Recent legislation, including California Proposition #22, has increased the cost of using independent contractors to deliver food.  This has resulted in a sharp rise in fees, passed on to users of services offered by the major delivery companies including DoorDash, GrubHub, and Uber Delivery.  In some areas, the cost of delivery exceeds 40 percent of the price of the meal.  Restaurants are also concerned over the inflation represented by delivery services and some establishments have resorted to their own delivery services as with traditional pizza stores.

To save money, consumers are resorting to curbside pickup using apps made available by their favorite restaurants.  Legislators are evaluating the hiring and remuneration policies of delivery services and have expressed concern over the high level of consolidation.  The Federal Trade Commission has been requested to investigate excessive fees and commissions and unfair practices alleged by both restaurants and consumers.

The introduction of COVID vaccine and an anticipated increase in the rate of administration should result in reopening of the economy by late Spring, hopefully allowing increased in-store patronage of restaurants.  If delivery services cannot perform profitably during an extended period of COVID restrictions, their prospects will appear extremely dim with a resumption of restaurant dining and with growing competition from services provided by erstwhile customers.