July 25, 2017

Cramer taps into how Grubhub is changing the game for food chains

The stay-at-home economy is undoubtedly flourishing, so Jim Cramer turned to one of its biggest benefactors to see how it is staying afloat: online food delivery giant Grubhub .

"Take it from me, the owner of Bar San Miguel in Brooklyn, you never want to do take out if you can avoid it," the " Mad Money " host said. "And delivery? Holy cow, that’s a total sin for a restaurant, a dead weight loss given [that] you can’t even get a guest to buy a Corona while she waits for her food to go."

Yet those two services have been Grubhub’s keys to success, with the company seeing 40 percent year-over-year revenue growth and 21 percent year-over-year daily average user growth in its first quarter earnings report.

Watch the full segment here:

Cramer sees the company’s earnings beat as a sign on a "huge cultural sea change" upheld by pizza powerhouse Domino’s , which saw gains across the board in the first quarter, including a 10 percent bump in same-store sales.

However, since its initial public offering in April 2014, Grubhub has had a controversial history. Some thought its business model was set up well for growing nationwide, while others saw […]

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The News for the Gig Economy Staff is constantly searching the web for the latest news regarding freelancing and gig platforms to bring them to you in one handy place. All articles with this generic author have been sourced with the original location at the bottom of the piece. We encourage our readers to view the original source of all excerpts. NGE is a project of ARC Online, LLC.

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