Yahoo Finance Starbucks, Grubhub partner for coffee deliveries
Starbucks and Grubhub are teaming up to offer coffee deliveries as the coffee company seeks to expand its reach.
Starbucks will begin its delivery service with Grubhub this month in Pennsylvania, Colorado and Illinois, before expanding to all 50 U.S. states by August, the companies announced Thursday.
Customers will be able to order and customize most Starbucks food and beverage items through the Grubhub mobile app or website, where they can also track the order status, the Seattle-based coffee company said.
Customers were already able to order Starbucks food and beverage items on DoorDash, Uber Eats and Postmates delivery services, and the coffee company noted the increase in demand for delivery service.
“Customer demand to get Starbucks delivered continues to increase, as evidenced by double-digit growth in the U.S. delivery business this past quarter, indicating that our customers continue to want convenience in their everyday lives,” Meg Mathes, vice president of digital experiences at Starbucks, said in Thursday’s press release.
Starbucks created new packing items like two-cup to-go trays and new shopper bags to help delivery drivers easily carry multiple items at a time, the company said.
The announcement follows a disappointing last quarter for Starbucks, which saw its revenue drop by 2 percent in the first quarter, falling under market expectations.
Grubhub customers who enroll in its $9.99 monthly membership program will be able to purchase Starbucks items with zero delivery charge, smaller service fees and special promotions, the company added.
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“By joining forces with a beloved national brand like Starbucks, we’re offering customers more of what they want on Grubhub while strengthening our enterprise offering and growing our merchant supply in markets nationwide,” said Liz Bosone, vice president of enterprise partnerships at Grubhub.
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