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Who loses money when you complain on DoorDash?

Published in DoorDash Refund Liability 3 mins read

When you complain on DoorDash and a refund or credit is issued, DoorDash initially covers the cost, and in many situations, the merchant (restaurant or store) may be charged to cover part or all of that reimbursement.

Understanding the Financial Impact of DoorDash Complaints

When a customer reports an issue with their order, such as a missing item, an incorrect order, or a quality concern, DoorDash steps in to resolve the problem by issuing a refund or credit to the customer. The financial burden of this compensation is distributed as follows:

  • DoorDash: As the platform facilitating the order, DoorDash typically issues the immediate refund or credit to the customer. This means they bear the initial financial cost of customer satisfaction.
  • The Merchant (Restaurant/Store): Depending on the nature of the complaint and who is deemed responsible, DoorDash has a policy where merchants may be charged a partial or full fee to cover the cost of the reimbursement. This occurs when the error is attributed to the merchant, for example, if they:
    • Forgot to include an item in the order.
    • Prepared the wrong dish.
    • Provided food that did not meet quality standards.

This system ensures that while customers are quickly compensated, the party responsible for the error ultimately bears the financial impact.

Who Pays When Things Go Wrong?

The financial accountability for order issues on DoorDash primarily falls on DoorDash and the merchants, depending on the cause of the complaint.


Party Financial Impact from Complaint Explanation
DoorDash Loses Money (Initially) DoorDash directly issues refunds and credits to customers to resolve issues. They take the immediate financial hit and then, if applicable, recoup costs from merchants.
Merchant Loses Money (Potentially) If the complaint stems from an error made by the restaurant or store (e.g., missing items, incorrect preparation), DoorDash may charge them a partial or full fee to cover the customer's reimbursement. This is known as an "error charge."
Customer Receives Money/Credit (Does Not Lose) Customers are compensated for the inconvenience or error, receiving a refund to their original payment method or DoorDash credit. They are the beneficiaries in this process.
Dasher (Driver) No Direct Financial Loss (for the refund itself) While a Dasher's performance rating could be affected if the error was due to their actions (e.g., spillage, late delivery impacting food quality), they generally do not directly lose money from the refund issued for food or item-related complaints. Their earnings for the delivery are separate from the cost of the food or products.


Common Scenarios Leading to Merchant Charges:

  • Missing Items: A customer reports that an item they paid for was not included in their delivery.
  • Incorrect Order: The customer received a dish or product different from what they ordered.
  • Poor Food Quality: While subjective, severe quality issues attributed directly to preparation (e.g., undercooked food, spoiled ingredients) can lead to merchant charges.

By identifying the responsible party, DoorDash aims to maintain fairness within its ecosystem while prioritizing customer satisfaction.