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DoorDash (DASH) Introduces Solutions to Attract Customers
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DoorDash (DASH - Free Report) recently unveiled self-serve ad solutions designed to help Consumer Packaged Goods (CPG) manufacturers reach more households across the United States and globally.
The launch will help CPG manufacturers to tap into DoorDash’s 25 million+ active customers across more than 75,000 convenience, grocery and retail stores and drive revenue growth.
The company reports that, on average, 50% of orders generated for its partners from ads on DoorDash platform are from new customers. This will positively impact total orders and marketplace gross order volume on DoorDash and drive top-line growth.
The new self-serve ad products include services like CPG ads manager, third-party platform partnerships with Pacvue and Flywheel, and application programming interface integration services. DoorDash is expanding its self-serve ad solutions beyond the United States to Canada and Australia.
DoorDash Expanding Operations Globally to Aid Top Line
DASH is reeling under the impacts of inflation. Rising input costs due to the raging inflation are creating major headwinds. In the second quarter of 2022, it incurred a loss of 72 cents per share, wider than the Zacks Consensus Estimate of a loss of 39 cents. It reported a loss of 30 cents in the year-ago period.
Rising expenses lowered DoorDash’s ability to maintain profitability in the past quarters. The trend is expected to persist in the coming quarters. DASH’s continued net losses affected its share price.
The stock has slumped 64.4% year to date compared with the Zacks Internet - Services industry’s decline of 32.5%.
Also, DoorDash’s on-demand delivery service is facing extensive competition from Uber Technologies (UBER - Free Report) and Amazon (AMZN - Free Report) in an extremely fragmented market.
Uber’s delivery business is witnessing a boom with rising online order volumes. It is expanding its delivery operations through various acquisitions, such as Postmates. The Postmates buyout is expanding UBER’s base in Los Angeles and the American Southwest. It is also helping the company win a strong market share.
Amazon is one of the world’s largest e-commerce companies with diversified product offerings. Product selection, a superior user experience, bargains and customer feedback helped AMZN build a loyal and growing customer base in the fast-growing e-commerce market. Growth in the e-commerce industry during the pandemic, with consumers increasingly buying things online, proved favorable for AMZN, which bodes well for the long haul.
DASH currently carries a Zacks Rank #3 (Hold). To win a good share in a highly fragmented e-commerce market, DoorDash is consistently investing in acquisitions and expanding its partner base to fortify its footprint. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
The recent acquisition of Wolt will help DoorDash fast-track its product development, grow its international base across 26 countries, and bring a greater focus to its markets outside the United States. The acquisition of hospitality technology company Bbot will likely aid DASH’s platform with its products and technologies. This will offer merchants more solutions for their in-store and online channels, including in-store digital ordering and payments.
DoorDash recently partnered with Big Lots (BIG - Free Report) to provide customers in the United States with on-demand delivery of its bargains, treasures and home essentials.
The company, as part of the partnership, will deliver more than 36,000 products to customers of Big Lots, including home goods, seasonal décor, bedding, snacks and pantry staples, cleaning products, outdoor essentials and pet care supplies via the DoorDash app and website.
Also, DoorDash is looking to extensively expand operations globally to increase market share against competitors. To do so, the company’s decision to expand self-serve ad solutions in Canada and Australia will help win market share against stiff competition.
DoorDash reported that, on average, global small businesses advertising on DoorDash expand sales by 10%. It has generated more than $3 billion in sales for merchants through ads and promotions in the United States. DoorDash is looking to keep benefiting from its ad services business model globally and boost in its top line in the coming quarters.
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DoorDash (DASH) Introduces Solutions to Attract Customers
DoorDash (DASH - Free Report) recently unveiled self-serve ad solutions designed to help Consumer Packaged Goods (CPG) manufacturers reach more households across the United States and globally.
The launch will help CPG manufacturers to tap into DoorDash’s 25 million+ active customers across more than 75,000 convenience, grocery and retail stores and drive revenue growth.
The company reports that, on average, 50% of orders generated for its partners from ads on DoorDash platform are from new customers. This will positively impact total orders and marketplace gross order volume on DoorDash and drive top-line growth.
The new self-serve ad products include services like CPG ads manager, third-party platform partnerships with Pacvue and Flywheel, and application programming interface integration services. DoorDash is expanding its self-serve ad solutions beyond the United States to Canada and Australia.
DoorDash, Inc. Price and Consensus
DoorDash, Inc. price-consensus-chart | DoorDash, Inc. Quote
DoorDash Expanding Operations Globally to Aid Top Line
DASH is reeling under the impacts of inflation. Rising input costs due to the raging inflation are creating major headwinds. In the second quarter of 2022, it incurred a loss of 72 cents per share, wider than the Zacks Consensus Estimate of a loss of 39 cents. It reported a loss of 30 cents in the year-ago period.
Rising expenses lowered DoorDash’s ability to maintain profitability in the past quarters. The trend is expected to persist in the coming quarters. DASH’s continued net losses affected its share price.
The stock has slumped 64.4% year to date compared with the Zacks Internet - Services industry’s decline of 32.5%.
Also, DoorDash’s on-demand delivery service is facing extensive competition from Uber Technologies (UBER - Free Report) and Amazon (AMZN - Free Report) in an extremely fragmented market.
Uber’s delivery business is witnessing a boom with rising online order volumes. It is expanding its delivery operations through various acquisitions, such as Postmates. The Postmates buyout is expanding UBER’s base in Los Angeles and the American Southwest. It is also helping the company win a strong market share.
Amazon is one of the world’s largest e-commerce companies with diversified product offerings. Product selection, a superior user experience, bargains and customer feedback helped AMZN build a loyal and growing customer base in the fast-growing e-commerce market. Growth in the e-commerce industry during the pandemic, with consumers increasingly buying things online, proved favorable for AMZN, which bodes well for the long haul.
DASH currently carries a Zacks Rank #3 (Hold). To win a good share in a highly fragmented e-commerce market, DoorDash is consistently investing in acquisitions and expanding its partner base to fortify its footprint. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
The recent acquisition of Wolt will help DoorDash fast-track its product development, grow its international base across 26 countries, and bring a greater focus to its markets outside the United States. The acquisition of hospitality technology company Bbot will likely aid DASH’s platform with its products and technologies. This will offer merchants more solutions for their in-store and online channels, including in-store digital ordering and payments.
DoorDash recently partnered with Big Lots (BIG - Free Report) to provide customers in the United States with on-demand delivery of its bargains, treasures and home essentials.
The company, as part of the partnership, will deliver more than 36,000 products to customers of Big Lots, including home goods, seasonal décor, bedding, snacks and pantry staples, cleaning products, outdoor essentials and pet care supplies via the DoorDash app and website.
Also, DoorDash is looking to extensively expand operations globally to increase market share against competitors. To do so, the company’s decision to expand self-serve ad solutions in Canada and Australia will help win market share against stiff competition.
DoorDash reported that, on average, global small businesses advertising on DoorDash expand sales by 10%. It has generated more than $3 billion in sales for merchants through ads and promotions in the United States. DoorDash is looking to keep benefiting from its ad services business model globally and boost in its top line in the coming quarters.