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: Grubhub, Gopuff teaming up to deliver groceries, alcohol

Grubhub and Gopuff announced a partnership Tuesday to provide fast delivery of grocery items, including alcohol.

Under the deal, Grubhub Marketplace users will be able to order items from Gopuff’s network of “hyper-local” warehouses, which are stocked with groceries, alcohol, health and wellness products, household items, and pet and baby supplies, the companies said in a joint statement.

A pilot program started Tuesday at select locations in New York, Los Angeles, Chicago, Boston, Philadelphia and Austin, Texas. The program will be rolled out to more than 500 Gopuff locations nationwide in the coming weeks, with alcohol delivery available in select cities.

“Diners now have more options when it comes to ordering fresh food, grocery items, snacks, and alcohol — all from the convenience of the Grubhub app,” Ariella Kurshan, senior vice president of growth at restaurant-delivery company Grubhub, said in a statement. “These expanded offerings complement Grubhub’s vast restaurant network and keep diners engaged across the Grubhub Marketplace.”

The deal will give the smaller Gopuff, which delivers groceries and alcohol, access to Grubhub’s 32 million users.

In July, Amazon.com Inc.
AMZN,
+4.50%

added Grubhub as a feature to its Prime membership service, and took a 2% stake in the company. In August, Grubhub parent company Just Eat Takeaway.com NV said it was still considering a partial or full sale of Grubhub. Just Eat’s Dutch shares
TKWY,
+7.79%

have tumbled 66% year to date.

Earlier this year, Gopuff laid off 10% of its global workforce and closed dozens of warehouses in an effort to reduce costs.

In 2020, Gopuff acquired West Coast alcohol-beverage retail chain BevMo for about $350 million. Gopuff’s parent company, Philadelphia-based GoBrands Inc., reportedly hired bankers in January to prepare for an initial public offering.

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