Hacker News new | ask | show | jobs
by vkou 3316 days ago
> What even is a delivery-only restaurant?

90% of pizza joints. Yes, they may have seating area, but it's greasy, uncomfortable, and small. The overwhelming majority of their business is take-out, and delivery.

Every single hole-in-the-wall place. They either deliver, or they get you to pick up your own food.

Food trucks.

Having no front isn't some amazing innovation that will afford you margins that VCs and computer programmers expect.

Yes, optimizing your logistics and supply chain in the restaurant business is a huge problem. It's also a problem that successful restaurants, by necessity, are already really good at solving. You're not going to squeeze much blood out of that rock.

1 comments

This is the reason it will be very difficult for anything like the Sprig concept. Food delivery is insanely competitive and it's a race to the bottom to see who can stay in business on the smallest margin. That's usually the place that operates out of a low-rent storefront and employs family members at below-minimum wage, not a glitzy well-funded commissary with acres of stainless steel and new equipment.
Restaurants and other food-related businesses tend to have an extraordinarily high rate of failure. They're really hard to sustain long-term. So the fact that a food business failed is not remarkable; that's the usual, expected outcome.
And 100k/yr developers. I never understood the excitement around food delivery start-ups. There's nothing like broiling a nice steak with onions. It's like Americans have forgotten how to cook.