Online delivery service Postmates announced that it has expanded to 1,000 new cities since December 2018. The new locations include Santa Cruz, CA, Jacksonville, NC, and Stillwater, OK. Postmates is now available in 350 cities across all 50 US states. The company delivers to 70 percent of U.S. households from over 500,000 restaurants.
Postmates is trying a variety of ways to grow its reach. The company recently launched a new feature called Postmates Party, that lets customers within the same neighborhood pool their orders. This is in addition to the popular subscription service Postmates Unlimited. For $9.99/month or $95.88/year, members receive free delivery on orders from all merchants on the platform when the order size is over $15. Postmates is also adding to its partnerships; fast food fried chicken chain Popeyes, is their newest partner.
Postmates and AEG Presents inked an exclusive, multi-year partnership to offer on demand service at Coachella Valley Music and Arts Festival for food, beverages and festival merchandise. Beginning this year, guests were able to place orders through the festival’s mobile app and skip the ordering line to quickly pickup their purchases.
The online delivery service is ramping up to file an initial public offering later in 2019. Earlier this month, Uber, the parent company of main competitor, Uber Eats filed for an IPO. Currently, Uber Eats has partnerships with some of the biggest fast food companies in the US such as Starbucks, McDonald’s and Subway. The likely capital injected into Postmates and Uber Eats after IPO sales is sure to heat up the online food delivery platform clash.
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