The news: Uber’s delivery revenues jumped 30% YoY in Q4 to $4.9 billion, more than expected, as demand for food delivery accelerated in the US and internationally.

Gross bookings increased 26% YoY to $25.4 billion, bringing the annual run rate for Uber’s delivery business past $100 billion.

The big picture: Delivery apps like DoorDash and Uber Eats are becoming embedded in consumers’ daily lives, because of convenience and immediacy.

• Over one-quarter of US adults (28.2%) order food or drinks from an app at least once a week, while 44% do so less frequently, per a December 2024 YouGov survey.
• Nearly 40% of Gen Z and millennials (39.2% and 38.7%, respectively) report weekly use of food delivery apps.
• Consumers are more likely to use Uber Eats and DoorDash when they are too tired to cook or go out, have late-night cravings, or want speedy meal options, per a Morning Consult analysis.

However, there are roadblocks.

Affordability is a challenge. Over half of consumers (55%) cited high delivery fees and surcharges as a reason for not using delivery apps, while 28% blamed minimum order thresholds, according to Morning Consult. Platforms are keen to counter this perception: Grubhub eliminated delivery and service fees on restaurant orders over $50, while Uber Eats and DoorDash are using their membership programs to offer more value to users.

Restaurants are pressured. More than half of restaurant operators (53%) are looking to reduce reliance on third-party delivery platforms, despite their customer acquisition and awareness opportunities, according to a December 2025 report by Nation’s Restaurant News and Restaurant Business. High operating costs are a major factor, with many operators citing fees paid to third-party marketplaces as one of the biggest challenges of growing their delivery businesses. Without a wide merchant selection, platforms risk losing relevance—particularly in less dense and rural markets, where delivery habits are less ingrained.

The implications: Delivery platforms’ enduring popularity, despite cost-of-living concerns and signs of discretionary pullback elsewhere, shows that even consumers under financial pressure consider convenience to be worth the additional cost. We expect robust restaurant sales growth from both Uber Eats and DoorDash this year—14% and 19%, respectively—as both expand their selection and increase value for users.

However, platforms must carefully manage cost concerns from both users and merchants. Grubhub’s high-profile play to eliminate fees—backed by a Super Bowl ad featuring George Clooney—could raise pressure on Uber Eats and DoorDash to follow suit. At the same time, the expense of operating on these marketplaces could lead merchants toward less costly delivery channels—or keep them from signing up in the first place.