Amazon has integrated Grubhub directly into its US website and app to expand its reach into the competitive food delivery market. This comes nearly two years after Amazon acquired a minority stake in Grubhub’s parent company, Eat Takeaway.com. The new integration offers a convenient way for US customers to order food alongside regular Amazon purchases.
Prime Members Get More Grub
A key perk of the integration is the continued benefit for Amazon Prime members. Prime membership already offers many advantages, including a free Grubhub+ membership. Grubhub+ offers valuable perks like free delivery on orders exceeding $12, making it an attractive addition to the Prime package. According to Amazon, this benefit remains active “every year after that as long as they remain with Prime.”
For non-Prime members, the integration still offers a streamlined way to access Grubhub’s vast network of restaurants. They can browse menus, place orders, and track deliveries directly within the familiar Amazon platform. This eliminates the need to switch between apps, potentially increasing convenience for all US customers.
A Strategic Alliance
The deeper partnership between Amazon and Grubhub is likely a strategic move for both companies. The e-commerce giant Amazon has been steadily expanding its delivery services in recent years. Incorporating Grubhub strengthens its hold on the online shopping experience, potentially capturing a larger share of customer spending on food. Grubhub, facing competition from DoorDash and Uber Eats, benefits from the Amazon platform’s broader reach and established user base. This could lead to increased orders and a more significant customer pool for restaurants on Grubhub.
Questions Remain
While the integration offers clear advantages, some questions linger. How will this affect competition in the already crowded food delivery market? Will the integration lead to higher consumer prices or lower restaurant profit margins? It also needs to be clarified how the user experience will be impacted. Will users find navigating between Amazon’s shopping features and Grubhub’s food delivery options easy?
The Future of Food Delivery
Amazon’s move to integrate Grubhub signifies a growing trend in online convenience. Consumers are increasingly looking for one-stop platforms that cater to various needs. Whether this integration paves the way for a more streamlined and efficient food delivery experience or consolidates power within the industry remains to be seen. However, one thing is sure: the landscape of online food delivery will likely continue evolving, with Amazon now playing a more prominent role.
