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This Lyft Exec Has a New Job at EzCater
Gatik's AV trucking success story, Domino's + Uber, Prime Day goes international
As the second serving of Prime Day fades into the distance, there’s plenty of other big delivery news to discuss. Gatik shares how it’s found success in the AV trucking space, while Uber and Domino’s have signed an industry-shaking partnership. Oh, and someone from Lyft has an interesting new job… let’s dig in!
Ex-Lyft Exec’s New EzCater Appointment
Gatik’s Middle Mile Success Story
Chart Time | Prime Day’s International Growth
Uber Eats Delivers for Domino’s
ONLINE ORDERING | Lyft Exec Steps up at EzCater
Former Lyft exec Ashwin Raj is taking over as EzCater’s CEO, as company founder Stefania Mallet steps aside after 16 years (though she’ll remain on the company board.) Ashwin served as EVP and head of Lyft’s rideshare service and prior to that was Director of Amazon Pay.
The Big Picture: EzCater got its start as a service enabling businesses to order in-office catering, a biz that was naturally gutted by the pandemic. After suffering an 85% drop in revenue, the company tweaked its offering to work with organizations that use food to lure employees back to the office amidst the hybrid-work environment. Today the company is larger than pre-pandemic, and is planning for an IPO. As it evolves into a true marketplace with 100,000 restaurants and caterers to choose from, the elevation of a Lyft and Amazon insider makes plenty of sense.
AUTONOMY | Gatik’s Middle Mile Success Story
While competitor TuSimple may be in trouble, Mountain View-based Gatik is hitting the gas pedal. The company’s launched a spree of partnerships with marquee brands: Walmart, Loblaw, Pitney Bowes, and more. It’s become particularly competitive in the Dallas-Fort Worth area, as it recently added Kroger to the list of corporations it serves in the Metroplex, doubling its staff size in the process.
The Big Picture: Instead of focusing on heavy duty, class 8 trucks, Gatik’s approach to serving the middle mile is pure medium duty: class 3 to 6 (think box trucks and large pickup frames, not semis.) Company exec Richard Steiner shared some of the company’s insights - including that the efficiencies of autonomous deliveries allow some customers that used to use class eight trucks to now downsize to class sixes. Not only are those more fuel efficient, the lower gross vehicle weight means far less wear and tear to roadways. A big part of the company’s success is pushing for AV-friendly legislation, although that’s currently being tested in California, as lawmakers mull AB 316, which would require safety operators.
CHART TIME | Prime Day’s International Growth
Earlier this week we discussed how Prime Day is no longer that important strategically for Amazon, but that doesn’t mean it doesn’t still generate a gargantuan number of sales. Much of the “holiday’s” growth has been from spreading to new countries — which makes sense as at this point the majority of Americans have a Prime membership — as of 2022 it was sale-abrated in about 24 corners of the globe. The real question is why has Amazon slowed its world-conquering ambitions… don’t Chileans deserve to save 20% on a “4 piece adjustable chicken harness with leash” too? (In case you were wondering, the price would work out to about 9,102.28 Chilean Pesos.)
3PD | Domino’s Scores Uber Eats Deal
Pizza deliveries walked so that all other deliveries could run… or something like that. We’ve discussed how pizza has long been the delivery industry’s innovator, serving up hot pies by phone and web before anyone had the idea for a “delivery app.” While first party ordering has remained incredibly important for the cuisine, players like Papa John’s have recently turned to 3PDs to boost growth. Now, it appears it’s Domino’s turn.
The Big Picture: As the world’s largest pizza brand by revenue, this is a momentous moment for the industry. Domino’s partnering with Uber Eats and Uber Eats alone is as big a boost for Uber as it is for DPZ. Particularly interesting is that Uber won’t be doing any deliveries for Domino’s, it’ll just serve as a new ordering channel, a somewhat surprising move given how Domino’s has recently struggled to keep enough drivers on board. Still, as the chain has seen delivery volume slip, every little thing helps. After piloting in four markets, the partnership will go nationwide by year’s end; interestingly the news release also dangles the possibility of international expansion. As Insider’s Nancy Luna put it, this is truly a “holy moly” moment.
A Few Good Links
EU proposes new trucking weight rules in boost to EVs and hydrogen. Amazon extends Prime Day deals to Fresh, as it looks to rejuvenate struggling grocer. Jim Cramer taunts Cybertruck, Elon punches back (now, now children!) Average trucking costs hit $2 per mile. Meet Autocado - the avocado processing robot. Uber CFO steps down in biggest exec shuffle since IPO. Target names insider Lisa Roath as new CMO. Carl’s Jr breaches the Hardee’s continental divide / DMZ, opens location in Florida. WOWorks unveils seven new virtual brands - who’s hungry for “Soup Works”?!
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