Amazon has announced that Prime members will now receive free access to a year of delivery platform GrubHub’s premium tier, GrubHub Plus. Through this deal, Amazon has options to acquire a 2% stake in GrubHub and can increase that stake to as much as 15% by meeting performance goals.
While I think GrubHub could’ve opted to partner with more up and coming players, I see why they had to make this move (Grub is significantly trailing Uber Eats and DoorDash). Amazon has a track record doing similar deals where the tech monopoly gives access to it’s volumes in trade for stock warrants and board seats with suppliers. See our video on this here: youtu.be/F_GElAZhtg8
#Amazon #GrubHub #fooddelivery
Filed under: Winner Take All | Topics:
Platform InnovationRead more
Winner Take AllRead more