Do Grubhub Drivers See Your Tip?

Grubhub is discovered in 2004 that is a USA based mobile application that allows users to access food straight at the location where they are. It connects with the city-based food outlets to offer options to consumers from which they can select and order food. It is observed in 2019 that there are 19.9 million current users whose hunger strikes are satisfied with Grubhub.In this article we will see Do Grubhub Drivers see your tip?

Do Grubhub Drivers see your tip?

About Tips for Drivers

Do Grubhub Drivers see your tip?The answer is No. While we place an order, the payments are made in online mode but drivers are unaware of the tips.Besides the actual price to least fees of order, carriage prices and promotional codes are transparent to both user and delivery agent excluding tips.Tips are generally not paid online or along with the food’s payment. It can be offered with cash after the conveyance takes place.Tips are never treated along with the fees of delivery, it wholly depends on the user wish if he wants to pay any tip or not. The delivery agent gets payment by humble payment from Grubhub.

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When tips should be paid?

Do Grubhub Drivers see your tip? If you find your delivery experience with the agent to be a normal one i.e neither too good nor too bad, then 20% should be paid as a tip which should be more than $5. You can resist the bonus if there is unreasonable late delivery made or the agent seems rude to you. 

It is kind to make your delivery dependent on the following factors:-

  • Size of the order- If you have made a huge order online, think of the hardships that agents suffer while carrying your order along with other doors stuff. Make a good tip for them to bring a smile to their face.
  • Weather Conditions- Rainy or Snowy days should be considered tough for timely delivery. Thus, late delivery should be accepted and they must be paid extra as a tip for their work in bad weather.
  • Increased Steps- If you have your residence on top floors without the convenience of lifts and elevators, their hardship should be considered and paid back with bonuses of $1-2.
  • Mixing the bonus- If all the upper factors create difficult attempts for the agent, you should not think twice to make a too of $7 which will motivate them for further good work with dedication.

Consider them your delivery heroes because they serve your cravings with ease. So never underestimate their efforts, make them joyous with your little bonus.

Statistics of Grubhub

  • It offers a $9 billion food supply as per the restaurant survey of 2020.
  • It delivers to 7,45,000 consumers regularly.
  • Currently, it serves 32 million diners.
  • It grants $4 billion tips to its employees who act as delivery agents.
  • It gained revenue of $1.8 billion as per records of 2020 which multiplied year by year.
  • Since its publication in 2013, a huge loss was incurred of $ 155 million in the year 2020.
  • Among its current users, each member opens the app at least once a month.

Revenue Model of Grubhub

Grubhub yields its revenue on the following sources:- 

  • Fees from Delivery- There is a least delivery charge applicable on each order which is separated as commission.
  • Fees from Commission- There is mutual consent between the restaurant and Grubhub to charge a minimal percentage of food ordered from the app for their revenue generation. Grubhub facilitates a grand exposure to the restaurants in return for the commission charged.
  • Charges of Advertisement- To make its surplus income, Grubhub charges advertisement costs from the restaurants to make them highlighted from others and users get suggestions to place an order from that specific place.

SWOT Analysis of Grubhub

The Strengths of Grubhub are stated as follows:-

  • Attractive Branding approach for holding the maximum food delivered all over the US.
  • Smart Networking Chains access leads among the competitors.
  • They teach their employees in the best and most productive way.
  • Ease and Satisfaction to consumers.

The Weaknesses of Grubhub are:-

  • Hiked rates of commission.
  • Only servicing in food delivery stream.
  • The approach of consumers to other options of food delivery.

The most attractive Opportunistic alternatives of Grubhub are:-

  • Expansion over varied products.
  • Growth over different countries.

The frequent Threats for Grubhub are:-

  • Unavailability of delivery executives at peak periods.
  • Beating the competitors with the best services.

Conclusion

All the achievements gained by Grubhub is due to its willingness to grow and expand with various techniques that benefitted customers and restaurants. They recently acquired Eat24 to promote more convenience to satisfy the hunger of residents at their doorstep at reasonable prices. It motivates the learners from its success diaries and fills enthusiastic vibes among its connectors.

Frequently Asked Questions (FAQ’s)

(1) How many people work for Grubhub?

Ans. Approx 65,000 people work as employees for Grubhub.

(2) How many employees are appointed by Grubhub on a full-time basis?

Ans. Over 2750 employees are full time appointed by Grubhub and check on the application/website regularly.

(3) What is Grubhub’s market share in New York?

Ans. As per the records from Recode, 90% of the market share is grabbed by Grubhub in New York.

(4) Which countries hold the maximum market share of Grubhub?

Ans. The maximum market share of Grubhub is held by Chicago, Philadelphia, Boston, Jacksonville and New York.

Do Grubhub Drivers See Your Tip?

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