GrubHub, Uber Eats lead US food delivery sector as Amazon invests in UK's Deliveroo

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Amazon’s investment in British food delivery firm Deliveroo sets up an overseas clash in the competitive sector, but GrubHub and UberEats are still the industry leaders when it comes to the U.S.

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The e-commerce giant led a $575 million investment round in Deliveroo, which said it will use the money to build out its U.K.-based engineering team, expand its delivery network and develop new products for customers. While Deliveroo did not disclose its latest valuation, the firm has now raised $1.53 billion to date.


"This new investment will help Deliveroo to grow and to offer customers even more choice, tailored to their personal tastes, offer restaurants greater opportunities to grow and expand their businesses, and to create more flexible, well-paid work for riders,” Deliveroo founder and CEO Will Shu said in a statement.

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GRUBGRUBHUB INC63.94-1.97-2.99%

Deliveroo is active in the 14 markets, including the U.K., where it has directly competed with Uber Eats since 2016. However, the Amazon-backed company does not have a presence in the U.S., where GrubHub and Uber’s food delivery service own the majority of the market.


The five leading third-party food delivery services generated a total of $10.2 billion in U.S.-only sales in 2018, according to data compiled by research firm Technomic. FOX Business breaks down the top food delivery companies based on their share of U.S. revenue below.

GrubHub – 45 percent (about $4.6 billion)

UberEats – 23 percent (about $2.35 billion)

DoorDash – 19 percent (about $1.94 billion)

Postmates – 9 percent (about $918 million)

Caviar – 4 percent (about $408 million)

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