DoorDash, a leading food delivery service, has revolutionized the way we dine. From its humble beginnings to its current status as a multi-billion dollar company, DoorDash’s journey is a testament to the power of innovation and entrepreneurship. This article delves into the background of DoorDash, its founders, revenue, and more, providing a comprehensive overview of this successful startup.

Background of DoorDash

DoorDash was founded in 2013 in Palo Alto, California. The idea was born out of a simple observation: while many restaurants offered take-out, few had the resources to offer delivery. Recognizing a gap in the market, the founders set out to create a platform that would connect customers, restaurants, and delivery drivers, thereby making food delivery accessible to a wider audience.

The Founders

DoorDash was co-founded by four Stanford students: Tony Xu, Stanley Tang, Andy Fang, and Evan Moore. Tony Xu, who serves as the CEO, was born in China and moved to the U.S. at a young age. He studied at UC Berkeley and Stanford, and prior to DoorDash, he worked at Square, a financial services company. Stanley Tang and Andy Fang, both born in the U.S., studied computer science at Stanford. Tang is the Chief Product Officer, while Fang serves as the Chief Technology Officer. Evan Moore, a former Facebook employee, left the company in 2014.

Revenue and Growth

DoorDash’s revenue has seen exponential growth since its inception. In 2020, the company reported a revenue of $2.9 billion, up from $885 million in 2019. This surge in revenue can be attributed to the increased demand for food delivery services during the COVID-19 pandemic. As of 2021, DoorDash holds a 50% share in the U.S. food delivery market, surpassing competitors like Uber Eats and Grubhub.

Business Model

DoorDash operates on a commission-based business model. It charges restaurants a percentage of each order placed through its platform, typically ranging from 10% to 25%. Additionally, it charges customers a delivery fee, which varies based on the distance and complexity of the delivery. DoorDash also offers a subscription service, DashPass, which provides subscribers with free delivery and reduced service fees for a monthly fee.

Challenges and Controversies

Despite its success, DoorDash has faced its share of challenges and controversies. It has been criticized for its treatment of delivery drivers, known as Dashers, with concerns raised about low pay and lack of benefits. In 2020, DoorDash settled a lawsuit alleging that it misled customers about the use of tips in driver compensation. The company has also faced criticism for its commission fees, which some restaurants argue are too high.

In conclusion, DoorDash’s journey from a small startup to a leading food delivery service is a story of innovation, entrepreneurship, and resilience. Despite facing challenges and controversies, the company has managed to carve out a significant share in the competitive food delivery market. As it continues to expand and evolve, DoorDash is set to redefine the way we think about dining.


Alex likes to write about anything related to technology, marketing and gadgets. He sometimes reviews the latest tech and also writes on other blogs.