Earn by offer vs earn by time

The right payment model will pretty much affect how much you will earn as a DoorDash delivery rider, especially on an e-bike. 

There are two major ways by which DoorDash pays their riders, namely, "Earn by Offer" and "Earn by Time." Each has some merits and demerits, so it is essential to know what they are in order to determine which one will suit your needs best. 

So, which option is better, Earn by Offer vs. Earn by Time? Let’s explore them both and find out which might work better for you.

Earn by offer vs earn by time

Understanding earn by Offer

The "Earn by Offer" model pays riders per delivery, including a base pay determined by the distance, estimated time, and demand, besides any tips customers give and any potential bonuses during peak hours. 

You have flexibility in that you can decline or accept orders based on what you think is worth your time.

One of the great things about Earn by Offer is that it pays for efficiency. If you can make several deliveries in a short amount of time—say, shorter distances with high tips—your money will add up quickly. 

On the other hand, this means you could have widely disparate amounts from week to week.

If there aren't as many orders, you may find yourself waiting around or refusing lower-paying orders. 

Riding an e-bike means shorter distances can be much more rewarding because you use less energy and take less time than going longer distances.

Understanding earn by time

The "Earn by Time" model earns you an hourly wage while you are on the clock, plus the customer tips. 

For this option to come into effect, you must be online and accept all orders that come your way within a certain amount of time. You can only reject one order per hour, reducing your freedom.

This model would provide stability since, during slower hours, the orders are fewer.

For those who ride an e-bike, Earn by Time will be better if you happen to work in an area where there are constant, short deliveries. You get paid consistently, even for small orders or those taking longer to reach the customers. 

The downside, however, is you lose a bit of flexibility. You may find yourself having to accept every single order, which, in turn, could extend the length of trips or result in less profitable ones, thus bringing down the overall earnings compared with the Earn by Offer model.

Pros and cons of each model

To fully understand the differences between Earn by Offer and Earn by Time, it’s important to understand the pros and cons of each option. 

Essentially, they come down to this:

• Earn by Offer allows high earnings if one delivers efficiently, giving the rider the freedom to refuse low-paying orders and offering bonuses during peak hours. However, the income could be unpredictable, and there is no compensation for any downtime between orders.
• Earn by Time, on the other hand, assures hourly wages, payment on slow days is accounted for, and tips still apply. However, you have to take up all the orders, and there is a probability that earnings may be less on peak hours if the trips are long or if the tips are smaller.

Which one is a better option?

First and foremost, when choosing between these two models, take a moment to think of yourself as a rider and about what you care most about: flexibility in earning as much as possible during busy times, or is it the security of a stable hourly income?

Your location is another big factor. If you're in a high-density area and do many short deliveries, an earn-by-offer policy may allow you to deliver more orders within less time and increase your earnings. 

The other way around, if you are working in some quiet neighborhood or during off-peak hours, you will get earnings under an earning-by-time policy even when there are fewer orders.

Another important factor for you would be the means of transportation. As an e-bike rider, you save on gas and parking; therefore, you may concentrate on shorter high-turnover trips, which could be more rewarding under the earn-by-offer model. 

Bad weather or longer delivery times might make the idea of Earn by Time more attractive, though.

However, practice shows that most Dashers opt for Earn by Offer. They find this option works better for them and brings them a greater profit.

Related: Do you need a licence to Doordash on a bike

Final words

Ultimately, the choice between Earn by Offer vs. Earn by Time really depends on your goals and what works for you as a delivery rider. 

If you like the idea of flexibility and making those high-demand surge times in your neighborhood pay off, then Earn by Offer will probably be your best bet. 

On the other hand, if you want more stability in earnings with less stress from fluctuating incomes, then perhaps Earn by Time is better suited for you.

Prospective riders, particularly e-bike riders, are encouraged to try both to find out what works for them. 

Whichever you choose, tools such as the steady e-bikes from Whizz will definitely help you stay efficient at work. 

Just understand the pros and cons of each pay model, and you will be ready to make the most of DoorDash.

FAQs

How many hours to make $1000 on DoorDash?

The time it takes to make $1,000 on DoorDash depends on various factors: your payment model, location, delivery speed, and demand. Here's a general estimate:

• Earn by Offer: If you count the average $17 an hour—a pretty standard rate for an e-bike rider—you'd be looking at roughly 60 hours to make 1,000 dollars. This number could go down with higher tips or peak-hour bonuses, as many effective riders have stated they earn a lot more than the average rate.
• Earn by Time: At an hourly wage of $14 per hour plus tips, you may have to work for something like 70 hours to reach $1,000, depending on demand and the amount of tips.

Remember, these figures can vary widely depending on a multitude of factors. Optimize your earnings by trying to drive during peak hours, taking optimal routes, and choosing a pay structure that best fits your strengths and schedule.

With proper methods, DoorDash can help you make quite good earnings. Theoretically, it’s  even possible to earn $100,000 a year with the help of this app and a good e-bike such as Storm-2!

How to switch from earn by time to earn by offer?

Switching between the "Earn by Time" and "Earn by Offer" payment models on DoorDash can typically be done directly through the DoorDash app. All you need to do is open the app, go to “Settings” or "Preferences," then look for an option like “Earnings Settings” or “Payment Preferences.” You should find the option to switch between the two modes there.

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