Uber Eats is partnering with delivery service Gopuff to expand its product selection, adding to its growing arsenal of verticals that includes restaurants, alcohol, grocery and convenience.
Starting next month, users of the Uber Eats app will be able to order from Gopuff's assortment of "everyday essentials," including food, drinks, home products and pet supplies. Gopuff will handle the actual delivery from its network of 250 micro-fulfillment centers.
The partnership will launch in more than 95 cities and go nationwide later in the summer, the companies said.
The deal brings together two of the largest on-demand delivery providers in the U.S. and sets them up to take a bigger piece of the convenience pie. Gopuff owned about a quarter (23%) of all convenience store deliveries in January, according to Edison Trends. DoorDash led the way with 60%, Uber Eats had 9% and Instacart, 4%.
"With this partnership, we are able to leapfrog the competition in using Gopuff’s network of micro-fulfillment centers to instantly meet consumer demand for thousands of products," said Raj Beri, Uber’s head of grocery and new verticals, in a statement.
Last month, Gopuff raised $1.15 billion to help it become "the world’s go-to solution for everyday needs." The partnership with Uber Eats should help it drive trial and revenue.
"Everything we do at Gopuff is for our customers, and this partnership brings Gopuff’s unique assortment, affordable prices and fast delivery to even more people nationwide," said Daniel Folkman, SVP of business for Gopuff, in a statement.
Gopuff delivers thousands of products from its fulfillment sites in more than 550 cities. The average delivery takes 30 minutes to complete, and customers pay a flat $1.95 delivery fee. The company operates more than 400 fulfillment centers between its own sites and locations of the BevMo liquor retailer, which it acquired last year. Many of them are open 24/7.