Grubhub, Gopuff enter online delivery partnership
Two on-demand delivery platforms are piloting a collaboration that combines inventory and fulfillment capabilities.
Starting Tuesday, Oct. 4, select Gopuff rapid fulfillment locations will be available to fulfill orders on the Grubhub online marketplace in New York City, Los Angeles, Philadelphia, and Austin, Texas. Hundreds of Gopuff locations across the country will be available on the Grubhub marketplace in the coming weeks.
The partnership expands Grubhub's selection of products available for on-demand delivery to its customers, including grocery, alcohol, health and wellness, household, pet and baby supplies. Primarily a meal delivery platform, Grubhub also offers a branded online convenience concept called Grubhub Goods and is collaborating with 7-Eleven, an existing delivery partner, to support the national expansion of this program to more than 3,000 locations.
This collaboration also opens up a new channel for Gopuff to reach more customers. Orders placed on Grubhub are fulfilled and delivered by Gopuff's hyper-local logistics network.
In the coming weeks, thousands of products will be available for delivery from more than 500 Gopuff locations, including virtual concepts. Alcohol will be available in select cities as well. Gopuff will launch virtual concepts for customers on Grubhub, including its pizza brand The Mean Tomato, Gopuff Liquor, and virtual menus for CPG brands including Unilever.
At launch, Gopuff locations will also be included in the Grubhub+ membership program where members get access to unlimited $0 delivery fees on eligible orders and exclusive perks. According to Grubhub data, cusotmers who order convenience items on Grubhub place more orders from restaurants in the following month than those who do not order convenience items.
Grubhub expands its reach as Amazon makes investment
In July 2022, Amazon reached an agreement with Netherlands-based global online food delivery marketplace Just Eat Takeaway, which purchased Grubhub in 2020, to acquire a 2% stake in the online delivery service. As part of the deal, U.S. members of the Prime paid loyalty program can sign up for a free one-year membership in the Grubhub+ plan.
Amazon initially partnered with Grubhub in August 2021, when members of its college-focused Prime Student loyalty program were offered exclusive savings for services including Grubhub+ Student on-demand food delivery.
Since then, Grubhub has pursued delivery agreements with partnerships including its convenience delivery deal with 7-Eleven, as well as a partnership with reality show MasterChef Table. JustEatTakeaway.com has said it is continuing to actively explore a partial or full sale of Grubhub.
"We're excited to partner with Gopuff to give our diners more choice than ever before," said Ariella Kurshan, senior VP of growth at Grubhub. "Our customers are managing busy schedules with competing priorities, and they want to plan not only their meals but also their lifestyle. Customers now have more options when it comes to ordering fresh food, grocery items, snacks, and alcohol - all from the convenience of the Grubhub app. These expanded offerings complement Grubhub's vast restaurant network and keep diners engaged across the Grubhub marketplace."
"Expanding Gopuff's platform allows us to meet consumers' immediate needs anywhere they shop," said Daniel Folkman, senior VP of business at Gopuff. "By combining our broad assortment, logistics network and infrastructure with the virtual storefronts of Grubhub, we can create more seamless one-stop shopping experiences for Gopuff's unparalleled one-stop shopping experience."