Grubhub’s $10 off promo forces restaurants to front the discount costs

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Author: Natt Garun

Grub Hub advertisement seen displayed on a smart phone. Grub
Photo Illustration by Igor Golovniov/SOPA Images/LightRocket via Getty Images
Grubhub announced last week that, between the hours of 5 to 9 PM, customers could order takeout or delivery through its platform and receive $10 off orders of $30 or more. It sounds like a good deal, until you realize that while Grubhub is promoting the offer on behalf on restaurants, it’s also contractually forcing those business owners to eat the cost of that discount for every eligible order. (Disclosure: my parents are restaurant owners that list their business on Grubhub / Seamless.)

Under Grubhub’s Supper for Support program terms and conditions, the fine print says that while restaurants must opt into the program, they also have to agree to fund the $10 discounts — or roughly 30 percent off the cost of one order if the customer...

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