How Postmates Works: Everything You Need to Know

How Postmates Works

Founded in 2011, Postmates is a delivery and logistics company that connects couriers with people who need things delivered.

Postmates is available in over 100 U.S. metropolitan areas across 24 states. On average, Postmates fulfills over 7,000 deliveries daily. That’s 50,000 a week!


How Postmates Works

Postmates provides a user-friendly mobile app that buyers can use to request a delivery from a particular merchant in their city.

Postmates works as you would imagine a delivery service. Once you’ve registered and downloaded the app, users can locate restaurants or stores they’d like to get a delivery from, add the items to a Postmates cart, and then input contact and payment information.

Once you’ve done that, Postmates will connect your order with the nearest ‘postmate’, or delivery person, to fulfill your order.

With Postmates, stores and restaurants can either be participating or not. That is, with participating stores, a menu will be displayed on the Postmates app for users to view. This makes the process user-friendly. Unfortunately, if a store isn’t participating, orders can still be made, but the cost and item selection isn’t as seamless.

Once you’ve placed an order, you can track your order’s status in real time using the app. If there are any unexpected delays, the app will let you know. Once the order arrives at your door, you sign a digital receipt with your finger and can also tip the ‘postmate’.

Similar to other sharing economy delivery services like Instacart, Postmates offers a subscription service for deliveries. For $9.99 a month, users can enjoy unlimited deliveries.

When ordering food using the Postmates app, you can sort restaurants by location, type of food, and price. Once you’ve chosen a restaurant, you then select exactly what you want to order from that restaurant’s menu.

For participating restaurants, you can also customize your food order. Mustard? GROSS!

There is also a substitution option if something you order isn’t available. No crab cakes? OK, I will settle for the calamari.


How to Make Money on Postmates

How Postmates works as an income generation tool is a bit different. As a ‘postmate’, you can earn up to $25/hour plus tips. But, your income depends on your particular city and what you’re delivering.

As with other sharing economy websites, you can work only when you want. That is, you can do one delivery a month, or ten a week, it’s entirely up to you.

And, with Postmates, as a worker you can choose your method of transportation. That can include a car, scooter, walking, bike, or Pope-mobile. You get the point.


For the delivery fee that Postmates charges, they keep 20% and the other remaining 80% plus any tips go to the postmate.

As a postmate, the app will let your customer know exactly where you are and the status of their order. Almost all the work is done for you! Simply travel to the destination, fulfill the order, and deliver it to the user. Simple as that.

This is how Postmates works. For people with some spare time in their day, or who are already out and around town, Postmates is a great way to supplement your income.


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