Just Eat Takeaway.com NV (LSE:JET, NASDAQ:GRUB) has entered into an agreement that allows for US-based Amazon Prime members to get free takeaway deliveries.
Grubhub is Just Eats’ US business and as part of the agreement, Prime members can sign up for a free, one-year Grubhub+ membership, with unlimited US$0 delivery fees from thousands of restaurants.
Additionally, Grubhub+ members will get access to member-only perks and rewards, according to a statement.
Just Eat added that the agreement will have a “neutral impact on Grubhub’s 2022 earnings and cash flow and be earnings and cash flow accretive for Grubhub from 2023 onwards.”
The contract will automatically renew each year, with Amazon receiving warrants representing 2% of Grubhub’s shares, and an additional 13% of shares conditional on the deal bringing extra customers to the delivery service.
“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,” said Grubhub chief executive Adam DeWitt.