Grubhub and Maplebear Inc. (formerly Instacart) (NASDAQ:CART) struck a new agreement on Tuesday to expand grocery delivery options and offer more convenience to millions of users.
The deal brings Instacart's network of national and regional supermarkets directly onto Grubhub's platform, giving customers access to thousands of everyday items through the Grubhub app and website.
The experience rolls out nationwide through the end of October, Grubhub's parent platform says, and customers can begin placing grocery orders directly inside the Grubhub app.
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The ordering process mirrors a standard restaurant delivery: users select a nearby grocer, add items to the cart, and track the driver in real-time, the publication reports.
How It Works?
Grubhub will host the storefront and checkout process.
Instacart shoppers will handle fulfillment and delivery from participating retailers.
The companies said customers can expect the same real-time tracking and delivery flow they already use for prepared meals.
Pharmacy purchases are scheduled to join the program in the coming months.
Grubhub's chief executive, Howard Migdal, said the move strengthens its position in on-demand delivery.
"This partnership marks an exciting step forward for Grubhub," Migdal said.
He added that Grubhub+ members gain more ways to save, because the subscription already emphasizes lower fees and exclusive perks.
Instacart Perspective
Ryan Hamburger, vice president of commercial partnerships at Instacart, said the collaboration brings Instacart's fulfillment technology and retailer network to a wider audience.
"We're proud to serve as Grubhub's grocery delivery partner," Hamburger said.
Both companies pointed to faster service, wider selection, and improved value as competitive advantages.
Promotions And Savings
To promote the launch, Grubhub+ members can unlock $0 standard delivery fees on eligible grocery purchases of $25 or more at participating stores.
All customers can also claim 30% off up to three grocery orders of $75 or more during a three-month introductory window.
The companies said the goal is to encourage customers to test the new service and compare delivery times and pricing.
Price Action: CART shares are trading lower by 0.73% to $38.06 at last check Tuesday.
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