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In a move to further enrich its Prime membership offerings, Amazon is now providing its Prime members with free, permanent subscriptions to Grubhub. This exciting addition aims to make the $139-a-year loyalty program even more enticing.
Previously, Amazon offered Prime members a yearlong Grubhub subscription, which included free delivery on orders over $12. The latest announcement transforms this temporary perk into a lasting benefit. Additionally, even those without a Prime membership can place Grubhub orders directly through Amazon’s website and mobile app, broadening accessibility.
Amazon has been consistently expanding its Prime benefits to attract and retain members amid growing competition from Walmart and Target’s loyalty programs. Alongside fast shipping and video streaming, Prime members now enjoy discounted One Medical memberships and other exclusive perks.
In July 2022, Amazon secured the rights to a 2% stake in Grubhub, the U.S. subsidiary of Just Eat Takeaway.com, with the potential to increase its stake to 15% based on performance metrics such as new customer acquisitions. Just Eat revealed that Amazon now holds warrants representing a 4% stake in Grubhub. As part of a new five-year agreement, Amazon will receive options for an additional 4% stake and may obtain warrants for up to 10% of Grubhub’s equity, contingent on performance conditions.
Amazon’s history with food delivery dates back to 2015 when it launched Amazon Restaurants, a service that allowed Prime members to order meals from local restaurants. Despite its eventual closure in 2019 to refocus on grocery delivery, Amazon has continued to enhance its food and grocery offerings. Customers can now order nonperishable items, pantry staples, and groceries from Whole Foods and Fresh supermarkets through Amazon’s platform.
With the permanent inclusion of Grubhub subscriptions, Amazon Prime continues to evolve, offering an ever-growing array of benefits designed to meet the diverse needs of its members. This strategic enhancement underscores Amazon’s commitment to providing unparalleled value and convenience to its loyal customers.
