Under the new partnership, shoppers in Chicago, Houston and Miami will be able to access Gopuff delivery services through the Uber eats app, with services beginning in June, Progressive Grocer reported. Users in 95 cities will be able to use the Uber eats app for Gopuff’s essentials delivery service as well.
The partnership with Uber comes after Gopuff raised $1.15 billion in a March funding round, reaching a valuation of $8.9 billion. Gopuff is the second largest convenience store delivery service in the U.S., behind DoorDash. The move is yet another expansion from Uber to its Eats app, though this is the first partnership with a vertically integrated delivery business.
Gopuff experienced significant growth during the Covid-19 pandemic, with more consumers staying at home and ordering their groceries and other necessities online for delivery. The company operates more than 400 sites, including 250 micro-fulfillment sites and more than 160 Bevmo! sites, which the company recently acquired. Gopuff, which delivers goods for a flat fee of $1.95, will deploy its hyperlocal logistics and driver network to deliver a variety of items to Uber customers, PG reported.
“One thing we know to be true is that people have come to expect more delivered to their doorsteps than ever before—we’ve seen searches for grocery and convenience items grow by 40% since the start of the year,” Raj Beri, Uber’s head of grocery and new verticals delivery, said in a statement. “With this partnership, we are able to leapfrog the competition in using Gopuff’s network of micro-fulfillment centers to instantly meet consumer demand for thousands of products—and I’m incredibly excited about the opportunities ahead.”