In the end, it's pretty simple. How many deliveries does a single person make in an hour, including idle time? Is someone paying enough for that? And does the kitchen have enough spare capacity for that?
This article is about NYC, where food delivery was ubiquitous long before DoorDash. In fact, Seamless in 2010 was a better experience than Doordash is in 2023, when you consider the absurd markup on Doordash.
Doordash struggled to enter the NYC market for a while because it was trying to compete with an established product, yet using a higher price point. It was only with massive amounts of VC funding that they were able to get a foothold.
In limited markets, for specific types of food, and for pretty crappy wages for the delivery people. (And, yes, for mostly pretty low tech approaches.)
is because their business model is unviable and unsustainable
Seamless et al are really just siphoning money out of restaurants’ pockets because you cannot, these days, be the only restaurant who still makes people call over the phone.
The only reason these companies can't turn a profit is because all those microservices, ads and "engagement" don't come for free.