Gig work platforms post record results
DoorDash and Lyft are the latest companies to show just how much they're benefitting from sustained consumer demand.
Driving the news: Couriers for DoorDash delivered 426 million orders in the second quarter — an all-time high — the company reported on Thursday. Lyft, also on Thursday, reported that ridership rose to its highest point since the pandemic began.
Why it matters: Worries of an economic slowdown have grown as inflation remains elevated and eats away at consumer budgets. But many companies have yet to see a significant reduction in spending.
Details: DoorDash said the frequency with which existing customers ordered last quarter was similar to 2019, and that new costumer sign-ups has not appeared to slow down.
- Separately, Lyft's president, John Zimmer, told WSJ that inflation has not appeared to dent demand as of yet.
The big picture: Both platforms rely on gig workers who have been in short supply since the start of the pandemic.
- Each company has had to carefully adjust its spending to incentivize workers without jeopardizing profits.
Shares of Lyft and DoorDash soared after hours by more than 9% and 15%, respectively.