Grubhub, one of the country’s biggest food delivery outlets, is making big moves to expand across LA. With 3,500 local partnerships and counting, this service looks to enhance delivery as a revenue stream for restaurants of all sizes.
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“We’re not just another outlet to sell their food, we’re a partner that’s going to increase their revenue,” said Kaitlyn Carl, a Grubhub spokesperson.
At it’s core, Grubhub is simple: it equips restaurants with the resources and staff needed to make deliveries. They provide hardware [in-house tablets], software, and even freelance drivers. And for consumers, the process is equally simple.
“[Consumers] log onto Grubhub and give their address…Geo-tagged so they know exactly how long it will take for delivery. They’re able to search by distance, rating, by cuisine type, etc. Once they choose the restaurant, they can add the items to their cart…They never have to speak with anyone on the phone or deal with cash or credit cards,” she said.
Consumers are able to save their payment information on Grubhub. Carl adds that Grubhub stakes its reputation on reliability for both consumers and restaurants.
“There’s no price inflation. All the prices that are reflected on the restaurant’s menu are the same on Grubhub. Even when a restaurant is sold out of a menu item…We can black out something for a day, for a week, whatever the restaurant needs,” she said. “From the restaurant side, we make sure that they’re going to get paid on time and that their customers are taken care of.”
The user experience on both ends is consistent regardless of restaurant scale. Grubhub’s big-name partners include CPK, Fatburger, Veggie Grill, Buca di Beppo, Panda Express and Snap Kitchen among others, though independent restaurants make up a huge portion of the company’s client base as well.
In either case, restaurants experience what the company coined ‘The Grubhub Effect,’ resulting in positive growth in delivery sales as well as overall revenue.
The restaurants that we’re offering in LA are the ones that people already want to go to. Their customers are loving them, and now are taking them back home too.” Carl said. “Take out is so much more than pizza now, and Grubhub is positioned to drive that movement.”
When asked about a target customer, Grubhub isn’t shy to admit it’s hopping on the millennial bandwagon.
“The millennial age range is a large part of our business, but we’re seeing growth in many areas,” Carl said. “Parents, especially new moms, are a huge market. They don’t want to worry about cooking or spending time finding healthy food for their kids, so this is a great outlet for them.”
And when it comes to competition, Grubhub goes back to its focus on its partners.
“The one thing that separates us more than anyone else is our partnership with restaurants,” Carl said. “We have technology in the restaurants. We have 24/7 customer care that the restaurants can reach out to. At the end of the day, if there are any issues, we’re there for the restaurants to reach out to. For delivery, our contractors make some of the highest wages in the industry. What we focus on is the quality of the food. It’s coming from a kitchen, not the back of someone’s truck who has been driving for 30 minutes.”
“Our target customer really cares about their food, where their food is coming from, and want to enjoy all that without having to leave their home.”