Amazon testing a new restaurant-delivery service

Amazon is trying its hand at a new restaurant-delivery service, according to a new report in GeekWire.

While the retailer launched a meal-ordering system through its existing Amazon Local platform in December, restaurants themselves were responsible for handling delivery and many participated in a takeout-only capacity. Amazon’s latest tack indicates the company’s first full foray into third-party restaurant delivery, as delivery is tied to the company’s expanding Prime Now service, which drops off customer orders in less than one hour. The test is quietly underway in Seattle, where Amazon is based.

Several new Prime Now drivers told GeekWire that they’re the ones handling restaurant deliveries, and a sign observed by the media outlet in Amazon’s Prime Now distribution warehouse provided Seattle drivers with instructions on how to make restaurant pickups.

Amazon’s shift into third-party restaurant delivery would pit the e-commerce giant against companies such as Postmates and GrubHub, as well as meal-delivery newcomers Groupon To Go and UberEATS.

An unnamed restaurant participating in the test told GeekWire that the service was currently available to Amazon employees only but could be introduced to other customers in the future. 

Members help make our journalism possible. Become a Restaurant Business member today and unlock exclusive benefits, including unlimited access to all of our content. Sign up here.

Multimedia

Exclusive Content

Financing

Despite their complaints, customers keep flocking to Chipotle

The Bottom Line: The chain continued to be a juggernaut last quarter, with strong sales and traffic growth, despite frequent social media complaints about shrinkflation or other challenges.

Operations

Hitting resistance elsewhere, ghost kitchens and virtual concepts find a happy home in family dining

Reality Check: Old-guard chains are finding the alternative operations to be persistently effective side hustles.

Financing

The Tijuana Flats bankruptcy highlights the dangers of menu miscues

The Bottom Line: The fast-casual chain’s problems following new menu debuts in 2021 and 2022 show that adding new items isn’t always the right idea.

Trending

More from our partners