All posts by manageBattleRoad

Bumble: A Different Kind of Dating Platform

Bumble logoBumble (NASDAQ: BMBL), an online dating and social networking platform, was founded in 2014 by Whitney Wolfe Herd. Headquartered in Austin, Texas, with offices in Barcelona, London, and Moscow, Bumble was created with women at the center; a dating solution where women make the first move. Bumble is rewriting the script on gender norms, with a platform designed to be safe and empowering for women while also providing a better environment for all. Bumble utilizes innovative technology solutions to build a safer and more inclusive way to connect online, regardless of gender. Consensus estimates call for the company to generate revenue of $724 million this year, with profitability bordering on break-even.

Bumble debuted on the NASDAQ on February 11th, 2021, in a 57.5 million Class A common stock offering, priced at $43 per share. Bumble’s pre-IPO balance sheet consisted of $218 million in cash with $628 million in debt. When added to the $2.5 billion raised from the offering, Bumble possessed close to $2.7 billion in cash with $628 million in debt immediately after the offering. With a recent share price of $60, Bumble carries a market cap of approximately $11.2 billion.

Bumble’s platform enables users to connect and build healthy relationships on their own terms. Further, Bumble believes there is an opportunity to extend its solutions beyond dating, to encompass relationships across all areas of life, including friendships, careers, and more. By empowering women across all their relationships, Bumble feels it can grow into a leading global women’s brand.

Bumble currently operates two apps, Bumble and Badoo, where more than 42 million users come every month to discover new people and connect in an empowering, secure, and safe environment. These two apps run on a common infrastructure, allowing insights to be shared between the apps. Bumble believes this is an integral piece in providing its users with high-quality and personalized experiences. Bumble facilitated an average of more than 150 million messages sent per day across its two apps in the nine months ended September 30th, 2020.
The Bumble app was released in 2014 and was one of the first dating apps built with women at its core. With Bumble, women make the first move, and have done so more than 1.7 billion times since the app’s launch. Bumble supports roughly 12 million monthly active users, and is the second highest grossing dating app in the world, according to Sensor Tower. Bumble is a leading online dating platform in many countries, such as the United States, the United Kingdom, Australia, and Canada. During the nine months ended September 30th, 2020, Bumble boasted 1.1 million Bumble App Paying Users.

The Badoo app was founded by Andrey Andreev and first launched in 2006. This app was a pioneer in free web and mobile dating products. Badoo’s slogan of “Date Honestly” deeply connects to Bumble’s focus on building meaningful relationships for everyone. Bumble and Badoo are two of the highest grossing online dating apps in the world. According to Sensor Tower, as of August 2020, Bumble ranked in the top five grossing iOS lifestyle apps in 30 countries, and Badoo ranked among the five highest grossing iOS lifestyle apps in 89 countries.

DoorDash

DoorDash: Getting Dinner on the Table

DoorDashDoorDash (NYSE: DASH), a food delivery platform and service, was founded in 2013. Today, DoorDash is headquartered in San Francisco, California, where it is led by Tony Xu, who acts as the company’s CEO and Director. Consensus analyst estimates call for DoorDash to produce revenues of $2.9 billion in fiscal 2020, along with a loss per share of $1.08. In fiscal 2021, analysts foresee an improvement, with revenue estimates rising to $3.7 billion and EPS estimates at $0.15.

DoorDash debuted on the New York Stock Exchange on December 9th, 2020, in a 33 million Class A common stock offering, priced at $102. With all shares coming from the company, DoorDash generated close to $3.4 billion from the offering. With a pre-IPO cash balance of $1.6 billion and no debt, DoorDash possessed roughly $5 billion in cash with no debt immediately after the offering. At a recent share price of $180, DoorDash carries a market cap of approximately $57 billion.

DoorDash’s mission is to grow and empower local economies. DoorDash was founded as a merchant-first business, as the platform allows brick-and-mortar companies to thrive in an ever-growing convenience-oriented economy with changing consumer demands. This is achieved through the DoorDash Marketplace, which provides a variety of services, allowing merchants to acquire customers, deliver orders, gain access to insights and analytics, merchandise, process payments, and manage customer support.

The company’s proprietary technology enables it to optimize interactions between merchants, consumers, and delivery drivers, or Dashers, to create a seamless end-to-end experience. Every order on the Marketplace platform is analyzed by DoorDash’s machine learning algorithms to continuously improve the quality and performance of the platform. This allows the company to present personalized content to consumers by accounting for past order preferences, provides data for Dashers to maximize their earnings opportunities, and optimizes the experiences of all users on the Marketplace through increasingly intelligent and efficient logistics.

DoorDash assists merchants by catalyzing incremental sales and leveraging their fixed cost investments while establishing an online presence and broadening their reach. With DoorDash, merchants have the option of fulfilling orders through delivery, facilitated by the platform, or in-person pickup by customers. Additionally, merchants can launch promotions on the Marketplace. Merchants have produced over $19 billion in combined total sales on the Marketplace, and in 2019, experienced a 59 percent year-over-year same store sales increase on the platform. Dashers have garnered more than $7 billion combined through the Marketplace.

In addition to individual, one-off orders, DoorDash offers a membership program called DashPass where customers pay a $9.99 monthly delivery fee for unlimited deliveries from eligible merchants. While currently only available for restaurants, the company anticipates providing customers access to all of their local businesses in the future, allowing consumers to receive benefits while shopping in-store, at-home, or anywhere else.

DoorDash’s Marketplace platform has connected more than 390,000 merchants, over 18 million consumers, and more than one million Dashers throughout the United States, Canada, and Australia. In total, more than 900 million orders have been processed and completed through the platform. DoorDash has partnerships with more than 175 of the 200 largest national restaurant brands, such as McDonald’s, Chick-Fil-A, The Cheesecake Factory, Chipotle, Wingstop, and Wendy’s.

DoorDash is the largest and fastest growing local food delivery logistics firm in the United States, boasting a 50 percent United States category share and a 58 percent category share in suburban markets. Off premises consumption of restaurant meals (i.e., takeout or delivery orders from restaurants) totaled nearly $303 billion in the United States in 2019. Despite this, DoorDash generated a mere $8 billion in total orders in 2019, representing less than three percent of the total market opportunity in America.