Caviar is among America’s top five food ordering services
Square (SQ) runs an online food ordering and delivery business called Caviar. Through the Caviar app, people can order food from more than 3,000 restaurants across the United States and have food delivered to their doorsteps.
According to the latest rankings of on-demand food delivery services, Square’s Caviar is one of America’s top online food ordering and delivery providers, but it’s currently holding on to a tiny share of the market.
WAKE UP WITH BAGELS & STOX, OUR NEW EMAIL THAT ENTERTAINS AND INFORMS YOU BEFORE THE DAY STARTS. SIGN UP HERE!
As of February this year, Caviar was ranked fifth among the food delivery services in the United States with a 2.7% market share in terms of consumer spending.
In comparison, Postmates, which is ranked fourth, has a 12.1% market share. DoorDash tops the list with a 27.6% market share, followed by GrubHub (GRUB) with a 26.7% market share and UberEats with a 25.2% market share.
Uber, whose main business is ride hailing, is gearing up to go public this year. Its rival Lyft (LYFT) went public late last month.
Shift to multiple platforms could be a bright spot for Caviar
GrubHub, which bought Yelp’s (YELP) food delivery business, Eat24, in 2017 and won a contract last year to deliver meal kits for Blue Apron (APRN), had been the clear leader in America’s food delivery market before DoorDash started turning the tables on it in recent months.
Smaller providers such as Caviar could benefit from the trend in which people ordering food online prefer to use multiple services, as KeyBanc analysts wrote in a recent investor note cited by CNBC.