Starbucks Takes Delivery Nationwide. Is This a Good Idea?

When it comes to food, Americans clearly value convenience over everything else. That's the only way to explain the ongoing success of Domino's (NYSE: DPZ) -- a company built around making it really easy to get its mediocre pizza -- and the fact that McDonald's (NYSE: MCD) has made delivery a major part of its business.

Anyone who has eaten at McDonald's knows that its food, especially its signature fries, do not travel well. That has not stopped people from ordering, spending more on online orders, and paying for that convenience. Domino's, which is largely a delivery-based business, has grown same-store sales for 33 straight quarters in the U.S. despite the fact that better pizza isn't hard to come by (and fast-casual pizza has been a steadily growing category).

Now, with delivery becoming an increasingly important part of the food business in the United States, Starbucks (NASDAQ: SBUX) has decided to enter the fray. The chain has partnered with Uber (NYSE: UBER) Eats to take its delivery pilot (currently in six large U.S. cities) nationwide by early 2020.

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