The Big Flaw in Grubhub's Business Model Just Became Wildly Obvious
Restaurant delivery is only getting more and more popular among customers, which ought to be great news for Grubhub (NYSE: GRUB). But the service provider's third-quarter numbers were plain awful, and its guidance was ugly, too. In this segment of the Oct. 29 MarketFoolery podcast, host Chris Hill and Motley Fool Asset Management's Bill Barker dig into precisely where it's all going wrong -- its costs, competition, the value proposition for its partners, and one key difference between a delivery customer and a dine-in patron. They also weigh questions of customer loyalty, and whether the stock looks like a buy after this latest steep plunge.
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Source Fool.com
