Grubhub is launching a dine-in rewards program
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Grubhub will soon do more than to-go. Photo courtesy of Grubhub
Grubhub customers will soon be able to get rewards when they dine out.
The food delivery company on Thursday is launching The Drop: a weekly program that will offer users Grubhub credit when they dine at a rotating cast of restaurants.
It’s Grubhub’s first move into in-person dining, and follows similar efforts by rivals DoorDash and Uber Eats to capture more restaurant occasions beyond delivery.
Here’s how The Drop will work:
Every Thursday, customers will get up to three “personalized offers” from nearby restaurants within the Grubhub app. They can claim one, eat at the restaurant to redeem it, and get Grubhub credit. They just have to pay the bill with a card that is linked to their Grubhub account.
For example, The Drop may offer $5 off a $20 purchase at a restaurant. Once the customer has claimed it and paid their bill, the $5 reward will go into their Grubhub account to put toward future orders.
Grubhub declined to provide specifics on how the economics of the program will work, but said restaurants will only pay when a diner walks in and spends. There are no upfront costs or fees for restaurants to participate.
The Drop is designed to strengthen Grubhub’s offering for customers and help drive repeat orders for restaurants for both delivery and dine-in.
It builds upon Grubhub’s acquisition of Claim, a restaurant rewards app that specializes in cash-back rewards. It’s the first time Grubhub will use Claim’s tech in a consumer-facing product.
The Drop is launching this week on a limited basis. Select customers in New York City and Chicago will get their first set of restaurant offers on Thursday. That will continue for several weeks, and then The Drop will be rolled out to all Grubhub users in those markets.
Initial restaurant participants include Tacombi, Juice Generation, Chopt Creative Salad Co., Dig Inn, Dos Toros, Momoya, 7th Street Burger, Pokeworks, and more.
Both DoorDash and Uber Eats also offer similar dine-in rewards program that give customers credits to spend in the future.
