In recent local news, Grubhub turns out to be adding restaurants in their app unilaterally. In Warren, Rhode Island, Jack’s Family Restaurant has been informing their customers that when their order is placed through the food-delivery app, the listed prices and menu items are often wrong. This frustrating issue with Grubhub makes Maria Gomes from Jack’s Family Restaurant question the app’s intent, if it is capitalizing as the demand grows this pandemic.
In Loveland, Colorado, the same problem occurred as owners of a local bakery had no idea they were listed in Grubhub. They only started realizing it when delivery drivers started showing up at their bakery’s doorstep. Amber Cronin of The Cupcake Gypsies said, “No call. No email. I’ve never contacted [Grubhub]. The menu wasn’t current because our menu changes every other day. The hours were wrong on the listing.” She also added that she immediately called Grubhub’s customer service but did not receive the help she needed.
Turns out, this is a trend in third party delivery companies like Grubhub and the company has acknowledged this event, even stated previously that "Starting in late 2019 in select cities across the country, we’ll add restaurants to our marketplace when we see local diner demand for delivery so the restaurant can receive more orders and revenue from deliveries completed by our drivers.”
“This is a model that other food delivery companies have been doing for years as a way to widen their restaurant supply, and we’re trying it as well to close the restaurant supply gap created by our competitors," the company added.
Unfortunately, none of these businesses are happy about Grubhub’s idea as it could potentially do damage to them. Grubhub is expected to release its 2nd quarter financial results on July 30.