DoorDash to accelerate expansion
Retailers looking for last-mile solutions should be paying attention to DoorDash, which raised $250 million in a new funding round.
DoorDash announced that it raised $250 million in a growth round co-led by Coatue Management and DST Global. With more than 250 percent year-over-year growth, DoorDash has become the fastest growing last mile logistics platform in the U.S., according to Edison Trends. Recently, DoorDash announced partnerships with Chipotle, IHOP, Red Lobster and White Castle, and signed an exclusive partnership with The Cheesecake Factory.
"DoorDash is gaining market share faster than anyone in the space," said DoorDash Chief Executive Officer and Co-Founder, Tony Xu. "We're thrilled to partner with premier investors to accelerate our vision to empower local economies by being the last mile logistics layer."
Since January, the company's geographic footprint has nearly doubled to more than 1,000 cities across the U.S. and Canada and is on pace to reach 2,000 cities this year.
The company recently announced a national grocery delivery partnership with Walmart, that has now expanded to nearly 300 stores, in 20 states, in the last four months. And earlier this month, DoorDash debuted its DashPass subscription service and Pickup feature.
"Over the past few years we've watched closely as the last mile logistics space has exploded with innovation and competition," said Thomas Laffont, Senior Managing Director at Coatue Management. "DoorDash's rapid growth has moved them from an 'if' company to a 'when' company and we are thrilled to help accelerate their already strong momentum."
Founded in 2013, DoorDash is a San Francisco-based technology company.