Amazon Prime now comes with another perk: free food delivery for a year.
Prime members will be offered a free one-year subscription to Grubhub+, a food delivery app through which consumers in more than 4,000 cities can order from a large network of restaurants with no delivery fees.
"Prime already delivers great value for members. These new exclusive offers and experiences show how a single Prime membership unlocks a whole world of potential," said Jamil Ghani, vice president of Amazon Prime in a statement.
The Grubhub+ membership costs roughly $120 for one year, but it won't cost existing Prime members a penny. Subscribers can activate the deal at amazon.com/grubhub.
The subscription waives delivery fees for food orders over $12 and unlocks other discounts, too.
Amazon's partnership with Grubhub, owned by Amsterdam-based Just Eat Takeaway.com is expected to expand Grubhub's membership base and marketshare as it competes with rival food delivery services like DoorDash and Uber Eats.
"I am incredibly excited to announce this collaboration with Amazon that will help Grubhub continue to deliver on our long-standing mission to connect more diners with local restaurants," Grubhub CEO Adam DeWitt said in a statement Wednesday. "Amazon has redefined convenience with Prime and we're confident this offering will expose many new diners to the value of Grubhub+ while driving more business to our restaurant partners and drivers."
Under the terms of the deal, Amazon could receive a 2% stake in Grubhub. An additional 13% stake in the company is dependent on key performance targets, including Grubhub acquiring an undisclosed number of new customers through the agreement.
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