The heated battle for penetration in the third-party food delivery market may already be over in the U.S.
As delivery continues to become a bigger part of the U.S. restaurant space, that may mean big upside for names like GrubHub (GRUB) and the soon-to-IPO Uber Eats and Door Dash.
Some combination of two of those three companies dominates the delivery scene in the top 20 most-populous cities in the U.S. And according to Hedgeye Restaurants analyst Shayne Laidlaw, the rest of the competition is falling flat.
“Outside of the number one and number two players, it’s rare for there to be a meaningful number three,” Laidlaw explains in the clip above.
“There’s certainly not a meaningful number four, and if you’re five on this list, you’re thinking, ‘What am I even doing in delivery?’"
One consolation Laidlaw offers, however, is that it’s still early in the game for the U.S. food delivery space.
Watch the full clip above for more.