ECONOMY & WORK
MONEY 101
NEWS
PERSONAL FINANCE
NET WORTH
About Us Contact Us Privacy Policy Terms of Use DMCA Opt-out of personalized ads
© Copyright 2023 Market Realist. Market Realist is a registered trademark. All Rights Reserved. People may receive compensation for some links to products and services on this website. Offers may be subject to change without notice.
MARKETREALIST.COM / ECONOMY & WORK

DoorDasher notices a trend with customers that indicates the economy is pretty bad

She argued that people don't have enough money to spend on delivery anymore.
UPDATED AUG 26, 2024
Photo illustration of a person making a delivery with DoorDash | Getty Images | Photo Illustration by Emily Dulla
Photo illustration of a person making a delivery with DoorDash | Getty Images | Photo Illustration by Emily Dulla

After the July labor market data pushed stocks lower and triggered recession fears in early August, economists have argued that there is no cause for concern. “We still think this is a very positive investment environment," Eric Freedman, chief investment officer for U.S. Bank Wealth Management said in a report.

However, the report from the ground seems to differ. A food delivery driver recently went viral for sharing a trend among customers that indicates things are pretty bad. Ren (@_ren_rose on TikTok) shared a story to show why she thinks the country is headed toward a recession. 

Screenshots from the video | TikTok | @_ren_rose
Screenshots from the video | TikTok | @_ren_rose

The part-time DoorDash said that most people in her area are on a tight budget and are virtually not spending any money on take-out food. In the video, she says that while working for DoorDash one day, there were no orders coming in. 

She says there would have been one order per hour and that too were low pay orders. She then shares that back in 2020, things were vastly different as there were plenty of high-paying orders. "I lived off DoorDash," she said in the video. 

Screenshots from the video | TikTok | @_ren_rose
Screenshots from the video | TikTok | @_ren_rose

She says that she even tried working with Uber Eats and things were the same. She mentions an article she read about McDonald's also struggling with sales as people are not spending money on anything.

This is indeed true as Reuters reported in April that McDonald's witnessed a dip in sales growth for the fourth straight quarter as low-income consumers refrained from eating out. 

Screenshots from the video | TikTok | @_ren_rose
Screenshots from the video | TikTok | @_ren_rose

Another indicator of people not willing to spend money on food was McDonald's $5 value meal being an instant hit, per NBC. "Like we are going somewhere that I am very afraid of," the creator says at the end. 



 

In the comment section, Ren seemed to have sparked a massive debate. Several viewers agreed with the creator saying they had no money to spend on delivery anymore. "In 2020-2022 I was a DOORDASH GIRLYYYYY. Like I was purchasing not delivering... I couldn't tell you the last time I ordered something, I'm broke now," one user @beeankaaaa wrote. 

Screenshot from the comments | TikTok | @rebekahok
Screenshot from the comments | TikTok | @rebekahok

Others argued that it wasn't the bad economy or dwindling budgets, but the exorbitant charges and fees that make delivery expensive. "My daughter and I can sit down and have a meal with roughly $50 at this restaurant we like. If I doordash from that same restaurant my food alone is around $42... it's insane!'" suggested another viewer, @grtl_molina.

Screenshot from the comments | TikTok | @gabrielacampos227
Screenshot from the comments | TikTok | @gabrielacampos227

Turns out, that both arguments hold value. While several fast-food chains have reported a decline in sales and footfall, the cost of delivery has also soared. According to data from Popmenu  Americans are now spending 30% of their monthly food budgets on restaurants, down from 40%, two years ago.

According to a Vox report, the added fees on delivery apps have increased as states like New York City and Seattle introduced new minimum pay laws for delivery workers. This led to the delivery apps adding "regulatory fees," which makes ordering food ever so expensive. Thus, the creator may be both right and partly wrong. 

For more such videos, vlogs, and entertaining content, follow Ren (@_ren_rose) on TikTok.

MORE ON MARKET REALIST
"Dan's big win was adding the vowel "I" to his letter combo. Congratulations on $40K!" a fan reacted.
43 minutes ago
President Trump said he would ask the Congress to 'codify' the ban and share more details soon.
11 hours ago
The show also led to a surge of interest in several products that translated into rising sales.
11 hours ago
The contestant had the best chance to win the car but her own choices cost her.
13 hours ago
It turns out that a lot of Americans are not interested in or adept at doing hands-on work.
16 hours ago
The player was able to match five of the six numbers, including the Powerball number.
16 hours ago
The HHS Secretary urged Americans to consume healthy food, but their prices are the biggest problem.
17 hours ago
The cookies were sold during December of last year and could lead to fatal instances.
18 hours ago
"I'm not going to lie, that was a tough puzzle. Deceptively tough. Sorry about the loss! No shade to you for that one," a fan reacted.
1 day ago
Other users were also invested in the way the product turned out days later.
1 day ago
The President has a lot of work to do ahead of the Midterms for his party to do well.
1 day ago
President Trump recently captured Nicolas Maduro, sending markets into a frenzy.
1 day ago
When users ask for product recommendations, advertisements will show up as sponsored prompts.
1 day ago
Tyson Foods and Cargill donated $55 million and $32.5 million, respectively, to a settlement fund.
1 day ago
The affordability crisis is forcing millions of citizens to migrate away from the "big cities."
1 day ago
The U.S. government is intervening in private companies. Is this move thought out or beneficial?
1 day ago
“A tremendous amount of money will be spent, and the oil companies will spend it, and they’ll get reimbursed by us,” he hinted.
1 day ago
"Boo, Boo!...BOOTS I was cursed by B and F again today," a fan criticized.
2 days ago
A recently released study showed the figures that were tracked throughout 2024.
2 days ago
“We have a fiscal problem,” Romer said. “If we don’t solve it, that will create problems for everybody, including the Fed.”
2 days ago