Food delivery startup, Postmates, is making a major move in the ever growing tech space. Today, the food delivery start up announced that it would expand its app to include service in one hundred more cities across the United States. Despite rumors from back in 2015, the expansion will not include cities outside of the red, white and blue. However, the San Francisco based start-up’s operation will expand to include cities like Omaha, Lincoln, Memphis, Cleveland, Cincinnati, Charleston, Saint Paul, Newark, Lexington, Tallahassee, Savannah, Detroit, Jacksonville, Pasadena, Salem, Birmingham, Boise, Salt Lake City, Yonkers and Tulsa among others.
In a blog post published earlier today, Postmates wrote, “Thanks to our largest U.S. expansion to date, 135 million people can now have anything, anywhere, anytime. With over 250,000 partners, we offer a broad selection of local restaurants, retail stores and neighborhood shops?—?all while supporting local businesses and competing with e-commerce goliaths.”
In addition to expanding its geographical reach, the food delivery app will also expand its coverage of Chipotle. The restaurant chain will add three hundred more locations as the delivery service expands. Luckily, the app will also waive delivery fees for the restaurant chain until July 15th as part of the the expansion. When asked about the expansion of Chipotle services, Dan Mosher of Postmates said, “Chipotle is one of the most popular merchants on the Postmates platform. We are thrilled to grow this relationship, drive down the cost to our shared customers and increase our reliability together.” He also said, “We’ve already delivered over 1 million of their burritos and 2 million of their burrito bowls to our customers and we will continue to ensure that their food is delivered just the way our customers want it.”
This expansion comes at an interesting time for the food delivery space. Many tech insiders are speculating that many of the smaller food delivery services will look to merge in the near future in order to compete with Amazon and Uber. Specifically, there are numerous rumors floating that Door Dash and Postmates will look to merge in the near future. As Postmates expands and Door Dash looks to finalize a deal with Wal-Mart, it will be interesting to see if the two food delivery service apps look to merge.
