Last week, food delivery startup DoorDash announced it had raised $400 million in a funding round co-led by Temasek Holdings and Dragoneer Investment Group. Additional funders were raised from existing investors Softbank Vision Fund, DST Global, Coatue Management, GIC, Sequoia Capital and Y Combinator. In August 2018, DoorDash was valued at $4 billion. With this Series F funding, DoorDash was valued at $7.1 billion, nearly double its value six months ago.

This new infusion of cash will help DoorDash be more competitive with Postmates, who recently filed for an IPO, and who was valued at $1.85 million in January. How is DoorDash so successful? In a February 21 blog post about the funding, DoorDash shared some interesting milestones:

• DoorDash estimates it has 26.5 percent market share in the online food delivery industry.
• The company has seen year-over-year growth go from 250 percent to 325 percent, helping it to become the fastest growing last-mile logistics company.
• Last year, DoorDash grew to 3,300 cities, serving 80 percent of Americans nationwide.
• In January, DoorDash became the first on-demand food platform available in every state.
• DoorDash says its subscription service, DashPass, is the fastest growing subscription service in its industry, adding over 30,000 each week.
• DoorDash Drive, in partnership with Walmart, is now Walmart’s largest last-mile logistics partner for grocery.
• As part of its commitment to the communities it serves, Project Dash has now been around for a year, saving over 500,000 pounds of food and providing 439,000 meals to people facing hunger.
• DoorDash partners with big names in the food business, including Chipotle, Wendy’s, Ezell’s Famous Chicken, Subway, Applebee’s and Papa John’s to name a few.

“Our mission has always been to connect customers with their favorite local and national businesses by being the best last-mile logistics player in North America. We’ve had a momentous 2018 and will continue to innovate and expand our offerings so that we can provide our customers, merchant partners, and Dasher community unparalleled experiences and service,” said DoorDash on its blog.

DoorDash will use the new funding to continue its geographic expansion, partner with more restaurants, increase its merchant service options and invest in its DoorDash Drive product, reports CNBC.

According to Second Measure, DoorDash surpasses Amazon Restaurants, Caviar, Postmates and Uber Eats in terms of monthly share of online food delivery sales. It is only surpassed by Grubhub, who is seeing a decline in market share as services like DoorDash are growing.

“DoorDash is at the cusp of this evolution moving from the national players and restaurant delivery you know: Grubhub, Uber Eats and DoorDash,” said DoorDash CEO Tony Xu in an interview with CNBC. “I think when you start moving beyond restaurants and think about the logistics, there’s a much broader group out there whether it’s the Amazons or other folks.”

Insider Take:

DoorDash’s growth is astonishing in this increasingly competitive market, and with new funding, they’ll be able to continue investing in what they’re doing well – partnerships, merchant services, subscriptions – and to grow the DoorDash Drive product. It is exciting to see an emerging industry grow so rapidly and a company like DoorDash succeed. I just might have to do some research of my own.