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:
|Brand||U.S. Market Share (2018)||U.S. Market Share (2021)||Trend|
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...)