DoorDash senses a presence [Ralf Nau/The Image Bank via GettyImages]
Because people aren't obsessed with their cats enough, a new app tells you how your feline is feeling. Just snap a pic of your kitty's face to find out if it's a verified sourpuss.
Stocks ticked up, despite new stats suggesting that econ recovery is starting to slow. The US economy grew a slower-than-expected 6.5% last quarter.
Your ghost burrito has arrived... DoorDash's core biz model is straightforward: the gig app connects you to drivers, who pick up your order from restaurants. Now, America's top food deliverer is putting on its apron: DoorDash opened its second "ghost kitchen" — aka: a delivery-only restaurant. Unlike DoorDash's first ghost kitchen, where it only rents space to restaurants:
Flipping burgers... and business models. Instead of taking a cut of restaurant sales, DoorDash is giving restaurants a cut of its kitchen sales. Like Uber Eats, DoorDash has never made a profit. But this kitchen model could help it keep a larger slice of restaurant sales, and potentially boost its profit margins. If its cooking experiment is successful, DoorDash could keep its kitchen past November.
Restaurants could become more scalable... thanks to "kitchen-as-a-service" options. Opening new restaurants is expensive, time-consuming, and risky. Restaurant owners never know if their second location could be a hit in L.A. — or if it’ll have a "For Lease" sign in two months. Ghost kitchens remove the brick-and-mortar and hiring costs, giving restaurant owners more flexibility to test new markets.
Bezos-ian proportions... Minus the Bezos. Amazon just released its first earnings without Jeff Bezos at the helm. After handing over his empire to new CEO Andy Jassy, Bezos went to space — and Amazon kept being Amazon. The 'Zon just reported its third quarter in a row of $100B+ in sales. Jassy's inheriting a well-oiled money-making machine.
Your quarterly Primer... If there's one thing we've learned from this quarter's Big Tech earnings: online pandemic habits have stuck. In some cases, our scrolly-tappy ways have even ramped up. Amazon's quarterly revenue jumped 27% from last year to $113B — better than its mid-pandemic revenue. A few Prime highlights:
Corona comparisons are rough... Despite the ginormous $113B quarter, Amazon still missed sales expectations — and the stock plunged 7%. The 'Zon also predicted that sales growth will continue slowing in the current quarter. CFO Brian Olsavsky blames tough year-over-year comparisons: in the same quarter last year, Amazon doubled its profit as nearly every biz line benefited from the corona-conomy — from ecomm, to cloud computing, to Prime Video. When you're comparing to that, it's tough to keep growth accelerating.
The Olympics of "meh"... The Olympics opening ceremony had the worst viewership in 33 years, but the sponsor bucks rolled in regardless. The International Olympic Committee (IOC) raked in a record $2B+ in global sponsorships for the Tokyo Games. Meanwhile, Japanese organizers secured $3.3B+ from 60+ local sponsors — more than 3X any previous Games. But since Tokyo banned IRL fans in stadiums, sponsors are taking a hit:
Not-so-blue for blue-chips... Local sponsors had one shot at Olympic marketing glory. Big global sponsors have several. The IOC requires its 15 official partners to commit to multiple Games. In return, they get global ad campaigns and other perks. Wild stat: Coke, Google, P&G, Toyota, and Samsung account for 93% of all Olympic ad spend.
Sometimes, smaller means bigger risks... All sponsors are cramped by Tokyo’s record-low viewership, but local sponsors are hurting the most. Japanese beer legend Asahi paid $135M to serve its brew to stadium fans – now it won’t pour a single lager. Small sponsors may think twice about spending on the 2022 Winter Games slotted for Beijing, which already face boycott calls around China’s human rights record.
Authors of this Snacks own shares of: Amazon, Google, Disney, and Uber