DoorDash SafeChat+ Targets Worker Harassment
Instacart & IGA, ZEV corridors, menu prices rise
There’s no such thing as food delivery, or the gig economy in general, without the workers. That’s why we’re pleased to see a new initiative that aims to make work safer for those unsung heroes. Read on for all the details, plus new grocery news, the feds pushing for more charging, and some pricing updates.
This week’s edition is brought to you by Curbivore — 3/28-29 in DTLA.
Today:
SafeChat+ Uses AI to Combat Worker Harassment
lnstacart Scores IGA Partnership
Chart Time | New Charging Corridors
Cava Bucks Restaurant Rate Raises
LABOR | DoorDash Unveils Anti-Harassment Tools
DoorDash is launching SafeChat+, a new tool meant to combat worker harassment and improve safety on its platform. SafeChat+ uses AI (ooh, ahh) to review in-app convos between Dashers and customers, scanning for abusive language and threats. If it detects harassment, Dashers will be given the option to cancel the order without dinging their ratings. Depending on how far into the task the Dasher is, they may still get to keep some of the estimated pay as well.
The Big Picture: Worker and platform safety is a critical issue for all the major 3PDs, TNCs and gig platforms; sadly it’s one that’s often overlooked until an issue gets out of hand. That’s why we’re particularly excited about our 3 P.M. panel at Curbivore: “The Right Way to Run It: Keeping Drivers and Their Vehicles Safe and Sound.” Hear from Chad Dennis, Manager, Global Safety Product Strategy & Operations at DoorDash; Ed Walker, Vice President Shared Economy & Mobility at Hub; Brendan Bellefeuille Senior Sales Director at Cambridge Mobile Telematics. James Pascoe-Price Senior Account Executive at Samdesk and moderator Suhauna Hussain, Reporter at the Los Angeles Times, on this critical topic.
Explore Curbivore’s Full 2024 Program
Curbivore 2024 is just a bit over two weeks away! Explore the full 2024 agenda — inspiring speeches, informative panels, hands-on workshops, powerful networking and waaaay too much award-winning, complimentary street food!
3PD | Instacart & IGA Form National Partnership
IGA, the Independent Grocers Alliance, just named Instacart as a Red Oval Partner. That makes it easier for the 3PD to work with IGA’s 2,000+ affiliated markets across the country. IGA members, many of which are local or regional grocers without big tech departments, can in turn more easily tap into Instacart tools like Storefront, Caper Carts, Scan & Pay, Carrot Tags (shelf labels,) FoodStorm (foodservice management,) Out of Stock Insights, Eversight and Fulfillment as a Service. Those tie-ins push the grocers deeper into IC’s ecosystem, as it races to stay a step ahead of DD and UE.
The Big Picture: While Instacart goes deep down the tech-integration route, DoorDash continues to fight back by strengthening its SNAP offerings. DD is adding SNAP/EBT support for ACME Markets, Food City, Hy-Vee, Jewel-Osco, Kings Food Markets, Pavilions, Randalls, Shaw’s, Sprouts Farmers Market, Star Market, Stater Bros. Markets, Tom Thumb, and Vons markets, meaning there are ow over 6,000 locations on the platform that accept the benefits. DoorDash helpfully notes that over 1.1M consumers have added SNAP/EBT cards to their profiles, while one in six of its SNAP deliveries have been made to food deserts.
CHART TIME | Feds Accelerate Zero-Emission Freight Corridors
Okay technically it’s a map not a chart, but we’re suckers for any graphical display of complex information… Anyway, the Biden-Harris Administration and the Joint Office of Energy and Transportation are accelerating the transition to zero-emission medium and heavy-duty vehicles, by building out a dense network of charging hubs along the country’s busiest logistics routes. Charging anxiety is still a real concern for fleet and vehicle owners, and this should help put those fears to rest. We’re also excited to hear from the Joint Office of Energy and Transportation’s Senior Advisor Deborah Schrimmer, at Curbivore’s 9:55 A.M panel “Celebrate the Streets: Recent Wins on Our Curbs, Roads, Sidewalks and Transit Systems.”
OPERATIONS | Menu Prices Creep Up, but Not at Cava
Fast casual and quick serve restaurant menu prices are on the rise across California, as AB 1228 goes into effect next month, raising the minimum wage at fast food restaurants to $20/hr, up from an industry agnostic $16. With labor costs generally accounting for about 30% of a restaurant’s cost structure, chains like Shake Shack, McDonald’s, Chipotle, and Jack in the Box have all announced price increases to absorb their increased expenses. One company is notably bucking the trend: mediterranean FCR darling Cava said it won’t raise prices in CA this year. After going public last June, the company closed out 2023 with a decent profit given its fast growth, built off a 36% digital revenue mix. With a restaurant-level profit margin of 24.8%, the D.C.-based chain thinks it can afford to eat the higher costs in California.
The Big Picture: With fast food costs on the rise in California, Golden Staters near the border have an interesting opportunity to do “delivery arbitrage,” aka “get your food sent from Nevada.” When we broached this concept six months ago, you could get a Big Mac Meal on the CA side of Lake Tahoe for $13.09, but if it was brought from the Nevada side it was only $11.19. Interestingly, since then, the California burger price is unchanged, while the Nevada option has crept up to $12.29. Of course if you really want to save on Golden State-adjacent fast food, there’s a Burger King in Tijuana within walking distance of the San Diego County border, where a Whopper Combo will set you back only 134 pesos (~$8.04.) But we reckon that by the time your courier’s passed through CBP, those fries will be mighty soggy…
A Few Good Links
Uber unveils March Madness-themed Eats promos, adds new members to Safety Advisory Board. Pizza Hut splits the atom, unveils pizza-bagel mashup. Why Walmart is bullish on drone delivery. Iconic Flushing, Queens food court reopens. Gig workers in India struggle with pay, safety issues. OnTrac launches weekend delivery. Petco names ex-Best Buy exec as Interim CEO, will focus on “360-degree pet ecosystem.” Uber Freight hits $18B under management. CKE to open Carl’s Jr in Florida, isn’t that side of the Mississippi River meant to be Hardee’s territory? Harbinger delivers first electric chassis to Thor. Hyundai releases first sporty EV. Itselectric (see them at Curbivore!) achieves first UL certification for detachable EV charging cable.
P.S. - have you explored Curbivore’s 2024 program yet?
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