DoorDash and Uber Eats is gaining on Grubhub
Note that this is a share-price chart and not representing the sales of the various companies.
On Wednesday, the new parent company of Grubhub, Amsterdam-based Just Eat Takeaway.com, TKWY 0.33% also known as Jet, provided a third-quarter trading update. While several countries showed stellar growth, Grubhub's business looked disappointing, setting a negative tone ahead of third-quarter earnings for DoorDash DASH 0.61% and the Uber Eats unit of Uber Technologies. UBER -2.67% One conclusion is that Grubhub's trends signal an industrywide slowdown for food delivery in the U.S. More likely, Grubhub's pain is its competitors' gain.
Competition looks like a key factor, though. YipitData shows that Uber Eats gained market share in the third quarter at the expense of Grubhub, overtaking the incumbent to become the market leader in New York City. Meanwhile, data from M Science shows that the U.S. market leader, DoorDash, expanded its national share over 6 percentage points year over year in the third quarter, at least in part at the expense of Grubhub.
Competition in the gig economy is a beautiful thing. DoorDash and Uber Eats stepping up means better options for consumers, more opportunities for delivery drivers, and innovation that keeps the whole sector thriving. Grubhub will adapt, and everyone wins in the end.
I personally believe the gig economy thrives on this kind of healthy competition—it pushes platforms to innovate and creates more flexible work opportunities for everyone involved. Uber was expanding delivery aggressively, acquiring Drizly for alcohol delivery and launching 15-minute grocery delivery in Paris, while DoorDash focused on operational excellence and market share gains.
Update: This competitive pressure eventually led to Wonder acquiring Grubhub for just $650 million in 2025—a 91% loss from its 2020 valuation. DoorDash won the execution battle.