Sponsored By

DoorDash ignites debate with warning of bad service for customers who don’t tipDoorDash ignites debate with warning of bad service for customers who don’t tip

DoorDash is piloting a new information popup on its app to motivate restaurant customers to tip by suggesting they will get quicker service

Joanna Fantozzi, Senior Editor

November 3, 2023

3 Min Read
Nation's Restaurant News logo in a gray background | Nation's Restaurant News

Joanna Fantozzi

DoorDash announced Friday that the company is testing out a new popup message for users in its app that will motivate customers to tip their couriers. If a consumer chooses not to add a tip, they might see a popup message that says, “Orders with no tips might take longer to get delivered. Are you sure you want to continue?” or, “Tips help motivate a Dasher to accept your order faster!”

“Our three-sided marketplace only works if it’s working for Dashers, consumers and merchants alike,” DoorDash said in a statement. “When consumers leave a tip, Dashers are more likely to accept their order because of the value they find in it. This drives positive delivery experiences for consumers, which in turn drives satisfied, repeat consumers for merchants. On the flipside, orders without a tip are less appealing to Dashers and thus are more likely to be rejected by them, which may result in a consumer’s food sitting longer at a merchant’s restaurant.”

It’s a reminder that courier services are a luxury add-on, not a baseline experience for restaurant delivery customers, because consumers can always choose to pick up the order themselves. It’s also a reminder that couriers are not direct employees of services like Grubhub and DoorDash, and that much like Uber and Lyft—they work as independent contractors with control over their own schedules and which types of orders to select.

Related:Delivering the Digital Restaurant: How to be found on DoorDash

Although DoorDash clarified that the company is not forcing consumers to leave a tip—and that they can choose not to if they want, it shows the power of this business model to reward or punish consumer behavior. This is backed by data as well: According to research from Paytronix, less than 1% of third-party delivery orders with a tip of $2.50 or more are not picked up, and as tips become larger, that percentage keeps dropping. Contrastingly, orders placed with no tips are left undelivered 2.6% of the time, showing a direct correlation between tipping couriers and quality of service received.

“The money they’re giving us is so low, it doesn’t even cover a quarter of a tank of gas,” one third-party delivery driver told Paytronix. “If somebody wants something, it’s usually something small ... it pays $2.25, maybe $5, so it’s really not worth my time.”

Even so, the new popup message DoorDash is rolling out has been controversial with users, with many stating that tipping should be a bonus, not an assumed cost of getting the food you ordered:

View post on X
View post on X

Other users, however, have argued that food delivery apps, which didn’t exist 15 years ago, are a modern-day luxury, and you should expect to pay more to get this service, and pay your driver a fair amount:

Related:DoorDash, Grubhub, and Uber sue New York City over delivery worker minimum wage

View post on X
View post on X

Following the rollout of these features, DoorDash said that it has seen a “meaningful decrease” in orders placed without gratuity. Given the apparent success DoorDash has had, it would not be surprising if Grubhub and Uber followed suit.

Contact Joanna at [email protected]

About the Author

Joanna Fantozzi

Senior Editor

Joanna Fantozzi is a Senior Editor for Nation’s Restaurant News and Restaurant Hospitality. She has more than seven years of experience writing about the restaurant and hospitality industry. Her editorial coverage ranges from profiles of independent restaurants around the country to breaking news and insights into some of the biggest brands in food and beverage, including Starbucks, Domino’s, and Papa John’s.  

Joanna holds a bachelor’s degree in English literature and creative writing from The College of New Jersey and a master’s degree in arts and culture journalism from the Craig Newmark Graduate School of Journalism at CUNY. Prior to joining Informa’s Restaurants and Food Group in 2018, she was a freelance food, culture, and lifestyle writer, and has previously held editorial positions at Insider (formerly known as Business Insider) and The Daily Meal. Joanna’s work can also be found in The New York Times, Forbes, Vice, The New York Daily News, and Parents Magazine. 

Her areas of expertise include restaurant industry news, restaurant operator solutions and innovations, and political/cultural issues.

Joanna Fantozzi has been a moderator and event facilitator at both Informa’s MUFSO and Restaurants Rise industry events. 

Joanna Fantozzi’s experience:

Senior Editor, Informa Restaurant & Food Group (August 2021-present)

Associate Editor, Informa Restaurant & Food Group (July 2019-August 2021)

Assistant Editor, Informa Restaurant & Food Group (Oct. 2018-July 2019)

Freelance Food & Lifestyle Reporter (Feb. 2018-Oct. 2018)

Food & Lifestyle Reporter, Insider (June 2017-Feb. 2018)

News Editor, The Daily Meal (Jan. 2014- June 2017)

Staff Reporter, Straus News (Jan. 2013-Dec. 2013)

Subscribe Nation's Restaurant News Newsletters
Get the latest breaking news in the industry, analysis, research, recipes, consumer trends, the latest products and more.