In a new deal announced on Wednesday, Amazon will give its U.S. Prime members free access to the meal delivery service Grubhub for a year.
Prime members must sign up for the Grubhub service to gain access to the offer. The Grubhub Plus membership which normally costs $9.99 per month, lets customers order from thousands of restaurants with no delivery fees on most orders. After one year they will be charged Grubhub’s normal fees unless they deactivate the program.
Source: Gabby Jones/Bloomberg
The deal is part of a partnership between Amazon and Just Eat Takeaway, the Amsterdam-based delivery company that bought Grubhub in 2020 for $7.3 billion.
In a statement, Grubhub CEO Adam DeWitt said he’s confident the offering will expose many new diners to Grubhub delivery. Grubhub said its research shows that more than half of U.S. adults consider takeout or delivery food “essential,” but only 38% say they use third-party delivery companies.
Amazon said in a statement that the deal makes Amazon Prime membership even more valuable. Amazon has more than 200 million Prime members worldwide; most are based in the U.S.
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