Feb 6, 2018

How delivery apps are gaining on the restaurant business

An Uber Eats delivery employee. Photo: Akio Kon / Bloomberg via Getty Images

Delivery apps may put your favorite restaurant out of business, per The New Yorker's Elizabeth Dunn, writing in the "Annals of Gastronomy."

The big picture: Brick-and-mortar retailers have been clobbered by the rise of e-commerce giants like Amazon. Delivery apps could prompt a similar implosion in the restaurant business.

  • "In 2016, delivery transactions made up about seven per cent of total U.S. restaurant sales. In a research report published last June, analysts at Morgan Stanley predicted that that number could eventually reach forty per cent of all restaurant sales, and an even higher percentage in urban areas and among casual restaurants."
  • "Companies like GrubHub maintain that the revenue they bring restaurants is 'incremental' ... exposing potential new customers who might convert to lucrative in-restaurant patrons."
  • Why it matters: "[A]s consumers use services like Uber Eats and Seamless for a greater share of their meals, delivery orders are beginning to replace some restaurants’ core business instead of complementing it."
  • What's next: At Sweetgreen, 40% of orders are "placed for pickup through a proprietary app, and the company is about to pilot a delivery service."

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Texas oil regulators poised to debate historic production controls

Workers extracting oil from oil wells in the Permian Basin in Midland, Texas. Photo: Benjamin Lowy/Getty Images

Texas oil regulators are likely to hold a hearing in April on whether to take the historic step to curb the state’s oil production amid a global market collapse fueled by the coronavirus.

Driving the news: Ryan Sitton, one of three commissioners of the Texas Railroad Commission, which oversees state oil production, told Axios that a hearing will likely be held soon in response to a renewed request earlier Monday from two oil companies to limit production as one way to stem the steep slide in global oil prices.

America under lockdown

Illustration: Sarah Grillo/Axios

If you thought March felt like the longest month in American history, just wait for April and May, when people will be forced to witness spring from the indoors.

The big picture: 28 states are in or entering lockdown, with Maryland and Virginia joining those ranks today. So is D.C., as its mayor made official this afternoon. Those states include roughly 3/4 of the American people, the N.Y. Times notes.

Ford, GE aim to make 50,000 ventilators in 100 days

A Model A-E ventilator, left, and a simple test lung. The ventilator uses a design that operates on air pressure without the need for electricity, addressing the needs of most COVID-19 patients. Photo: Ford

Ford and GE Healthcare announced plans on Monday to build a simplified ventilator design licensed from a Florida medical technology company, with the goal of producing 50,000 machines by early July, and up to 30,000 a month thereafter, to fight the coronavirus.

Why it matters: The companies are moving in "Trump time" to meet demand for urgently needed ventilators, says White House Defense Production Act Coordinator Peter Navarro. But with deaths expected to peak in two weeks, the machines won't arrive in large numbers in time to help the hardest-hit cities.

Go deeperArrowUpdated 1 hour ago - Health