DoorDash signs a delivery deal with Facebook Marketplace, as big techies go offline to lure younger customers
Burrito bowls and a bedside table… ETA: 45 minutes. DoorDash (aka America’s biggest food-delivery biz) is adding secondhand goods to its couriers’ loads, thanks to a new partnership with Facebook Marketplace. Refresher: Meta's marketplace has 250M+ monthly users who sell new and used goods through digi-storefronts. Now:
- The deal: DoorDash drivers will deliver Marketplace orders up to 15 miles away within 48 hours. But the items have to fit in drivers’ trunks (RIP, daybed-delivery dreams).
- The route: The deal’s been in talks since last year, with delivery already tested in several US cities. A full rollout date is still TBD.
Doorstep delivery... Facebook's struggled to attract new millennial and Gen Z users as its swipey rival TikTok becomes the social network of choice. Marketplace is one of the few Meta features that pull younger users (and grows revenue) as its ad-sale profit puppy struggles. Meanwhile, DoorDash gets to expand its delivery biz beyond perishables into personals (think: new makeup haul, vintage looks) to drive growth. The strategy’s already working:
- Last quarter: DoorDash delivered a record 426M orders and 30% growth in revenue.
- Last year: Rival Uber's same-day package-delivery service (dubbed: Uber Connect), saw a 200% delivery jump from 2021.
If you can’t get new users online, find ’em IRL… The pandemic changed the delivery landscape with people relying on front-door drop-offs for everything from paper towels to pet transport. With its new partnership, DoorDash secures more non-food-related orders for its drivers, and Meta reaches fresh customers — and gets a slice of the delivery market. The cherry on top: more Marketplace users = more opportunities for Meta to regain some of its lost ad revenue.