GoPuff Wants to Bring the Convenience Store to Your Door

Unlike other ultrafast grocery delivery startups, GoPuff aims for the gap between the supermarket and the bodega

Kevin LaBuz
Marker

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Photo by Rowan Freeman on Unsplash

While Amazon is raising grocery delivery prices, investors are throwing billions at startups offering ultrafast, cheap grocery delivery. A look at GoPuff, one of the pioneers in the space.

Inflation Is Real

On October 25th, Amazon raised prices for Whole Foods grocery delivery, to the consternation of yuppies everywhere. Two-hour delivery, formerly free for Prime Members, now costs $9.95. It also raised the price of one-hour grocery delivery to $14.95 from $9.95. Inflation is real.

Source: Amazon

According to Amazon, the delivery fee covers operating costs, including equipment and technology associated with grocery delivery, and helps keep grocery prices competitive. Prime members can still shop online and pick-up orders over $35 at Whole Foods for free. Amazon might be tipping its hand here.

There are two steps in fulfilling an online grocery order:

  • Picking & Packing: This…

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Kevin LaBuz
Marker

Head of IR & Corporate Development at 1stDibs. Previously finance at Etsy, Indeed, and internet equity research at Deutsche Bank. Find me on Twitter @kjlabuz.