Amazon, Grubhub sign deal for free delivery for Prime members

Amazon Prime members will get a new perk when they are hungry.

The online retailer has signed a deal with Grubhub that will give Prime members a free one-year membership to the food delivery service’s Plus service.

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Grubhub+ gives its subscribers free delivery on orders of $12 or more from many restaurants, Fortune reported.

The normal cost for Grubhub+ membership is about $120 annually.

The agreement isn’t just a benefit for consumers.

Amazon will have an option to acquire 2% of Grubhub with a maximum amount set at 15%, The New York Times reported.

Just Eat is the current owner of Grubhub and it’s looking to sell the food delivery service about two years after Just Eat purchased Grubhub for $7.3 billion, according to the newspaper.

Grubhub accounts for about 13% of food deliveries in the U.S., as of May. Competitor DoorDash accounts for about 60% and Uber Eats has 24% of the market, according to Bloomberg Second Measure.

Amazon Prime members already get other food-related perks including grocery discounts at Whole Foods, CNBC reported. Amazon also offers a deal with European delivery company Deliveroo, which gives Prime members a free membership for Deliveroo Plus service.