DoorDash’s aggressive push into the grocery space continued Monday when it announced a deal with Grocery Outlet Holding. DoorDash will provide delivery service through its DashPass service.
Grocery Outlet said 398 locations will be part of the program.
“DoorDash is committed to providing customers with all the selection they crave at affordable prices in a way that’s convenient for them and their families,” said Shanna Prevé, vice president of business development at DoorDash. “As consumers face rising prices, we’re thrilled to partner with Grocery Outlet to provide consumers across the country with a new way to purchase more affordable groceries while maximizing their budgets. With this partnership, consumers can find and enjoy even more affordable grocery selection on our marketplace.”
AWG boasts over 1,000 member companies with more than 3,400 locations in 31 states.
“Based on third-party data, we estimate our business currently addresses global markets with more than 300 million households and 750 million people, total restaurant spend of over $1 trillion and total grocery and convenience spend of over $2.5 trillion,” DoorDash said in a shareholder letter accompanying the earnings. “Based on those estimates, we believe the Wolt and DoorDash Marketplaces currently represent just 5% of restaurant spend in these markets and well under 1% of convenience, grocery and non-food spend.”
The company said it believes it has a “large opportunity for growth” in the space.
