Food

The SkipTheDishes Business Model: From Food Delivery to Quick Commerce Dominance

SkipTheDishes operates a hyperlocal multi-sided marketplace business model that connects hungry customers, local restaurants/retailers, and independent couriers. By using a unified logistics platform, they bridge the gap between supply and demand in real-time.

Unlike traditional delivery services that own vehicles, SkipTheDishes functions as a technology intermediary, generating revenue primarily through commission fees on orders and delivery charges.

In the high-stakes world of “last-mile” logistics, SkipTheDishes stands out as a masterclass in efficiency and market adaptation. 

While giants like Uber Eats and DoorDash fought for dominance in major US metropolitan areas, SkipTheDishes (often called “Skip”) built a fortress in Canada by doing what others wouldn’t: mastering suburbs and mid-market cities.

Why should you study SkipTheDishes? Because they solved the hardest problem in tech: Last-Mile Logistics. They took a low-margin industry (food delivery) and used algorithmic dispatching to make it profitable at scale. If you are looking to build a platform that connects supply and demand in real-time, this is the blueprint.

What is SkipTheDishes?

SkipTheDishes is a technology company that builds the digital infrastructure for local delivery. It is not a restaurant, and it is not a courier company; it is a hyper-local on-demand aggregator.

About SkipTheDishes

To understand the model, you must understand the engine behind it.

  • Who Started It? The company was founded by brothers Josh and Chris Simair, along with Andrew Chau, Jeff Adamson, and Daniel Simair.
  • When Did It Start? It launched in 2012 in Saskatoon, Saskatchewan—a city most Silicon Valley investors couldn’t find on a map.
  • What Purpose? They saw a gap in a messy market limited to pizza and Chinese food. They built a logistics network allowing any restaurant to deliver without managing drivers.
  • Headquarters: Winnipeg, Manitoba (The heart of the Canadian Prairies).
  • Community Focus: As a homegrown brand, Skip is deeply integrated into the Canadian community. With Food Banks Canada reporting a historic 2.2 million visits in a single month and child hunger on the rise, Skip actively leverages its network to support food security initiatives across the country.
  • What Skip Sells & 2025 Trends Originally hot food, but now a “do-it-all” marketplace.
  • Top Sellers (2025 Trends): The platform tracks real-time cravings. Butter Chicken remains the undefeated champion, holding the #1 ordered dish spot for three consecutive years. However, Burgers (smash, double, or classic) took the crown as the #1 cuisine nationwide.
  • Trending Now: Canadians are increasingly chasing viral social media trends. Orders for Dubai Chocolate skyrocketed by over 2,300% this year, while Hot Honey has transitioned from a trend to a staple pizza topping.
  • Chocolate skyrocketing over 2,300% and Hot Honey becoming a staple pizza topping.
  • Beyond Food: Retail is exploding (up 1,700%), with massive growth in flowers—including a single record-breaking $1,000 floral order in Toronto—and pet supplies.
  • Target Audience:
    • Primary: Time-poor professionals and families in suburban/urban areas.
    • Secondary: “The Night Crowd” (Gamers, students, late-night workers).

Quick Timeline: From Startup to Empire

SkipTheDishes Quick Timeline

  • 2012 – Founded in Saskatoon, Canada
  • 2013 – 2014 –  Early expansion across Canadian cities; begins building its courier network.
  • 2015 – Became one of Canada’s fastest-growing food delivery startups
  • 2016 – Acquired by Just Eat for ~$110M CAD (up to $200M)
  • 2017 – The company expands its service offerings by beginning alcohol delivery in select markets.
  • 2018 – Becomes the official food delivery app of the NHL, cementing its status as a household brand in Canada with major marketing campaigns.
  • 2020 – Just Eat merges with Takeaway.com. Skip adopts the orange branding but keeps its local name.
  • 2021 – Launches “Skip Express Lane“—their own “dark stores” (micro-fulfillment centers) to deliver groceries in 25 minutes.
  • 2023 – Paul Burns (ex-Twitter Canada) appointed as new CEO to lead the tech pivot.
  • 2024 – Official rebrand to “Skip” (dropping “TheDishes” in marketing) to reflect retail expansion.
  • 2025 – Major strategic partnership with Walmart Canada & Shoppers Drug Mart to dominate the “Quick Commerce” market.

Their approach was so effective that just four years later, in 2016, the company was acquired by the global giant Just Eat for a reported $110 million CAD. Today, they operate under the Just Eat Takeaway.com umbrella but maintain their headquarters in Winnipeg, Manitoba.

SkipTheDishes Business Model Explained

At its core, SkipTheDishes operates on a Hyperlocal Three-Sided Marketplace model. Unlike traditional delivery services, where a restaurant hires its own driver, Skip acts as the technological “middleman” that matches supply (Restaurants/Retailers) with demand (Hungry Customers) through a freelance logistics network (Couriers).

The company describes its model as Asset-Light, meaning they do not own the restaurants, the food, or the delivery vehicles. Their primary asset is the algorithm that optimizes dispatching to ensure hot food arrives quickly.

The 3 Pillars of the Marketplace

1. The Consumer (Demand Side)

  • The Problem: People want variety beyond just pizza and Chinese food, but most local spots don’t deliver.
  • The Solution: A single app that tracks orders in real-time (GPS) and offers everything from sushi to alcohol and groceries.
  • Why they stay: The “Skip Rewards” loyalty program and the Skip+ subscription (unlimited free delivery) lock them into the ecosystem.

2. The Restaurant & Retail Partners (Supply Side)

  • The Problem: Small businesses can’t afford to hire full-time drivers or build complex ordering apps.
  • The Solution: Skip provides a “business in a box.” They hand the restaurant a tablet, and suddenly, that business can reach thousands of new customers.
  • The “Skip Score”: A unique food algorithm that ranks restaurants based on their efficiency. Faster prep times = higher ranking in the app.

3. The Couriers (Logistics Side)

  • The Problem: People want to earn extra money but need flexibility that a 9-to-5 job doesn’t offer.
  • The Solution: A gig-economy model where drivers use their own vehicles and choose their own shifts (“The Skip Network”).
  • Earnings: They keep 100% of delivery fees and tips, while Skip pays them transit pay based on distance.

The Business Model Canvas 

Here is the entire business strategy broken down into its key components

SkipTheDishes Business Model Canvas

How Does SkipTheDishes Make Money: Key Revenue Model

This is the most critical section for your readers. SkipTheDishes is not just a delivery service; it is a multi-stream revenue engine.

Here is a breakdown of their income sources:

How Does SkipTheDishes Make Money Key Revenue Model

1. Commission on Orders (The Primary Stream)

This is the bulk of their revenue. Every time a customer orders, the restaurant pays a “finder’s fee” to Skip.

  • The Rate: Typically ranges from 20% to 30% of the total order value.
  • Example: If you order a $50 sushi platter, the restaurant might only keep $35. Skip takes $15.
  • Why do restaurants pay this? Because Skip brings them customers they would never get otherwise. It is a marketing cost.

2. Customer Delivery Fees

The customer pays a delivery fee based on the distance from the restaurant.

  • The Fee: Usually between $1.99 and $5.99 (variable based on distance and weather).
  • Note: 100% of this fee usually goes to the Courier to subsidize their pay, but Skip uses this lever to balance supply and demand.

3. Service Fees

Hidden in the checkout, there is often a small “Service Fee” (usually roughly 99 cents or a small percentage). This goes directly to SkipTheDishes’ bottom line to cover “app maintenance and support.”

4. Promoted Listings (Advertising)

Restaurants can pay extra to appear at the top of the search results.

  • If a pizza shop wants to be the #1 result when a user searches “Dinner,” they pay Skip for that placement. This is pure profit for Skip.

5. Skip Express Lane (Direct Sales)

This is a newer, high-margin stream (2021–2025).

  • Skip operates its own “Dark Stores” (mini warehouses).
  • When a user orders milk, chips, or diapers from “Skip Express Lane,” Skip isn’t just taking a commission—they are the retailer. They make the profit margin on the product plus the delivery fee.

6. SkipGo (White-Label Website & App)

This is a B2B service where Skip provides the technology directly to the restaurant.

  • What it is: Skip builds a fully functional website or mobile app for the restaurant. It carries the restaurant’s own brand, logo, and colors—not Skip’s.
  • How it works: To the customer, it looks like they are ordering directly from the restaurant’s own site. However, the backend technology and the ordering system are powered entirely by Skip.
  • The Benefit: The restaurant gets a professional online ordering platform without needing to hire expensive developers, while Skip earns revenue by powering their tech stack.

What Services Does SkipTheDishes Offer?

SkipTheDishes is a Canadian online food delivery company that serves three main groups — customers, restaurant partners, and delivery couriers.

For customers

  • Food Delivery — Hot meals from 20,000+ restaurant partners across Canada
  • Skip Express Lane — Groceries and essentials delivered in under 25 minutes from dark stores
  • Retail Delivery — Same-day delivery from Walmart Canada, Shoppers Drug Mart, Dollarama, and PetSmart
  • Skip+ Subscription — Unlimited free delivery for a monthly fee

For restaurant and retail partners, SkipTheDishes offers:

  • Listing and order management on the Skip marketplace
  • Promoted Listings — paid placements that increase visibility in search results
  • SkipGo — a white-label website and app solution for restaurants that want their own branded ordering system
  • Access to Skip’s courier network for restaurants that don’t have their own delivery fleet

For Couriers

  • The Skip Network — Gig-economy delivery with flexible shifts
  • Transit Pay + 100% Tips — Drivers keep all delivery fees and tips
  • Winter Fleet</strong> — Specialized snow-capable vehicles for Canadian winters

SkipTheDishes Agency And Merchant Services

Beyond consumer food delivery, SkipTheDishes has expanded its agency-style services for businesses looking to grow their digital presence and order volume.

Through its merchant portal, restaurant partners can access:

  • Marketing support — Skip runs promotional campaigns (e.g., discount events, national advertising) that drive traffic to partner listings
  • Data and analytics — partners see order volume, peak hours, and customer feedback through the merchant dashboard
  • SkipGo white-label platform — a fully branded ordering website and app built on Skip’s infrastructure, allowing restaurants to accept direct orders without marketplace commission
  • Catering and large-order fulfillment — for restaurants targeting office or event orders

These services position SkipTheDishes as more than a delivery marketplace — it acts as a digital growth partner for Canadian food businesses.

How SkipTheDishes Works?

How SkipTheDishes Works_

The SkipTheDishes system operates on a seamless 5-step cycle. The technology acts as the bridge connecting the Customer, the Restaurant, and the Courier to ensure the fastest possible delivery.

1. Placing the Order (Customer Step). It starts when a user opens the app or website. After setting their location, they browse menus from various local restaurants. Once the items are selected, the user completes the transaction via online payment or selects their preferred payment method.

2. The Restaurant Accepts As soon as the order is placed, the restaurant receives a notification on their dedicated Skip Tablet. The restaurant confirms the order and begins food preparation.

Note: The restaurant must input a specific prep time so the system knows exactly when the food will be ready.

3. Smart Dispatch System (The Algorithm) This is where the core technology kicks in. Skip’s proprietary algorithm scans the network to find a driver (courier) who is nearest to the restaurant and available. The order is automatically assigned to that driver, who accepts the request and heads to the restaurant.

4. Pickup & Live Tracking The courier arrives, picks up the order, and places it inside a Thermal Bag to ensure the food stays hot. During this transit, the customer can watch the Real-Time GPS Tracking on their app to see exactly where the driver is and the estimated arrival time.

5. Final Delivery & Feedback The courier arrives at the customer’s location and hands over the order (or leaves it at the door for contactless delivery). Once the delivery is complete, the customer is prompted to rate and review both the restaurant and the driver.

Why Do Customers Choose SkipTheDishes?

In a crowded market, why pick Skip over UberEats?

  • Regional Loyalty: In Canada, especially in the Prairies and suburbs, Skip was there first. It is a “homegrown” brand.
  • Unmatched Reliability (The Winter Fleet): Skip understands Canadian winters better than anyone. They recently launched a specialized Winter Delivery Fleet, complete with snowplows to clear streets and driveways. This ensures that when the weather is at its worst, Skip can still deliver deals and convenience.
  • Transparency: Skip was one of the first apps to offer full transparency on tipping. The courier sees the tip before they accept the order, encouraging better service.
  • The “Skip Rewards” Program: A loyalty program that rewards users with points for every dollar spent, creating a “lock-in” effect.

SkipTheDishes didn’t win by accident. They used specific strategies that allowed them to dominate the Canadian market before competitors could catch up.

1. They Targeted “The Ignored Cities”

While Uber Eats and DoorDash were fighting tooth-and-nail for customers in downtown Toronto and Vancouver, Skip went the other way. They launched in Burnaby, Red Deer, Winnipeg, and Saskatoon.

  • The Result: They became the default (and often only) app in these areas, building extreme brand loyalty that lasted even when competitors finally showed up.

2. Star Power & “Homegrown”

Marketing is usually boring, but Skip leans into its Canadian identity with massive celebrity partnerships.

  • The Celebrity Strategy: It started with Jon Hamm playing a “wannabe Canadian,” but in 2024, Skip brought in actual homegrown talent: Seth Rogen. The new brand campaign leverages Rogen’s iconic humor to cement Skip’s status as a national staple.
  • Cultural Moments: Skip isn’t just on TV; they are on the Red Carpet. They teamed up with TikTok Canada to host the first-ever exclusive “Orange Carpet” livestream at the 54th Annual JUNO Awards, positioning the brand at the center of Canadian music and pop culture.

SkipTheDishes Innovations (2024-2026): The Pivot to “Everything”

If 2020 was about survival, 2025 is about ubiquity. Skip has realized that delivering hot food is a low-margin game. The real money is in Retail & Quick Commerce.

To stay relevant for Google’s “Freshness” algorithm, here are the critical updates your readers need to know:

1. The “Skip” Rebrand (Dropping the “Dishes”): You may have noticed their marketing shifting simply to “Skip.” This is intentional. “Dishes” implies dinner. “Skip” implies skipping the chore of going to the store.

2. The “Everything” Store: Major Retail Partnerships This is the game-changer. Skip has moved far beyond restaurants, with the retail category soaring over 1,700% in growth.

  • The Retail Giants: Skip has secured strategic partnerships with Walmart Canada (vast product selection), Shoppers Drug Mart (pharmacy & beauty), and Dollarama (value goods).
  • Pet Delivery: Partnering with PetSmart, Skip now offers on-demand delivery for pet essentials nationwide, “making fetch happen” for dog and cat owners who need food or toys instantly.
  • The Shift: Couriers are no longer just drivers; they are “Pickers.” They walk into these stores, grab your groceries or pet food, and deliver them. This puts Skip in direct competition with Instacart, but with faster, on-demand speed.

3. “Skip Express Lane” Expansion: Skip now operates its own “Dark Stores” (mini-warehouses closed to the public) in major Canadian cities.

Why it matters: When they deliver from their own warehouse, they keep 100% of the margin on the product (the chips, the milk, the Advil) plus the delivery fee. This is the path to profitability.

4. AI-Driven “Stacking” Efficiency: New updates to the dispatch algorithm in late 2024 allow for smarter “Order Stacking.”

Old Way: One driver = One Order.

New Way: One driver = A hot meal from McDonald’s + A prescription from Shoppers Drug Mart (delivered to neighbors). This doubles the revenue per trip for the courier and Skip.

Competitor Analysis: The “Big Three” War

To understand Skip’s success, you have to look at the broader landscape. When comparing the top online food delivery platforms in Canada, Skip maintains a unique “homegrown” advantage over its US-based rivals.

Here is how Skip stacks up against the global giants:

Feature

SkipTheDishes (Skip)

UberEats

DoorDash

Origin / HQ

Canada (Winnipeg)

USA (San Francisco)

USA (San Francisco)

Primary Strength

Suburbs & Mid-Market Cities (The “Prairie King”)

Major Metros (Toronto, Vancouver)

Aggressive Growth & Market Share

Core Audience

Families, Value-Seekers, “Homegrown” Loyalists

Urban Professionals, Tech-Savvy Users

Millennials, Subscription Users (DashPass)

Loyalty Program

Skip Rewards (Points per dollar)

Uber One (Combined with Rides)

DashPass (Subscription model)

Courier Model

Shift-Based (Drivers schedule shifts; reliability focused)

On-Demand (Log on whenever; flexibility focused)

Mixed (leaning towards on-demand)

Merchant Fees

~20–30% (Generally viewed as “Partner Friendly” in Canada)

~30% (Often criticized for high fees)

~25–30% (Variable tiers)

Takeaways for Founders Who Want to Build an App Like SkipTheDishes

If you want to start a delivery business today, do not copy Uber. Copy Skip’s smart strategy. Here is exactly how to build a profitable business in 2025:

1. Target the “ignored” cities SkipTheDishes did not fight for New York or London. They went to smaller cities (like Winnipeg and Saskatoon) where there was no competition.

  • The Lesson: Don’t try to beat the giants in the big metro cities. Launch your app in Tier-2 or Tier-3 cities where customers are waiting for a good service.

2. Don’t write code, just do business (White-Label) Skip spent 10 years building their technology. You don’t have that time.

  • The Lesson: Smart founders don’t build from scratch. Use a Readymade White-Label Food Delivery App. It costs way less and lets you launch in just 2 weeks. Your job is to sell to restaurants, not to fix software bugs.

3. Own the network, not the kitchen (Asset-Light) Restaurants have to pay for rent, staff, and food inventory. You don’t.

  • The Lesson: Keep your business “Asset-Light. You don’t own the food; you just connect the buyer and seller. This means you have very low risk compared to opening a restaurant.

4. Cash flow is king (Commission Model) In this model, you make money on every single transaction.

  • The Lesson: Charge a fair commission (15-20%) to restaurants and a small fee to customers. Since you collect the money online before the food is delivered, you always have cash in the bank to pay your drivers.

5. Speed builds trust Customers don’t care about your logo; they care if the food is hot.

  • The Lesson: If you use a white-label app, make sure it has Real-Time GPS Tracking. If a customer can see the driver moving on the map, they trust you. If they trust you, they order again.

Conclusion: 

SkipTheDishes proves that you don’t need to be in Silicon Valley to build a billion-dollar tech empire. By focusing on overlooked markets—the suburbs and mid-sized cities—and prioritizing logistics efficiency over flashy trends, they managed to defeat global giants like Uber on their home turf.

As the company pivots from “SkipTheDishes” to simply “Skip,” expanding into groceries and retail with Quick Commerce, they continue to set the standard for adaptability. They are no longer just delivering dinner; they are building the infrastructure for local commerce.

Launch your own branded ordering system with online ordering and delivery system for Canada — built for Canadian entrepreneurs and local businesses ready to grow online.

Build app like SkipTheDishes

Frequently Asked Questions About SkipTheDishes

How does SkipTheDishes make money?
SkipTheDishes earns revenue through commission fees charged to restaurant partners (typically 15–30% per order), customer delivery and service fees, and paid promoted listings for restaurants that want more visibility inside the app.

Is SkipTheDishes profitable?
SkipTheDishes operates as a subsidiary of Just Eat Takeaway and does not publish standalone financials. It remains Canada’s most widely used food delivery platform by market share.

When was SkipTheDishes founded?
SkipTheDishes was founded in 2012 in Saskatoon, Saskatchewan. It was acquired by Just Eat in 2016 for approximately CAD $200 million — one of the largest Canadian tech exits at the time.

Is SkipTheDishes only available in Canada?
Yes. SkipTheDishes operates exclusively in Canada, which sets it apart from global platforms like DoorDash and Uber Eats. Its entire network — restaurants, couriers, and customer support — is focused on the Canadian market.

How does SkipTheDishes work for restaurant partners?
Restaurants sign up, list their menu on the Skip marketplace, and pay a commission on each order fulfilled through the platform. Skip handles delivery through its independent courier network. Partners can also invest in promoted listings to appear higher in app search results.

Build app like SkipTheDishes

Written by
Ashish Sudra

Ashish Sudra is the founder of Deonde and has over 15 years of experience in IT and On-demand Solutions. He is a professional in Digital Marketing, ASO, User Experience, and SaaS Product Consulting. He is also an accomplished Business Consultant who delivers an Online Food Ordering and Delivery System for Food Startups, Chain Restaurants, and Cloud Kitchens.

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