Postmates Signs Deal With Chipotle To Provide Delivery Service
Postmates will be delivering to select areas soon. Be ready to pay for the service, however.
According to the Huffington Post, Chipotle, during their conference call, announced they have made a deal with the delivery app Postmates, which is based in San Francisco, California. Postmates delivery will be available in 66 cities across the country. A Chipotle burrito can now be brought to your door.
Postmates has already been delivering Chipotle goods to people already. Postmates is more of a food courier, going to any restaurant or store to deliver to customers within a certain area. It is believed that Postmates delivered almost $500,000 of Chipotle delights within the first fiscal quarter of this year.
However, only restaurants that have partnered with Postmates have provided the delivery service with full menus and important information, such as telephone numbers and business hours. Now you simply point and choose and the delivery will be made. It will not be cheap, to be sure.
For example, let’s say you order a carnitas burrito with guacamole for a total of $9.10. For Postmates to deliver your dinner, there will be a fee between $4.99 to $7.99, depending on the size of the order. There may also be a percentage service fee, depending on what is ordered and distance of delivery.
Postmates has worked out a similar deal with Starbucks. Postmates will start delivering lattes later this year.
The New York Post is reporting that this is a major move for Postmates, which has a fleet in excess of 10,000 couriers delivering restaurant food, groceries, office supplies, and other goods for those that use the app. Since its inception, Postmates has forged its way past delivery services like GrubHub and Yelp. Chipotle’s partnership with Postmates should establish Postmates as the frontrunner in the delivery business.
For Chipotle, it provides them with an in-store delivery service without the headaches of running delivery out of the restaurant. In the past, they used services like Postmates or Doordash. Now, Chipotle has its own delivery service.
“There have been a lot of people that have been delivering Chipotle through various services over the years and we’ve tried in a lot of cases to shut them down,” said Mark Crumpacker, Chipotle’s chief marketing and development officer. “We weren’t sure whether the quality was going to be sufficient or whether they were following our rules.”
Crumpacker says Chipotle has seen a 30 percent increase in month-over-month delivery sales since Postmates started delivering Chipotle goods. This prompted Chipotle to get a deal nailed down so they can perhaps increase that number.
[Image courtesy of Digital Trends]