The restaurants welcomed that idea, which allowed Grubhub to onboard thousands of restaurants in the months that followed. The team quickly pivoted their model and only charged restaurants a percentage commission whenever they made a sale on Grubhub (more on that later). They were thus highly skeptical of another website service they had to pay for. The problem was that all these restaurant owners already paid thousands of dollars to have low-quality websites set up on their behalf. Similarly, Grubhub was charging restaurants $140 in exchange for six months of ad placement on their webpage. Startups like Zillow and Trulia were selling ad space on their website. In the beginning, Grubhub employed a display advertising model, which was inspired by the real estate space. Other features include real-time order tracking, the ability to pre- or re-order meals, being able to order for takeout and pick up yourself, and many more.Ĭustomers can place orders via the company’s website or using their Android and iOS mobile app respectively. The company’s customer service, which is available 24/7, would take care of any issues that arise.įor its most loyal users, Grubhub will offer a membership program (called Grubhub+) that allows them to save money on the menu price as well as delivery. In some instances, Grubhub’s restaurant partner will conduct the delivery if it employs its own fleet of drivers.įurthermore, Grubhub takes care of anything related to payments as well as the sorting of restaurants on its platform. The company works together with independent contractors that work to deliver food on an on-demand basis. While food preparation is handled by the restaurant, Grubhub will take responsibility for the rest of the process. The company partners up with a variety of restaurants, ranging from small, local shops to national chains such as McDonalds or Taco Bell. Customers can order from a network of 300,000 restaurants across 4,000 U.S. Grubhub is an online food-ordering and delivery marketplace.

Grubhub seamless charge paypal