In an era dominated by digital transactions and third-party delivery apps, the concept of paying for food delivery with cash might seem like a relic of the past. Many assume that handing a physical bill to a delivery driver is an outdated practice. However, despite the overwhelming shift towards e-commerce and contactless payments, cash remains the preferred payment method for a significant portion of consumers. Recognizing this persistent preference and responding to feedback from restaurant partners, DoorDash has introduced “Cash on Delivery,” a new feature enabling restaurants utilizing DoorDash Drive to accept cash payments for orders.
DoorDash Drive, the company’s white-label fulfillment platform, empowers restaurants to offer online ordering and delivery services directly through their own websites and apps, while leveraging DoorDash’s extensive network of delivery drivers. This innovative “Cash on Delivery” option is specifically designed for restaurants using DoorDash Drive, providing them with greater flexibility to cater to a wider customer base. Initial testing of this feature revealed particularly strong adoption among pizza restaurants, with data indicating that approximately 20 percent of pizza orders fulfilled through DoorDash Drive in the United States were paid for using cash.
Donatos, a prominent pizza chain based in Ohio with over 440 locations across the U.S., is one notable brand that has embraced the cash payment option. Ben Smith, director of operations development at Donatos, emphasized the importance of this feature, stating, “Cash On Delivery through DoorDash Drive is one way we’ve maintained this high-quality service our loyal customers expect, as we can grow our business online while still enabling customers to pay with cash should they desire.” This highlights how accepting cash payments can be crucial for maintaining customer satisfaction and loyalty, particularly for businesses with established customer bases accustomed to diverse payment methods.
It is important to note that the “Cash on Delivery” feature is not automatically enabled for all restaurants using DoorDash Drive. Instead, it is offered as an optional feature that restaurants can specifically request. DoorDash acknowledges that while cash payments cater to a segment of the market, the majority of customers still anticipate and prefer the convenience of flexible digital payment methods for online food orders. This strategic approach allows restaurants to tailor their payment options to best suit their specific customer demographics and operational needs.
Delivery drivers, known as Dashers, also experience tangible benefits from the introduction of cash payments. The “Cash on Delivery” system provides Dashers with immediate access to their earnings, as they can collect the order payment and any cash tip directly from the customer upon delivery. The total order amount collected in cash is subsequently deducted from the Dasher’s weekly earnings, streamlining the payment process. Furthermore, Dashers have the autonomy to opt-in or opt-out of cash delivery orders, providing them with control over their preferred order types. Prior to the public launch, DoorDash conducted extensive testing of “Cash on Delivery” for over a year. The results from this testing phase were positive, with 75 percent of Dashers choosing to accept cash orders and nearly 500,000 Dashers completing at least one cash delivery within the preceding year, indicating a strong willingness among drivers to participate in this program.
Pizza restaurants, with their long history of in-house delivery services, have been particularly impacted by the evolving delivery landscape. While pizzerias were pioneers in food delivery long before the emergence of third-party platforms, current economic uncertainties and driver shortages have prompted many to reconsider relying solely on in-house delivery fleets. Even major chains like Domino’s, which traditionally relies on its own drivers, have reported challenges as delivery demand fluctuates in response to economic pressures such as inflation. Pizza Hut has also observed stagnating sales, further underscoring the dynamic nature of the pizza delivery market. In addition to offering cash deliveries, DoorDash is actively focusing on other features tailored to the specific needs of pizza delivery, aiming to replicate and enhance aspects of traditional pizza delivery services. These initiatives include providing “pizza hot bags” to maintain pizza quality during transit and implementing a new communication system that allows restaurant operators to track and communicate with Dashers effectively, while also enabling Dashers to contact customers with order updates via text message. By integrating cash payment options and pizza-centric features, DoorDash is strategically positioning itself to capture a significant share of the food delivery market, catering to both evolving consumer preferences and the enduring appeal of cash transactions.
