DoorDash Massachusetts Releases Pandemic-era Restaurant Data Update 04/11/23

DoorDash Massachusetts Releases Pandemic-era Restaurant Data

Recent report spotlights how state brick-and-mortars stayed afloat during key inflection point for the industry

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New data from the online food ordering and food delivery platform DoorDash suggests how some Massachusetts restaurants were able to preserve their businesses during the heart of pandemic-era shutdowns. 

Total independent merchants on the company’s marketplace app in the state grew by 69% between September 2020 and September 2022. During the same period, total sales on the marketplace app from independent merchants across Massachusetts grew by 152%, according to the company. 

The timeline for these broad increases coincides with the period when Massachusetts bars and restaurants were shuttered for dine-in business, a pivotal moment in the local industry. 

For decades, the Massachusetts restaurant industry was defined by its brick-and-mortars. Even today, many of Greater Boston’s latest hubs for development – such as the Seaport – are spurred by the presence of new, trendy food establishments and their physical locations. Still, these proof points affirm the way that the pandemic sparked a rapid adoption of technology by local restaurants in a way never seen before. Instead of focusing most of their attention on in-person orders, local restaurants are increasingly engaged with customers through digital transactions. Previously, the Massachusetts Restaurant Association estimated that over 4,000 restaurants — out of a total of approximately 16,000 in the state — have closed permanently in part due to the pandemic-related shutdowns.

In Greater Boston and beyond, restaurants leveraged technology to maintain revenue streams outside traditional brick-and-mortar locations when in-person dining slowed. While 2022 marked a return to financial health for many local restaurants as the pandemic’s disruption fades, many merchants are continuing to embrace new technological trends, streamlining the dining experience in critical ways. As a result, the state’s restaurant industry has become a compelling case study of how businesses have adapted to the pandemic and adjusted to new customer expectations.

With 60% of US consumers ordering delivery or pick up at least once a week, the popularity of “ghost kitchens,” virtual restaurants that often specialize in one easy to produce dish, is no surprise. Providing new revenue streams for restaurants, ghost kitchen menus are generally promoted through wide-reaching delivery apps like DoorDash. Often situated in shared commissary space, ghost kitchens like the recently launched Partake Collective provide a lower point of entry and are easier to operate than full-service, dine-in restaurants.

Meanwhile, an additional statewide report from DoorDash and Quadrant Strategies highlighted the ways that thousands of people across Massachusetts are utilizing food platforms to earn extra income and reach financial goals while maintaining flexibility. 81% of Massachusetts Dashers reported that dashing helps with unexpected expenses, and 80% say it helps with monthly bills.

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