Amazon integrates Uber Eats into Prime service, replacing Grubhub

Amazon announced Thursday that it is adding Uber Eats to its list of services for Prime members in the United States. The agreement, which takes effect immediately, permits customers to place orders from hundreds of thousands of restaurants directly through the Amazon.com website and the retailer's mobile application. According to a joint release from the two companies, Prime members will incur no delivery fees for orders exceeding $25.

The partnership provides an introductory incentive for new users of the feature. For the first 14 days, Prime members can receive $20 off their first two Uber Eats orders, provided each order totals at least $25. This promotional period is designed to encourage immediate adoption of the new delivery channel within the existing Prime ecosystem.

This move marks Amazon's second strategic partnership with a restaurant delivery platform. The company previously added Grubhub to its Prime benefits in 2024. With the Uber Eats integration, the Grubhub offer for Prime customers will cease operations. Amazon currently charges subscribers $14.99 per month or $139 per year for the Prime membership, which includes free shipping on eligible items.

Andrew Macdonald, president and chief operating officer of Uber, addressed the collaboration in the joint release. He stated that the companies built an experience for Prime members designed to make restaurant delivery feel as natural, convenient, and affordable as ordering anything else on Uber Eats.

The announcement occurs against a backdrop of significant consolidation in the food delivery sector. Last month, DoorDash revealed it is offering $17 billion to acquire Instacart. The deal aims to combine DoorDash's global logistics reach with Instacart's technology and grocery store relationships. This acquisition could help the merged entity compete more effectively against rivals entering the restaurant delivery market.

Walmart, another major retailer, has pursued its own restaurant delivery strategy. The company partnered with Subway, its largest in-store restaurant tenant, this past summer. Since then, Walmart has expanded its platform to select locations at Dunkin' and Papa Johns. Greg Cathey, Walmart's senior vice president of e-commerce transformation, reported that the platform now hosts 2,400 restaurant locations. He noted that 65% of orders placed through the service have included additional items from the Walmart store.