DoorDash (DASH) 30 Oct 242024 Q3 Earnings call transcript

Good afternoon and good evening. My name is Aaron, and I will be your conference operator for today. At this time, I'd like to welcome everyone to the DoorDash Q3 2024 Earnings Call. [Operator Instructions]

And with that, I would like to turn today's call over to Andy Hargreaves, Andy, you can begin.

Aaron. Thanks, and us everyone, XXXX our for call. earnings thanks afternoon, for joining QX Good to today be and pleased very I'm joined Xu; CFO, CEO, by and Ravi Inukonda. Tony Chair Co-Founder including forward-looking during financial making operating our and allocation profitability, strategies, performance, for environment. the be . We'll broader position, today's call, economic our our statements business, capital approach guidance, expectations

filings, Many Forward-looking including in differ materially to cause actual statements are results and described XX-Ks subject Form are to those our risks of described. XX-Qs. and our uncertainties SEC uncertainties that could those from

You future should forward-looking law. not to disclaim predictions rely by on our any forward-looking events any statements as statements, update We required of except as or performance. obligation

During be earnings website. IR not addition our on measures our the GAAP in measures this release measures. results to discuss considered GAAP measures, may These financial non-GAAP directly to to substitute non-GAAP Information available non-GAAP GAAP which are comparable in our be should non-GAAP be call, most results. regarding found financial to a we including our will and certain financial for a our reconciliation is measures intended

this the Finally, available and will audio is that, With our IR on pass call can back Aaron, we on our the shortly ends. call website after be take replay audio we'll call website. An you, question. our it being of webcasted to first

comes line of the first Nikhil from Okay. Bernstein. you, question Instructions] with [Operator Thank Our Andy. Devnani

on question I ask international. X-part wanted a to

margins kind X of see a cohorts X. you you've by this little past, as mature contribution experienced U.S. and in the in and where the years improvements in forward So illustrated dynamic the go business bit

as around years my a the structure a you and seen of of so in market then little get similar degree -- front cohorts of Now And delivery or well? on these get at out? that some have Or to operating burden question is you've other lower a X international second reasons? fixed now, fixed for bit newer operating margin in and sure the it you your these or is improvement share how different markets hyper reasons is you magnitude talent, and for those arc for for contribution given that been few do to technology not really? countries can your different Is I'm many shake things cost markets some cost easier local, leverage once. but overcome in

Nik, I'll Ravi start it's Tony. free here. and to in feel chime

on your the in think yes. is answer I first short, question,

building that markets that's very we X product progress with built rewind that top the partnered and it to familiar and leading saw we similar in while retention U.S. saw of a we seeing first what the that our company came are looks both the something the at to flywheel because line And drives is we ago when international that the has company in which We frequency. line order efficient growth. And what if years DoorDash, was clock bottom is in us terms when Volt, to were really

well as to that as the continued tandem. in of we gaining so every line Bbot together And partnering in and we share with are market we where quarter play the in see progress, this several to we in. last continue virtually past perform continue bottom single -- years strong see

encouraging. to I start over mic I'll second hand on seeing guess, are question, then I and can and the you it's so that And progression very been Ravi. the

of answer is cost yes. leverage, short, In terms in the fixed

products, use markets subsequent subsequent same or for team. -- I the even add As we intents and we all mean, do purposes,

local hyper to say right businesses You're are services. that these and

expanding terms each new that stack start in a do of whether of audiences. in terms the geography of leverage. you the terms obviously new adding geographies, of that's see in different acquiring of net to tech terms products, or within have the But operating products the do we know-how So in

right? gross faster fact the it if It call, mentioned profit which think has most well points we the me The to third that of be a the continues essentially business perspective, are share a Like this when in case. been couple of quarter the a I from business. When you a I substantially think dynamics mean, that in. are scale-driven has business. than peers, add itself overall about means as recall, let is the right? strong the growth Last virtually very year gained the we've Nick, as you about growing Yes. you international there, markets operate strong. is similar, overall Like performance positive. international we it of

we good find in frequency, and Our we and goal going down to to the if same always That's we're drive order formula using invest. the market. retention opportunities been, has international are double

the pleased gross that continues profit are We to improve.

causing a On cost, has lot of recall if the it the that's markets, early. we order product, Again, mean, we that But we an perspective. frequency scale. with to very still dynamics from international and where are behind fixed the in retention in strength you're -- what's and I the investing we're deal seeing are U.S. you We're saw a similar that cohort

Michael of question from next Our with comes the Moffett Morton line Nathanson.

to maybe a It's grocery great I for Thanks cohort first Tony Wegmans wanted one then to the start question see question. announcement. for for Ravi. and the

the we the closer trends coming times that then have the currently see you grocery on And getting talk extended is, who as of longer The term ever. question maybe cohorts in the are is the for the [indiscernible] grocers we're larger grocers couple if encouraging. that from been the platform make not grocers . ordering years. are investors to of DoorDash? on country people period and seeing these the everybody isn't curious strides on for demographics topic quarters like an last on on market basket being are to been DoorDash coming the see and new your comments who market. cohorts clearly who the thinking unlock you The on of larger Just largest Ravi for X longer ability you trends What for in And baskets share with the have and platform the into get to strong really platform as for some that Could not. about already then of your

of could inclined, there So Is digitally a little college we if again. age are look would every their skewing . love students, moving light maybe home like. going college. you younger what great. would fall to shine on more be Thanks they Anything who out this

what the this ones the for out or that berries, of in grocery. week fruits, Yes, you grocery was top-up the of seeing that that's whether where to this middle I your speaking, where to Tony. most the ago related it's excited cetera. was your experience, we for we point et a frequently, that products, was consume launched grocery, that relatively And your were mean, run or market, often the question the on point first run consumers, Michael, by perish most you about solving product X at the delivering your entry new which items years replenishing we're almost pretty we're the coffees, now. earliest the dairy

onboard was to grocers. also consumers spurred seen made that lot understand both and grocers hadn't and that was easy a something an for what of it before think I these introduction to And that easy very

come take of it build DoorDash had new first, to inventory things progress new right? to tremendous all of excited are We you're from DoorDash when that about also corner problems made solve obviously before we pretty progress stores think we're delivery Wegmans, is catalog the the of -- here. reliability country. We're a largest on and store whether the grocery time, make across other to seeing I first, any the the inventory customer everyone else scratch. the And receiving, we've that's including general, these customers the biggest the in come I grocery delivery which just but that understanding middle this restaurants fees some of we just to customers and into thought the to board, why market, to industry. grocers Now adoption, And outside that's you wanted as mean whether to in is platform. selection, comes of one much to grocery as adding

think a trends, that I groceries in each on they DoorDash, this. to terms see of items customers subsequent of already so we other And lot tend to more ordering And order you're used seeing as visit. get

of So grocery. And as share we monthly as that's from that are spend to and in a consumers cohort. single perspective, when wallet increasing how noticing increasing cohort it frequency with you're on terms the every bills the their both spend well comes

product, of we came which much expected shopping stock we've seen is -- to your for occasions, short, this have has pop-up weekly launching other those run I of market types what translated in bigger nicely seeing including it types the when than into So think now a ups and baskets. we

continue as just our see the in a as we the And leading that customer new retention it's positioning acquisition And to share to well us on grow outpace side, on really also previous there. way then side, continue to will whether others cohorts. outpace

we're I been mean, Mike, give level on with it's cohort up we've Ravi. broadly an just perspective. what you I'll cohorts. take and you're side? seeing pleased cohorts the one Maybe on the from very I'll underlying right,

share driving adding amount product, the -- instructive making older selection, trend from we existing me years good to you're whether is business the old, thing is that cohorts seeing seeing of still still it's look cohorts. you The the categories, about mean, of old in the of as business. increase. X, a operating all the new in that comes like think even we're us. X, retention I tells as engagement improvements majority it the cohort, the wallet to we're it's as on volume new most well that whether And for I That older as for overall of the cohort X at the the are when cohorts

some still consumer see from overall, look in I as the couple the continues markets is selection, of existing different across cohort the net consumers. product right? cohorts, strength add of healthy any ways start with we're not Today, But that well way journey adding is new. to And order. restaurants, as platform. had grocery consumers both the are second to a new we we platform. net the underlying first a this new a to a demographic as only coming to actually to of Like new change. this, strong, We're From We at I'll seeing that That's think be One more very the cases, the mean And is the the are It's we're is when amount consumers grocery, have suburban is a perspective. new I remember, many a cohorts their selection that starting reason to not for perspective, -- still. to new continues from attracting about that

next Our McTernan of question comes the with Needham. line Bernie from

the especially wanted Just to of tonight. the about strategy, in ask from list announcement partnership light

about the for So there that maybe here partner broader well? partnership is with just example, anything driver as know strategy. companies, list talk there but is the streaming component you I the different with also

Yes. I this take Bernie, can Tony. one. it's Maybe

of the we keep in X -- and we have So DoorDash thing. religiously, main we and at believe commerce. that building that local at the DoorDash the the main main follow is thing thing And things enabling is

because well customers that kind of which combination the the of goes to most our program, service useful, used affordability that how you most offered and things, membership get we we all building commerce means most build the XX quality, often, actually perspective partnerships that but which when products, so local And is our it's we we've products, selection, the the also as it's able because not think app. building about Dash often . pass. are get best on towards And largest only the as used

where XX do benefits the Now piece, there us, of we to -- that's believe our that that offer outside partnerships for can are the is others our attractive network members. the

the saw You with which ago with launched in which earlier we to today's terms this couple we and expanded Then MAX, partnership of with Dashpows a first our announcement Chase, months renewed excited few an benefits of this when we're Lyft, really years announcement year. ago a partnership about. which adding subscribers. And happened streaming in saw you way then

a already those of is millions DoorDash many that's are used of And Lyft by writers. customers. writers service

but past are them of Dash DashPas lot are also subscribers. subscribers, Some not of them a

its to kind return, the us programs. that program And it's the engagement of commerce sees program opportunity so as add as think consumer I a platform to well for when to to highest frequency great new lift members. access the membership DashPass continue And it to gets local largest DashPass in comes

will well. And so I think as them for that great be

have the to think and only quite be I of either millions us customer just customers who our the are about for XX mean every you Bbot for products. organic or base a really And or DashPass, of to order if with year, Dash we those own for Pass for again, growth, just on it, it's building the or But members on whether remains of hundreds us is [indiscernible]. DoorDash fraction large. runway

restaurants. still in industry long So of we the we've good the and ways that local consumer's commerce only of a our when much done ecosystem, outside single-digit reasonably fraction look at this got we've job a of go terms and within enabling restaurant in today, a to play smaller just we then perspective, from represent of in own although you fraction the categories that

there's continues be that programs. be improving so that most in ahead main think our they products having I the privilege long use give our -- for customers most a useful which of to we them can will runway members us and as the products So our us to thing the often,

Research. the question line with Khajuria is from next Shweta Our of Wolfe

goal? there it to comes price and then order grocery day that Let grocery cost please it most to near contributors where be to Is its going them in as rates efficiencies. of mentioned please. future to rank the be online do as you the maybe that when in-store prices? terms you growth think in mid- price you've maybe you And the parity term. to as take well Could platform. in want past, midterm? where rate Tony want about Ravi, me either think contribution try Or the the line competitively Ravi, priced same a on you the it's as delivery long you be is impact or to on Is ad parity, the X, platform

the whether benefits you by take as mentioned, That's business. between framework take revenue interplay been I'll broader by improve or driven get we that cash it's the Ravi. any driven Govind Let on our cost it's line, business. CLR, growth commerce mean right? on start in me Shweta, from revenue, been cost being ads, or about drives And I time outpacing if think we rate, the it's it's a the platform. efficiency you the by GOV first the just revenue. giving and one around our

what So X advertising, growth changed was costs. that's as I has into we flow from X our why wouldn't revenue in leverage we Dash the business. growth quarter second has been and outpacing operate something saw third GOV One is rate. the And read which advertising things. the more in specifically, is the

the very by broadly, that I think generated growing being same that. very I a DAS discipline. outpace happy of think is we operating It's continue are leverage on healthy product, expect same We're we the side. amount single We underlying driven we've the of are with ad the in to not on the with A making pretty also on amount terms to when would lot would I manner. business every of in the of more the go-forward improvements of are about quarter. basis, that it a proud growth. GOV revenue But linearly and

the we find when philosophy the up want operating about we think you down if flexibly opportunities P&L. and to good invest, So for invest us to

are take that. happy themselves the line. to present we're advantage of revenue Sometimes going those opportunities in And to pretty

the are trying against problems are one. few we industry grocery price that But a great that It's think are the one good each at about And key premium is in one against not customers competitive than that do the don't customer asked partners Price and And convenience pay . We the here foremost, where parity, the eyes delivery or do which dimension. same fix dimensions. already their we're we to the that what can do right we're retail think dimensions we a exactly first working our affordable just there think a exactly there. making the price, on that We we possible. of customers how what is, with other do having see level more matching about they it's faster they get it's in One on now though, the order. terms sure in-store they to some as get we and they instance delivery prices. think can there own. them, we to instance, that's your of same of we even making can at right? strides Tony. of to I grocery though partners be and But one of of DoorDash, you have continue as consumer, at what do prices On is have in question ordered. to I and offer think have do challenges that a of

those things what that I their combination so on own. of do prices expect, certainly it they And going think X would getting people at we're faster for. than the That's of they what exactly ordered they of kind can

of things shooting combination It which is in for. we're the those

is This Mathivanan. is of line Deepak. next Deepak for Our [indiscernible] Cameron the question from

X Just quick questions.

to provide appreciate price this [indiscernible]. color driving mix were we and or other qualitatively grocery, help saw you core us categories this up this we can trends additional can unpack between First, would bed inflation XX% high And slightly either you AOV quarter. what's product as the that such due level on quarter, any quantitatively? growth or GOV a saw second, Is restaurant I

mean, with growth both performance I'll the on take side. really the of business look, the pleased of mean Deepak, those. I we're I

A I'll various looking business. the look talked continue talk cohorts. and to input bit and I me the about I in cohorts for users, right, going underlying not well. us in little All remain has If all-time thing quarter, outputs an done, third at perspective, high talk continues the strong. be set very about it's Mike, that whether the growing at or is by let users frequency the all-time hit double-digit drivers underlying mean, well, then the as I driven to about is of are Order the answered a a that high. biggest we've up the but an the From an forward quarter. still work affordability. rate. underlying So being the users the quality at just for selection, inputs fact this us the lot I question,

well And from business, restaurant new an very the than as the business of the faster restaurant few about they output been grocery of we've actually that if perspective, quarters. international markets the international lines in. the share growing grocery various Both they're as growth think business, for stable operated the as across gained well have most much has you last as verticals,

And second increase, around to seen I business. Again, shift. grocery the point wouldn't AOB that overall some think your increase major a as we've the of in overall

highest that to the to that are of consumers and is ensure single goal from the for number categories, quarter. we continues more increase Our categories every bringing to more ordering consumers order number

Thank for questions. your you

with is JMP from Andrew the Our next question Boone of Securities. line

about can and and Europe. TAS is that what attractive to highlight acquired profit specific forward there on in in but margin Ravi, guys benefit, outperformance the in to targets the And of the may talk terms you insurance you I going wanted acquisition? then just anything out else the that back there? terms in outperformance quarter. and of the want country I understood gross why step call ask Tony, M&A Wolf be about

on Yes, the take I'll one first salt. gross the

ways Let me this. about think you X give to

for you as output the terms driven the collection of been think about of mean, business The of what performed beginning P&L. efficiencies in specifically, what executed that of seeing in is the think the I we compared -- you're the is Advertising the businesses, the you of a of improvement. driver at checked if plan some really to well [indiscernible] the gross We've business, reinvested have year. More team face that business. you're of in We've has the well. If obviously other a drivers and has really parts we parts seeing margin the ourselves

is dollars That's regulatory are The we I we second we've will And the costs been logistics the that of find, percentage. the efficiency we're to profit I call Andrew, key invest is -- thing the driver. flexibly fact overall is business the operating And But I mean, opportunity. one towards term. to from we another as we wherever reimburse continue we're see efficiency about the and long an that do perspective. thing the down And the goal is a in dollar over is trying to talked not the way that last What go would reduce gross do to is we going remember, underscore out, overall through specific year. that that margin up every maximize the P&L, would business. our back

manically focused and has be goal to going while to going well. in operated, we operate be same Our business to continuing large build That's how economics. we've the the as . philosophy a unit forward been that's on which business the always

Andrew, it's Tony.

regards the international question On second M&A. with to

which asking we portfolio. launch consistent this and in grow new product really our really first and/or VAR help . our our standards starts are to geography candidate with approach, ourselves foremost, high remain TAM Our a question, does and continue and us the

we been opportunity this the we important the partnering to now that Bolt ourselves years mean, in second that at one, And that is that flows. sales has celebrated And that a years, geographies, we actually, we and Three and particular, been share for look the most just in last couldn't of can I talent when The billion to boldeactually have us achieve management do they've the mean, I by billion well, I execute cash last X help do to bandwidth since team way. differentiated with help management candidate earnings rate in ask do just founding, their question in they've a we run. is, is, way they and say lifetime does since long-term single-threaded $X this that and organically. accelerate a don't for on perhaps on month, continue believe perform has the take it's they over and XX a everywhere they've earlier us for team. $XX I operate XX as and in an should of mean, merchants virtually ever in achieved incredible years their continued ever I

And so when I in look piece what that continue an I at the the performance over earned with the playing last then about X privilege market the attractive provide. when we together years, And can TAS, combination they certainly excited to have get in Romania, really expansion.

the James line Our next from is question Mizuho. Lee with of

Tony, maybe give update models And and was maybe you some us Dmart. talk model it between are be you I wondering lastly, And peers working make thinking can comment which like business -- quick which can Europe. Great. understand should comment about So about and still an Maybe business are differences us seems of to and working constraints we if help America about seeing like progress? that the you're some about? able North growth the profitable. of any European is Commerce

And as one of actually mean to retailers we've infrastructure dashboards forward excited X.X for marks can I we're these deploy was always to time we I viewed prove to to the to of over very But certainly was to Sure. the an X, we national because making reasons really service. that Dash can in first be merchants about which a we and ago, inventory. offer how years their warehouses. that merchants, run how we rewind mean that On push clock search knew sure progressed. needed they first, dashboards, help when if the actually in ourselves we then started

X.X the achieved would team And that say marker. I certainly has after years,

available very selection by They've have on inventory a selling the well which high they've and how from exactly stores. execute learning really inventory is and speed. differentiated third-party or on that's done done what's in of terms with reliability prices, it that it selling shelf, at their so And awesome own very in to great and done

think do a also And quite I parts mean of terms to But a would dashboards our where of really, and lot really partnership discussions have on seen own, continued dash just se. end of well. take lot so I retailers. share with its we've that grow, progress per in was

and may started U.S. So in have where here also be infrastructure with are retailers the so as at of those geographies some now we that usually partnering behalf but penetrated as that on we've we've that as first that well providing gain Canada Loblaws, in in well started journeys additional that countries, can as in in are hours business of they closed they they not as in. other

of but potential partnership excited going quite dash individually, as we're that's parts so -- So and I expect both bring that kind about forward. more what the in with retailers merchants and --

the from next Mark the . with fromes net Mahaney Everclear from with come Our ISI. question.

then Mark. the concentration released the markets? -- Pass you about between early is merchant you partnership, you products Dash talk that the on feedback And This and from last members around customers A on Do Lyft new commerce could the one more suburban question any platform. for urban David of have month?

Sure.

platform. part the which On economy become, just really, Commerce the has the DoorDash first regards announcement I question really encapsulates now a that what been mean years I it meaning is for with X Darach this to coming, us parts, our sales empower few second with would has to been bringing the local And right? that say, is to the we do grow become economy, of always Part local incremental has digital businesses. and to by wrap. mission X really

businesses that in customers. of of order physical storefronts [indiscernible] or or rights these become a products some own in so Drive we've to lot are own their order their in other talked powerhouses with now using And digital about and to like products the

have seeing of we part DoorDash -- hundreds of who are thousands so are you mean that. And when now the businesses platform. I of Commerce

that local So the at for marketplace, the commerce perspective, the their you guess, and terms the and excitement. do you from of to with speak best want leading I yourself numbers job And have more native. to I retailer partner as DoorDash, marketplace to more connect building if consumers digitally become of wouldn't why that that in trying the we that's look themselves for merchants products where the think as

And we're seeing. so that's what

to your strength was a -- any customers mean terms group to different be or Otherwise, excited while we and question members. target excluding it's we see of just across in about Chase it wouldn't whether second partnership, think Lyft that trying all respect of of I if MAX DashPass, of With customers. opportunity one our or I group

But for important of to most XX% the how right even think what programs the is you useful membership used building membership again, the what just which That's building start believe important it's a is program. to thing I products, actually by earn often. most the is I understand main get

XX So we're the the we super geography. excited Lyft partnership they'll we the about and other our any partners, for us XX%. that's us . And are in believe as then in about is partnerships, that and help

add to a Like mean And about think don't we commerce leading local DashPass, we grow. subscription it's and to David, I right -- you just to if continue . that, itself, program,

plus had quarter all-time see differentiating that the hit million as we board, everywhere, which -- fact, overall not was which We the are or share In see quarter we've right? high, in number they're record the DashPass XX result, urban gains well. you an the members. of third subscribers, They a across in in suburban. between . strength over

line Instructions] Michael McGovern from question the BofA. Our with of next [Operator comes

live. . Your line is

future looking trends view use that on there's but on sponsored ads? what merchant the of for And that I are a listings, for Is X that strategy? in autonomous for terms potential on vehicles? is you seeing restaurant how may -- you of playing latest some something terms roads your then of the the do been partnership and AVs of topic be for recently, conversion? have obviously, into secondly, that you're in And attention have of demand out the delivery rideshare, consumer case a lot the

can I those. Mike, both take of

excited. the very first we're to autonomy. mean, related I question On

long a space time think who's some now in coming. I as the years. for several been it's working It's in ways, autonomous been someone

been which far unload maybe XX seeing that the quite vehicle delivery a come so where years vehicle, you the quite it's But of maybe you actually several that's have right as to think is it the who to in think to item that tricky. a delivery, working easily developments as load feet say and I it comes when is go reading problem most -- important the can And I'll now for on that you after tell don't about now obvious I from some states. it's passenger -- and different halo. it XXXX. to and out autonomy start. probably autonomous the have just on you've last of been thing for actually back about that or when dating working And we've while actually

reminds it me actually how DoorDash so And got started. a lot of

similar ride when when think started people of a dispatch oh, ago, something algorithms and something -- and it is hailing like be I thought, should you DoorDash might got or lot like that. to -- comes this delivery XX years

if wrong But the always for delivery, you apply same almost dispatch to did you'd decision. hailing were make ride as for algorithm the you

to not you the and example, driver or the If that dispatch closest that in then in autonomous you is available of way food passenger, apply would for fundamental they is do which time. kind ride a the inventory either would I is ride versus differences very are hailing not say a autonomous delivery everyone's ready, to wasted for similar hailing. you delivery you and And what

problem partners hopefully of a approach well working tell But taking build as well what on as as what we're a future, to share pretty maybe -- as some we're you very the we're about to and things in first principles technology from at with it's so excited it make a read different well. you've conversations potential the have we'll then. operations and We're terms in -- more but to of system about we'll And that terms some building things this as work. and of marrying DoorDash in

was adds second business. The just think, question trends just in around, and I that

you're the rates, more business. high continued saying it starts scale. progress is our from its I and you And at see of to pretty continues more fact marketplace grow just I what given think kind that on of that a think that

always by I've said preceded marketplace ads And that preceded a and always business is business. a successful successful

have so or to ads ad see And rates. increasingly our ROA continues on that's business for for improving where and where leading restaurants -- and our what return well see to spend approaching we advertisers we as continue retailers. for consumer organic conversion they're

the high of continuing the seeing the merchants, consumers does rates very at tandem think of a with is in to X locally results these that of ads largest terms grow I that's it at the some what for terms things connecting why business you're in so high to And in combination scale. marketplace of

with [Operator next Instructions] Lee from the of We our question Horowitz Deutsche line Bank. have

advertising. ads sticking moving over and with CPG to Maybe

next stacking multiple Have this volume marketplace about attention the you in given of your that gotten You just advertising really partners grocery any those quarters into so? scale. year, grabbing the been your strong over or think guys bit year is grown to how platform, as much presumably I from indication leaning more growth getting your have budgets a conversations for that last and guess be of partners. they CPG you obviously probably aggressively they have

share. the Yes, combined excited is because but most the to think short fair here. because in on always across a about brand of answer data just to most I multiple think offer outside shots also the answer excitement. retailers sell because I CPG both we you and view only And I been local And we have increasing player, the advertisers certainly across offer what's can to can categories. the by that's item goal being can most I on I restaurants, really question last mean views the and not follow the and yes. win growth get to for restaurants our strength CVG of every their commerce that mean largest

quite side, ad area an flip partners portfolio, our team, emphasis a restaurant well think and still of credit for also of product partners. which maturing as the the our is the deserves team lot building On CPG as for I both our

And competition Great. follow-up on grocery very just Obviously, fierce. it's holistically. maybe one

integration. You vertical lean first-party partners in can given who delivery price, on perhaps have

see most marketplaces can that X a longer that grocery allow period focused marketplaces. time. some verticals the and grocery you obviously other then monetize come DoorDash of you other vertical environment, besides they as have guess of out I sort that the hypercompetitive should as that You key characteristics defensible guys have within where for to on winners this over of in do

allows it's to restaurant kind grow. ago, Volt you with I and its U.S. this at building delivery, I has -- how the the product. that you look restaurant outside look of outside get mean years starts -- to DoorDash the starts the best that built out industry, which and you by it that achieves you how in product It most any And U.S. product. really frequency, competitive at retention whether current is or think I it And a which delivery too. the in the us efficiently mean U.S. building whether order was best or of the position -- the that's highest that started you of testament I is Well, way XX market. if think it the come

it foremost, product think, I execution. first So comes down to and

we delivered think that's to delivery first now grocery you're restaurants. you're you're true locally are new seeing to And mean customer that. just are for, if I getting that they come the also a where seeing that something if consumers I of place outside delivery, grocery

always years market, comes restaurants. seeing half several we're outside delivery that so in of or now are customers first where for deliveries true for restaurants -- shopping over that true it's approaching for it's now, restaurant for it's -- of been us And to been too. us that

with single increase service. side our improve our seeing on selection, our improve cohort improve the pricing, to seeing so improve We're that strength that. we of And we're retention as delivery, continues every quality our and frequency

advantage And years. is and that rates compounding the to the allows you multiple to you allows maniacal think over I higher what build focus grow time over at

that partner And them. The but driving just to quality we Lee, same-store just right, feedback well, the also drive frequency merchant said we a, to And merchant continues as with as consumer that also growth are sales incremental and we see add have side, that, share. merchants perspective, has And side get that where we the right, order the good we're that from for to the the been in as a retention well to the from increase. the results U.S. cohort where, great. growing gaining you fastest in on

Yes.

frequency which I believe also and And think in not meals, helpful category, because these saying that . both we're is helpful, [indiscernible] size also in well about very which say, in on as because get When leading of that we like way you of really most it's often, thing different also goal. it's advertisers, as gets in we terms delivery. think you're is just I for categories. too. just other prepared most with get And restaurant a the retail at delivered player especially the shots what the final customers, or in restaurant is the we're space more the if grocery

the for Colantuoni from John We with final a today line of Jefferies. question have

live. Your is line

me squeezing Thanks in here. for

with incentives. peel driver about and the bit to for talk a really start tailwind a little be nice continues to marketing from back you want EBITDA. I sales onion So and leverage contribution Can

how you on when the supply demand and of at from beyond term near and of sort about the the you And to look investments think dynamics magnitude leverage contribution thinking your ongoing expansion in are experience, margin about and incentives? driver

those just basket question, are to capturing investments need of and still you weekly profit your the How second orders? start large capabilities more long-term And shop more to what grocery? aspirations to that big make important in grocery. driving basket turning to of is And

starts black. that in which ultimately, sales and the drive about us, be sales will with leverage [indiscernible] because I Look, sales your for product marketing. always operational any start and around I'll and of John, we drives John, when point efficiency marketing drives it On mean, in product I think type marketing, business, Yes, retention or

DAS acquisition If you last of the apart, leverage over lot seen that a we've couple break of years. on

is that A of dashers onboard. of drives retention for get to to being marketing improvements driving sales of driven the Dashers we've higher, Dashers It's which all paid -- that that by from product It's ultimately easier and for easier lot is leverage existing a perspective. made.

SPXXXXXXXXX is at optimizing of a good say on the would I Even level. have teams consumer thing done side, second channel The the pretty a job

cost acquisition consumer a well. from leverage as seeing perspective you're So

I of on to to drive about than continue it's expect what there's able consumer will change still [indiscernible] the But whether of to the to opportunity product, which in and leverage overall, think expect and Looking ahead, I improve for marketing. I acquisition when slower last pace us years. there. go couple do slightly leverage mean, I saw sales or to we But drive us ultimatelywill continue be to the acquisition,

logistics. would question is with grocery. baskets need grocery. And large top baskets mean, the really I it don't comes for math that we us and have we actually to lowest cake, the regards that when larger of And second to and just because just work make for all on of that's the cost I delivery on John, to structure cherries the meaning

surprised do that very and is. just large to market I with And it's think to of how smaller us business is as to consumers alike. build And a been things grocers that X the these so high-growth ourselves we've able way introduce actually a actually baskets

week. I resembles for almost the ways, large Europe, in instead basket one happens where of people it buying the week, think several they baskets buy what for in some might smaller

a that's think that be others to. not may afford we I able that can phenomenon

we by habits, couple that of on weekend. baskets, of smaller baskets so week -- get, couple large maybe the after getting anything they their customers these especially larger with a and start buy mirroring buy think we of are where the I will they during a us basket one and times kind

that. are And with seeing that So every subsequent order. single see we we

subsequent sustainable. for it financially be have focus business doesn't us the But to to with every that make see also a We cohort.

John, of just it basket. think that, right, add versus a wouldn't basket as I large to to a small

trying baskets. all for business business, the the we're build For we us, when to build

a your about think We question, consumers the dashes platform. have going you platform. If back because we the have it already have advantage already and to marketing on strategic we on remember, sales

When unit the high. of that economics, flow-through margin that has I contribution look is for over about work the When done the me. P&L, margin year. very the to concern team last think doesn't amount of gross So from us course in phenomenal a at I the a

a leverage sales to dollars. focused marketing on being the we is terms overall the where combination opportunity profit work and as baskets, at are plus able the in the scale gross of have make what's math of of us We smaller as size well

that QX And rest a attending. conclude of ladies DoorDash and Have for great Call. our gentlemen, will XXXX Earnings your day. Thank you