Brief - The Hustle

Dumpling wants to turn gig workers into self-made entrepreneurs

Written by Caroline Dohack | Jul 21, 2020 8:27:29 AM

Photo via: Dumpling / Speedy Shopper

The grocery delivery revolution is here… and its name is Dumpling. 

The startup aims to help personal shoppers sidestep 3rd parties and become their own business operators. 

Delivery shoppers are essential…

… but many companies — think Instacart, Postmates, and the like — classify them as contractors. 

That means they’re not entitled to benefits like health insurance or sick leave. Additionally, some companies have come under fire for snaking tips and wages.

Here’s how Dumpling is different

It’s not just a platform linking shoppers to customers. It’s a credit union and business advisor for burgeoning entrepreneurs:

  • Dumpling charges shoppers a one-time fee of $10, which gets them a credit card to fulfill customers’ orders and a listing on Dumpling’s website.
  • The company charges shoppers either $5/transaction or $39/month. Customers pay 5% on top of their grocery totals for processing payments. 
  • Shoppers can set tip minimums, and they keep 100% of their tips.

So far, Dumpling has 2k+ shoppers in all 50 states. It may just be getting started, but the company says it has a leg up on the competition.

Dumpling says its shoppers average $33/order. Instacart shoppers make, on average, $7 to $10 per full-service order.