IMAGE SOURCE: GRUBHUB
Mobile food ordering and delivery services played a crucial role amid the pandemic. Grubhub won amid the trying times with the rise in demand, and by the end of the first quarter of 2021, the company reported that it now serves over 33 million active diners, a 38% rise compared to its market share in 2020. Grubhub also released a report that it acquired over $551 million in revenue, which is 52% more than what it generated last year in the same period.
Grubhub also revealed that they had an estimated 745,700 daily average grubs (DAGs) during the first quarter. It amounts to over a 44% increase, marking its position as the leading food delivery provider in the industry. Furthermore, Grubhub also posted $2.6 billion in gross food sales. The results show a 60% jump from the $1.6 billion during the first quarter of 2020.
In a statement, Grubhub said, “Of note, our diner behavior remains strong, with new diner repeat rates and existing diner ordering frequency still well above pre-COVID levels.”
Based in Chicago, Illinois, Grubhub is a leading online and mobile food-ordering and delivery marketplace. The platform has the largest and most comprehensive restaurant partners—over 300,000 food establishments in over 4,000 cities across the country. Grubhub is dedicated to connecting diners with the food they love from local restaurants. Backed by an elevated and innovative food ordering system, an easy-to-navigate and easy-to-use user interface, and efficient logistics, Grubhub is indeed one of the most successful technology companies not only in Chicago but in the United States.
“We are proud of our continued role in helping restaurants grow their business and supporting the communities where they operate. Our team continued its strong execution in the first quarter—easily hitting records for all of our key business metrics,” said Grubhub’s founder and CEO, Matt Maloney.
The CEO further added that with the public filing of the registration statement and preliminary proxy statement with the SEC and Grubhub’s special stockholder meeting expected to take place in June, the company is looking forward to closing more significant transactions in the coming months and proceeding to take on bigger ventures.
Despite opening in an industry with many competitors, Grubhub managed to capture a vast share of the US market. Additionally, its subsidiaries Seamless and Eat24 comprised over 17% of US meal delivery sales, coming below the shares of competitors UberEats and DoorDash. Grubhub’s first-quarter results eclipsed Dutch food delivery company Just Eat Takeaway, which announced that it would be acquiring Grubhub in the first half of 2021 in a $7.3 billion deal.
Zooming in to post-COVID times, Wall Street expressed that they are expecting a slower turnout in Grubhub sales as vaccinated individuals return to in-person dining, reducing their reliance on food delivery services. But Grubhub remains positive that they have made a significant impact among customers, enough to maintain its upward momentum and remain as vital as they are today.
To learn more about Grubhub and its continuous growth, visit its website.