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
For people with allergies, exposure to some of the allergic ingredients can trigger a wide range of reactions.
1 hour ago
Numbers gathered by economists show that Trump's claims in his WSJ piece are misinformed at best.
2 hours ago
While the ownership rate rebounded after years of decline, millennials still feel cost is a hurdle.
23 hours ago
TrumpRx costs may be as much as 80% less than normal listings, though actual savings may differ.
1 day ago
The Amazon boss laid off a third of The Washington Post employees, including reporters on duty.
1 day ago
Members are now required to scan their membership cards simply to get inside a Costco store.
1 day ago
Natalie's younger daughter Bailey couldn't hold back her tears after her mother won a grand total of $63,990.
1 day ago
It seemed at one point that the contestant might have missed her chance to win big.
1 day ago
The FDA recently slapped a Class-II warning label on the product, which was sold by the thousands.
1 day ago
The city's law dictates that all businesses using such surveillance tech must make it public.
1 day ago
"I mean, if he came in and said, 'I want to raise them' ... he would not have gotten the job," Trump emphasized on Warsh's role.
2 days ago
He also claimed that such billionaires pay their taxes and give their wealth back to the community.
2 days ago
"Best sliced aged white cheddar in the market that’s farmer-owned and uses zero hormones, zero RBSt, and zero GMO in dairy," a user wrote.
2 days ago
Griffin expressed unease over alleged favoritism, saying that CEOs find it repulsive that the government interacts with corporate America.
2 days ago
"Daniel solved the "bear hug" and continued hugging people, even hugging a car! He was a spectacular sight today," a fan reacted.
2 days ago
While the official website says contributions could grow over $1 million, the details are unclear.
3 days ago
Fans of the show loved what Jennings had discovered and made their feelings known.
3 days ago
The contestant took the advice of her man, who was in the studio audience.
3 days ago
Under this scheme, home buyers will have three years to pay the down payment.
3 days ago
The labeling error meant that the bottles did not show a lot number and expiration date.
3 days ago