The 9 Best Gig Economy Companies in 2023

In the post-pandemic landscape, the gig economy continues to boom and shows no signs of letting up. In 2022, Forbes economists predicted that the gig economy workforce may outnumber the traditional, full-time workforce by 2027. When you consider the benefits of a great work-life balance and being your own boss, it's easy to see why many people are drawn towards this alternative way of working.

Of all the sectors of the gig economy, food delivery is one of the fastest-growing and most easily accessible. US food delivery companies are expected to grow their revenue by 7.26% annually (earning $41,504 million by 2025!), meaning new riders are in high demand. Food delivery companies such as UberEATS, DoorDash, and Amazon Flex offer ample part-time or full-time opportunities to work. 

However, when weighing up which gig-based company to work for, there are many factors to consider, such as income, flexibility, benefits, extra expenses, and overall experience. This guide will take an in-depth look at the major players in the food delivery gig economy, helping you decide which company you’d most likely like to work for. Whether you’re a student or a young professional looking to line your wallet with extra cash or looking for full-time work, there’s sure to be a company fit for you.

Table Of Contents

The Gig Economy

First of all, what is the gig economy? According to a National Bureau of Economic Research report, the gig economy consists of “flexible jobs mediated through various online platforms.” In other words, most people working on short-term or project-based contracts through online platforms are gig economy workers.

In the USA, roughly 11% of gig economy workers make deliveries for app-based food delivery companies. Like in any job, there are pros and cons to working for app-based food delivery companies. Signing up for a food delivery app minimizes your upfront investment costs and the difficulty of establishing clients when entering the gig economy. Additionally, food delivery apps offer more flexibility than a traditional 9 to 5 or part-time job with scheduled shifts. Of course, a con of the gig economy is its lack of stability or a consistent income. Depending on which company you work for, the pros of gig-based work can massively outweigh the cons. 

Top 9 Food Delivery Companies

Before we dive into the specifics of each food delivery employer, here is a table showing how the leading companies stack up with one another: 

Scoring: 5= Ideal, 4= Good, 3= Average, 2= Not Great, 1= Poor 

Company

Income

Flexibility

Benefits

Fun

Vehicle

Options

Overall Score

1. Caviar

5

5

4

5

4

23/25

2. Dumpling

5

4

4

5

5

23/25

3. Postmates

4

5

4

4

5

22/25

4. UberEATS

4

5

3

4

5

21/25

5. Instacart

5

3

3

4

5

20/25

6. DoorDash

3

4

3

4

5

19/25

7. Grubhub

4

4

3

2

5

18/25

8. Amazon Flex

5

2

4

3

3

17/25

9. Shipt

2

3

3

1

3

12/25

If UberEATS is a Toyota Corolla, then Caviar is the Rolls Royce of food delivery apps. The company curates high-end restaurants in a local area and offers delivery services.

Caviar riders tend to earn between $18 and $25 an hour, closer to $25 an hour during surge pricing times. However, owing to Caviar’s restaurant and clientele demographic, orders are on the expensive side, and riders shouldn’t be surprised to earn more in tips.

Other benefits of freelancing for Caviar include pleasant interactions with restaurant staff. One Caviar freelancer in New York reported, "Their partner restaurants tend to be very nice and high quality (mostly friendly restaurants).”

And, if you’re a foodie, freelancing for Caviar is a great opportunity to survey the restaurants in your area. At the very least, freelancing for Caviar is more exciting than visiting the same Mcdonald's ten times in one evening.

Pros: Caviar services high-end restaurants, meaning you will likely earn more in tips.

Cons: Caviar is not available in many cities.

If you’ve ever wanted to be your own boss, calling the shots 100% of the time, Dumpling may be the company for you.

With perhaps the most unique business structure of all the food delivery companies in this guide, Dumpling helps you set up your own grocery shopping business. You decide how much your time is worth, what stores you shop from, and your available hours.

The Dumpling app is a platform to launch, operate, and market your business. In addition, Dumpling provides you with the upfront capital to purchase groceries via a Dumpling credit card. Dumpling advances the total amount for the grocery bill to your Dumpling credit card and then charges customers for the bill plus fees. Dumpling also offers free coaching from professional shoppers so you can grow your business.

For a $29 monthly fee, you can start your Dumpling business today. Dumpling also charges customers a small percentage of each order, separate from the amount you charge for your earnings.

The drawback of Dumpling is that if a client doesn’t pay, you’re technically on the hook for their grocery bill. However, the company is known to reimburse freelancers. Also, your Dumpling career relies on building relationships with regular clients, so it’s rare for a client not to pay.

Dumpling is best for freelancers who want a long-term income stream, as opposed to students looking for a summer job. As a Dumpling freelancer, it may take a while to build a consistent and cherished clientele, but once you do, it is 100% worth it! One Dumpling freelancer reports

“Dumpling is the absolute bomb for business owners that are looking to go out on their own!! They are so responsive and on top of anything that may glitch or that is not working. They have your back! I couldn’t be happier.”

Pros: Decide on your own pay and conditions. Get help with starting your own business.

Cons: Setting up your own business requires more legwork and may not be practical if you only work part-time.

According to Postmates’ sales statistics, the company’s number 1 customer is the rapper Post Malone. With the help of Post Malone’s patronage, Postmates controlled 2% of the food delivery market in 2022.

Postmates is popular among riders because the company’s pay structure prioritizes riders and their ability to make stable predictions about their hourly pay. In most locations, the minimum base pay is $4 per delivery. Base pay factors include pick-up and drop-off, time spent waiting for the order to be prepared ($0.10 per minute), and distance between pick-up and drop-off (roughly $0.60 per mile). Whether there’s a delay at the restaurant or a roadblock on your delivery route, you won’t be thrown off by any hiccups, as you will surely be compensated for your time. The customer tips via the app after the delivery has been made, which takes at least 24 hours to be visible to riders.

Postmates offers two regular bonuses to riders – Blitz and Crushers. Blitz is the markup on delivery prices during peak hours. Peak hours are generally from 10:30 am to 1:30 pm for the lunch rush and 5:30 pm to 8:30 pm for the dinner rush, and anytime on the weekend. Be sure you don’t miss out on the Blitz bonus by turning on notifications in the app.

Working fast and efficiently is key if you have your sights set on the Crushers bonus; it is awarded to riders who complete a certain number of deliveries in a set time period. Postmates riders aren’t always fans of the Crushers bonus, as circumstances outside their control can often affect their number of deliveries per hour.

Postmates does not have a scheduling function, so there are no restrictions on when and where you can deliver. Just like Tinder, you swipe right on deliveries you want to accept. If you’re open to any order, Postmates has an ‘auto accept’ option to assign deliveries to you automatically.

Finally, Postmates has zero vehicle requirements meaning the entry barriers for potential riders are low. Drive, ride a scooter, peddle a bike, rollerblade, or skateboard; the choice is yours as long as you can make timely deliveries. Postmates is a great company to work for if you don’t have the upfront capital to buy a vehicle.

Pros: Postmates has a good pay structure for riders

Cons: Postmates riders sometimes miss out on bonuses because of uncontrollable circumstances

UberEATS is the most popular food delivery service internationally, with roughly 81 million customer users. In the US, however, UberEATS has the second-largest market share of food delivery companies at 23%.

Potential food riders generally want to know, “How much does the work pay?”. As reported on Indeed, the average hourly pay for making UberEATS deliveries is 18% higher than the national average at $19.16, before taxes and expenses. Bicycle or car maintenance, fuel, and other expenses can add up and will be at your own cost. Also, like most food delivery apps, your average hourly pay will depend on your location, as riders in more populated areas generally earn on the higher end of the spectrum. 

To earn more, take advantage of UberEATS promotions. The company currently offers two promotions – Boost and Surge. The Boost promotion is guaranteed higher rates in certain locations at certain times. The Surge promotion is an automatic increase in rates when demand is high. Areas with Surge pricing will be shaded red on the app’s home screen map.

UberEATS gains favor amongst delivery riders for its flexible working hours. Once you’ve signed up as an UberEATS rider, simply open the app to start accepting orders. As some fast-food restaurants are open 24/7, you can truly pick your own hours. You may not be able to make the most of Boost and Surge promotions when working off-peak hours. However, UberEATS is still ideal for university students who want to work around lectures, extracurriculars, and other university commitments.

UberEATS is also flexible when it comes to modes of transportation. You can make deliveries by car, scooter, on a peddle bike, or even on foot. Select your mode of transportation on the app so you can be allocated deliveries in line with your preference.

Pros: UberEATS offers more flexible work hours than other companies

Cons: As one of the most popular food delivery companies, UberEATS might be competitive

Instacart is a grocery delivery service that partners with local supermarkets to save customers the time and hassle of making a grocery run.

There are two ways to sign up as a gig worker for Instacart – to become a full-service shopper or in-store shopper. Full-service shoppers shop for and deliver groceries to the customer. Full-service shoppers earn decent pay at $7 to $10 per order (or “batch” as per Instacart lingo) plus tip. Full-service shoppers must own a vehicle or other mode of transport with full insurance. Bicycles are acceptable as long as you have the capacity to deliver a full cart. Additionally, full-service shoppers are required to be able to lift at least 30 lbs.

In-store shoppers only shop in-store, filling up grocery carts for their customers. As an in-store shopper, you’ll receive an hourly wage. However, the position is only available in certain areas.

If you have a disability or medical condition preventing you from making deliveries or simply don’t feel comfortable ringing a stranger’s doorbell, Instacart may be your ideal company. Instacart offers accommodations for shoppers with a disability or medical condition. Furthermore, Instacart’s in-store shopper position means it’s not necessary to make solo deliveries, a safer choice, particularly for solo women.

A drawback of working for Instacart is its lack of flexibility compared to other food delivery services. Full-service shoppers must select their shifts up to a week in advance. Make sure to set aside at least 2 hours of your time, as this is the length of each shift. In the app, available shifts are green and unavailable shifts are shaded. Instacart assigns in-store shoppers shifts and can only work a maximum of 29 hours per week. Additionally, both full-service and in-store shoppers must work around supermarket operating hours, which are more limited than restaurant operating hours.

A few tips to increase your pay as an Instacart worker are to set an alarm to snag the best shifts, be communicative with customers to maximize your tip, and, if you feel comfortable doing so, you might offer to set a customer’s groceries down in the kitchen rather than on the front doorstep.

Pros: Instacart is accommodating if you don’t want to travel or have a disability, making standard delivery work difficult.

Cons: There is a lack of flexibility as you must schedule shifts in advance.

DoorDash has the largest market share of food delivery companies in the US, a whopping 65%, according to Statistica. The food delivery giant may be popular among customers, but DoorDash riders tend to have mixed opinions about the company. On Indeed, 10,040 DoorDash workers issued the company a 3.3-star rating.

DoorDash’s pay structure consists of a base pay ranging from $2 to $10 per order, plus any promotion pay and tip. You can expect to earn between $10 and $20 per hour as both base pay and tips are prone to fluctuations. Experienced riders advise aiming for a base pay of at least $2 per mile to make a decent income on the app.

DoorDash riders appreciate that before you accept a delivery, the app informs you of the total delivery value, including tip, and the restaurant and drop-off locations. Make an informed choice about what your time is worth.

DoorDash promises perks to riders who have an acceptance rate of over 70%. On the flip side, experienced riders report that the perks of a high acceptance rate aren’t worth taking on low-paying orders. A sneaky tactic, DoorDash offers deliveries to riders for breadcrumbs and then raises the base pay until a rider accepts the order.

It’s also important to note DoorDash’s scheduling function. When an area becomes overcrowded with delivery drivers, it gets greyed out on the map, and you can’t deliver there. Avoid missing out on top locations by scheduling in advance. Scheduling in advance means you’ll be able to make dashes in the most competitive areas during the most competitive hours.

Pros: DoorDash riders can see their tip amount upfront.

Cons: DoorDash sets riders' base pay low, and it gradually rises until a rider accepts the delivery.

One of the oldest food delivery companies in this guide, Grubhub was founded in 2004 in Chicago, Illinois. Today, GrubHub has a 9% market share of food delivery services in the US. Grubhub has implemented certain policies to maximize customer satisfaction, allowing the company to remain competitive for almost 20 years.

Grubhub categorizes riders as partner, pro, or premier. Pro and premier riders can access benefits such as first dibs on new blocks, referral programs, and other perks. While the tier structure and rewarding hard-working riders sound good in theory, Grubhub riders report having to uphold high, near-impossible standards. For example, to maintain premier status, riders must have a 100% shift attendance rate, at least a 95% order acceptance rate, and lower than a 10% block drop rate. You can kiss your perks goodbye if you accidentally miss an order due to app glitches or bicycle troubles.

On a positive note, Grubhub is one of the few food delivery companies that guarantees minimum earnings. As a food delivery rider, it is incredibly frustrating to dedicate time to fulfilling orders only for a few orders to trickle in. Your location and tier level may qualify you for a minimum hourly pay when you’re on the clock.

Pros: Grubhub guarantees minimum earnings even when you have no orders to fulfill.

Cons: Grubhub has high and unrealistic standards for delivery people.

Amazon Flex is a delivery service under the Amazon umbrella. Freelancing for Amazon Flex is one of the better-paying freelance delivery jobs. According to the online retailer, riders typically earn between $18 to $25 an hour, with $15 to $19 contributed by Amazon and the remainder from tips.

When looking at Amazon Flex’s payment structure, the ‘catch’ is that while most freelance delivery companies pay per delivery, Amazon Flex groups deliveries into “blocks”. Each block is a set delivery list expected to be completed in a 2- or 4-hour period. Good for you if you’re done and dusted with your block in less time! However, if you take longer than the allocated period, you’ll have to put in unpaid labor. Also, if you cannot make a delivery, you must return packages to the pick-up point, even if this is out of your way.

There are three types of deliveries you can make through Amazon Flex. Store orders are picked up from local stores partnered with Amazon Flex and are delivered directly to the customer. Prime Now and Amazon Fresh orders are picked up from Amazon delivery stations and then delivered. The last category is Amazon.com orders. Amazon.com orders are typically longer blocks of 3 to 6 hours. Amazon.com orders are unsuitable for bicycle riders as they entail delivering more and larger packages.

Benefits of working for Amazon Flex include the ability to see the delivery route before accepting a delivery block. Also, Amazon Flex has great auto-insurance benefits, providing backup and liability coverage for its riders (even if you’re underinsured).

Experienced riders recommended steering clear of long blocks. Long blocks can send you far from your local area, and some riders have even been sent out of the country! These delivery routes will rack up mileage on your vehicle, and you’ll receive no compensation for the ride back to your home address.

Additionally, some Amazon Flex riders report that unlike interactions with restaurant staff for other delivery companies, interactions with Amazon warehouse employees aren’t always pleasant.

Pros: Amazon Flex generally offers higher pay than other food delivery companies.

Cons: Amazon Flex’s payment structure leaves delivery people in a financial lurch if there is a delay or they are unable to make a delivery.

A similar service to Instacart, Shipt recruits freelancers to shop for groceries and deliver them to the customer. With only a 3.3-star rating on Indeed, Shipt has mixed reviews from its riders.

To become a Shipt rider, you must be 18 years old or older, have a vehicle or scooter and valid license, and be able to lift 45 lbs. 45 lbs. is equivalent to a standard Olympic plate at the gym.

Shipt claims that, on average, freelancers are paid $22 per hour when counting tips. Veterans report that the actual figure is much lower and that you can earn less than $20 for orders that take 2 to 3 hours to shop for and deliver.

Shipt’s hourly pay is so low because of changes made to the company’s payment structure in 2020. Shipt removed its straightforward formula for pay and introduced an order designation system that pitted freelancers against each other. Now, other orders available in your area only appear after you claim and are committed to an order. Freelancers accept low prices to be competitive because it appears there are only a few orders in their area when there are actually many! On average, freelancer pay has dropped by 78% since Shipt altered its payment structure.

Experienced freelancers report that communicating with customers via the Shipt app is not efficient or ideal. Often an item you’re shopping for will be out of stock, so you must message the customer and wait for a response before continuing to the checkout. Sometimes customers take a while to respond or don’t respond at all! However, if you bring the wrong or missing items or are late for drop-off, this reflects poorly on your rating regardless of circumstance.

There are a few perks to working for Shipt. Shipt offers discounts on vehicle insurance plans and phone plans.

 Pros: Shipt riders get discounts on vehicle insurance plans and phone plans.

Cons: The current payment structure pits Shipt riders against each other.

The Bottom Line

All food delivery companies have their pros and cons. As a freelancer, you should consider what’s important to you regarding income, flexibility, benefits, or overall experience and choose a company accordingly.

Many freelancers sign up with two or three food delivery companies to avoid unwanted downtime when not fulfilling any orders. Pick your favorites, try them out, and evaluate them. The beauty of freelancing is that you’re not tied down to one company or another.

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The 9 Best Gig Economy Companies in 2023
James Wilson

After graduating from McCombs School of Business in Texas, James joined ThePayStubs as a CPA to make sure the numbers we provide our clients are correct. Read More

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