Amazon Prime now includes free Grubhub delivery

In “corporate deals we actually care about,” Amazon struck a deal with GrubHub this week that includes a year-long GrubHub+ trial for Amazon Prime members in the US starting July 6 — just in time for Prime Day.

If you have an Amazon Prime membership, you can head to the Prime Grubhub page and from there, activate your free GrubHub+ membership. You’ll get free delivery on eligible orders and receive alerts when there’s extra savings going on.

Grubhub Free with an Amazon prime membership



The new perk comes from a deal made by Amazon and GrubHub Wednesday: Amazon has the option to take a 2% stake in Grubhub, according to CNBC, and part of the bargain is that Amazon Prime members get a free year-long subscription to Grubhub+ . The move makes sense for both parties: Amazon Prime members like things fast, and GrubHub just got handed a bigger customer base. Amazon made a similar deal with Deliveroo and UK and Irish Prime members last September after taking a stake in Deliveroo, per CNBC.

The agreement comes at a challenging time in the food delivery business. GrubHub’s owner, Just Eat (Europe’s largest food-delivery platform), is looking to partially sell off or fully sell GrubHub. According to Bloomberg, GrubHub is struggling among its peers: It has just 13 percent of the US meal delivery market, versus 60 percent for DoorDash and 24% for Uber Eats, plus the lowest per-customer quarterly spend. A host of new customers from Prime could come at a critical time for the company.

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On this news, the stock of other food delivery businesses, including Uber and DoorDash, fell a respective 3% and “as much as” 9%, according to CNBC. Looking at the bigger picture, the stocks of Uber and Deliveroo — the latter of which Amazon has that stake in — are both down nearly 50% this year.

While no one knows how this will all play out yet for GrubHub, the easy thing to say is to get your free GrubHub+ while you can.

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