Dive Brief:

• DoorDash added a cash on delivery option to its white label delivery service, allowing customers to pay in cash for eligible first-party orders, the company said Tuesday in an email to Restaurant Dive.
• Couriers using the service, called DoorDash Drive, collect the money upon delivery, including tips, and the order amount is deducted from their weekly wages.
• DoorDash also added a communication system to Drive allowing operators easier ways to track and communicate with drivers and contact customers with updates via text. 

Dive Insight:

DoorDash’s latest updates are particularly focused on pizza restaurants. Twenty percent of pizza orders fulfilled on DoorDash Drive where cash on delivery was enabled were paid for with cash, the company said. 

Merchants previously shared that some customers preferred to pay with cash and some individuals didn’t have an alternative, the company wrote in an email to Restaurant Dive. The addition of cash on delivery allowed more pizza restaurants to fulfill all order types. Customers were also requesting to pay with cash as some didn’t feel comfortable sharing credit card details with operators via phone. 

Cash payments also benefit DoorDash’s drivers, who can get paid instantly. Seventy-five percent of couriers have already opted-in to accept cash orders in the U.S. and nearly 500,000 couriers have completed a cash delivery in the past year. Dashers aren’t required to accept cash payments and must opt-in and opt-out at any time, the company said.

DoorDash is also offering pizza warming bags to drivers, who can purchase their bags via the Dasher Store. Drivers who are verified to use pizza warming bags are prioritized to receive pizza orders, the company said, because they help “increase earnings potential and ratings as a Dasher.” The company is also focusing on delivering pizza within 30 minutes, or less, on average.

DoorDash continues to enhance its products for merchants, most recently tailoring its product dashboard for small restaurants last August to offer more insights and educational resources. It also added merchant benefits in November, allowing operators to access discounted healthcare and mental health benefits and continued career development.