Amazon dives deeper into food delivery with a new Olo partnership

By Lulu Chang September 23, 2017

amazon olo food delivery beyond burger

Fresh off its acquisition of Whole Foods, Amazon is making moves once again to disrupt the food industry. While it may not be as good for your wallet (or your waistline) as Amazon’s recent purchase, it’ll certainly be great for your belly and hanger pangs. Thanks to a new partnership with Olo, a company focused on digital orders, you could get Shake Shack, Chipotle, and your other favorite fast foods delivered to your doorstep.

Olo is the main ordering software provider for some 200 restaurant brands with around 40,000 locations across the U.S., which means that Amazon could soon be reaching a large swath of convenience-seeking Americans. While Italian eatery Buca di Beppo is currently the only Olo customer that has confirmed that it will use Amazon for delivery purposes, it’s likely that more will soon follow.

Related Videos

But wait, you say — hasn’t Amazon been offering one-hour restaurant delivery for quite some time now? While the answer is “yes,” the problem is that few restaurants have actually signed on to the service, which means that customers have a relatively limited number of choices for delivery. This contrasts sharply with other delivery platforms like GrubHub or Caviar, which have a much larger selection of restaurants available. However, the addition of Olo could change all of this.

GrubHub investors are certainly aware of this potential shift, as shares of the company fell 7.3 percent after news of Amazon’s new partnership broke. And given that fast-food delivery orders are expected to account for more than $35 billion in business by 2020, it’s no wonder that the Seattle-based tech giant is looking to get in on the game.

To make things easier still on customers, Amazon has recently announced an integration of Amazon Restaurants with its popular Alexa-enabled Amazon Echo, which means that you could say, “Alexa, order me a Chipotle burrito,” and have said burrito at your front door in a matter of moments.

“We’re thrilled to work with Amazon to provide Olo’s base of restaurant customers with a new delivery sales channel that drives increased visibility,” Noah Glass, Founder & CEO of Olo, said in a press release. And trust us, you’ll be thrilled, too.

Editors' Recommendations

Topics

Smart Home

Why Amazon acquiring iRobot will make Roombas even better

The iRobot app overlaid on a Roomba.

You've probably seen the news by now that Amazon has signed an agreement to buy iRobot for $1.7 billion. There have been a lot of mixed reactions to the news, but it's important to understand exactly what the agreement means.

First of all, the deal isn't complete. As of now, iRobot is still an independent company -- only the groundwork has been laid. While it's highly unlikely that it will fall through, nothing is set in stone yet. According to Amazon's own press release, "Completion of the transaction is subject to customary closing conditions, including approval by iRobot's shareholders."

Smart Home

Amazon to buy Roomba maker iRobot for $1.7 billion

Cliff sensors on iRobot Roomba E5 prevents falling off stairs.

Hot on the heels of its acquisition of a health care company, Amazon has announced its intention to purchase iRobot in an all-cash deal worth $1.7 billion. Amazon will pay $61 per share for the maker of the popular Roomba robot vacuums.

“We know that saving time matters, and chores take precious time that can be better spent doing something that customers love,” Dave Limp, senior vice president of Amazon Devices, said in a press release. “Over many years, the iRobot team has proven its ability to reinvent how people clean with products that are incredibly practical and inventive -- from cleaning when and where customers want while avoiding common obstacles in the home, to automatically emptying the collection bin. Customers love iRobot products -- and I’m excited to work with the iRobot team to invent in ways that make customers’ lives easier and more enjoyable.”

News

Ouch! Some Amazon Prime members face a 43% price hike

Some Amazon Prime customers in Europe are about to see the cost of their subscription rise by 43%.

According to Reuters, Amazon Prime members in the U.K., for example, have been told the annual fee will increase from 79 British pounds to £95, marking a 20% hike, while the monthly fee will rise from £7.99 to £8.99. Customers in Germany will see a 30% rise in the Prime fee to 89.90 euros, marking a 30% increase on the current annual fee, while Prime members in France face a 43% hike that will push their annual fee of 49 euros to 69.90 euros. Customers in Italy and Spain are also facing similarly steep increases.