notion.

The acquisition, first for Notion, is a “strategic piece to our puzzle,” said Akshay Kothari, chief operating officer of Notion, in an interview with TechCrunch. “It’s a sizable acquisition,” he said, though he did not disclose the terms of the deal.

Acquiring Automate — which had only raised capital once, and that too largely from friends and family, and which like Notion is profitable — is also enabling Notion to set up an engineering center in India, its first outside of the U.S., he said. (He expects to set up more offices in India, where the startup’s product is already popular especially among startup circles, in the future.)

Automate has developed a wide-range of integrations with firms operating in several industries including e-commerce, payments, marketing, social, and productivity. One of the firms it has built a number of integrations for is Notion.