In May 2024, Amazon and Grubhub advanced their partnership by making Grubhub+ a free ongoing offer for Prime members. This month marks the one-year anniversary of this initiative, highlighting the progress of their collaboration in providing food options, value, and convenience to Prime members across the United States.
Prime membership offers savings, convenience, and entertainment. The inclusion of Grubhub+ enhances this experience with $0 delivery fees on eligible orders and an annual membership value of $120. Prime members also benefit from fast delivery on products, exclusive deals like Prime Day, and streaming options through Prime Video.
The collaboration between Amazon and Grubhub has been successful among members. More than 90% of orders placed via Amazon.com or its app are from returning Prime members. There has been a year-over-year increase in Grubhub+ sign-ups exceeding 50%. Since 2022, over a billion dollars have been saved by waiving subscription fees for Prime members using Grubhub+. They have also saved more than half a billion dollars in service fees, delivery fees, promotions, and credits.
Engagement is strong in major cities such as New York, Chicago, and Los Angeles; however, over 60% of orders come from suburban areas. Members who order at least once monthly average three orders per month and save about $300 annually on delivery fees and promotions with Grubhub+.
“This collaboration isn’t just a win for Prime members; it’s also a significant boost for restaurants and delivery partners,” said Howard Migdal, CEO of Grubhub. “By connecting restaurants to millions of Amazon customers, we’re driving growth for their businesses and creating even more earning opportunities for couriers.”
“We’re proud to see that we’re keeping over a billion dollars in the pockets of Prime members,” added Jamil Ghani, Worldwide Vice President of Prime at Amazon. “Prime is all about making everyday life easier... Thanks to partners like Grubhub.”
Significant milestones include the introduction of a student trial in August 2021; a one-year free trial in July 2022; an extension in June 2023; the 'Tune In & Take Out' campaign launched with Prime Video in April 2023; and finally making Grubhub+ an ongoing offer integrated into Amazon platforms by May 2024.
The success story reflects effective collaboration between Amazon and Grubhub to provide valuable services nationwide.