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Wonder is acquiring Grubhub

(about.grubhub.com)
146 points endtwist | 2 comments | 13 Nov 24 19:12 UTC | HN request time: 0.036s | source
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jaymzcampbell ◴[13 Nov 24 19:21 UTC] No.42129011[source]▶
Mentions the $650mln they'll pay Just Eat for it, neglects the fact Just Eat paid $7.3bln. Quite the write down. And in just 4 years.
replies(3): >>42129050 #>>42129443 #>>42132010 #
popcalc ◴[13 Nov 24 19:24 UTC] No.42129050[source]▶
Where did all the money go?
replies(9): >>42129084 #>>42129086 #>>42129088 #>>42129194 #>>42129289 #>>42129662 #>>42130301 #>>42131997 #>>42132694 #
rpcope1 ◴[13 Nov 24 19:29 UTC] No.42129088[source]▶
Well, when you're in the business of selling a dollar for eighty cents, all the money probably got flushed down the toilet.
replies(3): >>42129098 #>>42129301 #>>42129451 #
darth_avocado ◴[13 Nov 24 19:31 UTC] No.42129098{3}[source]▶
You get $10/month dining credits if you’re an Amex card holder. Imagine the cost of all promotions.
replies(1): >>42129182 #
1. hunter2_ ◴[13 Nov 24 19:43 UTC] No.42129182{4}[source]▶
I always wondered if the promotions were handled with restaurants more like "we (the platform) recoup our promo losses via the regular platform fee you (the restaurant) pay regardless" or more like "if a customer uses a promotion, we (platform and restaurant) split the loss, unrelated to the regular platform fee". Like when I use a platform promo for reasons well beyond trying a new place for the first time, am I screwing the restaurant, the platform, or some combination?
replies(1): >>42129302 #
2. eszed ◴[13 Nov 24 19:56 UTC] No.42129302[source]▶
Mostly the restaurant, at least in the case of these companies' "free delivery" membership deals. Restaurants pay a higher commission on those orders. (Whether that's enough to outweigh the operating deficit built into their current pricing I have no idea, but some fraction is being passed along to their merchant "partners".)