Gopuff and Grubhub Expand into Grocery Delivery with Unconventional Partners
Two delivery platforms, Gopuff and Grubhub, have broadened their assortments to include groceries, including fresh items. Gopuff has partnered with Misfits Market, an online grocer dedicated to reducing food waste that delivers to Gopuff’s microfulfillment centers nearly every day, while Grubhub will work with Mercato, an online marketplace for independent grocery stores with more than 950 retailers across the country.
Grubhub Expands into Grocery
Grocery orders on the Grubhub marketplace will be fulfilled and packed by Mercato retailers, either for customer pickup or for delivery by a Grubhub driver. Mercato has merchant partners in 38 states and more than 320 cities, including NYC, Chicago, Los Angeles, Philadelphia and Boston, and including local favorites such as Citarella, Boston Public Market and Eataly.
“Grubhub started as a marketplace for independent restaurants, so it’s only fitting that as we expand into the grocery space it’s first with a partner that works with independent grocers,” said Craig Whitmer, VP of New Verticals at Grubhub in a statement. “By joining forces with local grocers, we’re not just delivering for our customers, but we’re delivering for small businesses to help grow their online presence. Our customers can now get more of what they need on Grubhub while Mercato’s merchants gain access and increased visibility among our customers.”
Gopuff Gets Fresh
Gopuff pilot tests of its Fresh Grocery initiative with Misfits Market revealed that 25% of all orders contained fresh items, leading to 20% bigger baskets and over 50% increases in sales of produce, dairy, prepared foods and meat. Now, Gopuff customers in most major metro areas have access to the platform’s Fresh Grocery assortment, and expansion to more of Gopuff’s microfulfillment centers will follow.
“We are proud to partner with Misfits Market to make it possible for our customers to get 300+ fruits, vegetables, dairy, poultry, fresh bread and more in as fast as 15 minutes,” said Yakir Gola, Co-founder and Co-CEO of Gopuff in a statement. “The addition of fresh grocery on top of Gopuff’s existing 5,000 everyday essentials brings us one step closer in achieving our mission of maximizing every moment in our customers’ lives and marks a transformative advancement for our customers.”
Gopuff completed more than 4 million orders to food deserts in 2023, and the company recently joined the White House Challenge to End Hunger, committing to donate millions of pounds of food to local food banks and partnering with local governments to ensure resources are available where they are needed.
“Extending our food value supply chain to power Gopuff’s fresh grocery expansion gets us one step closer to our vision of reimagining the food system and eradicating food waste,” said Abhi Ramesh, Founder and CEO of Misfits Market in a statement. “With Gopuff leveraging our sourcing and supplier relationships, together we can provide savings for American consumers who continue to face inflated prices at traditional grocery stores.”
Earlier this week, Gopuff launched a white-label delivery platform for CPG brands.
