American food delivery startup, Grubhub is offering users the opportunity to earn free Bitcoin on every order they make.
Users on the app get $5 worth of Bitcoin for their first order and $1 for subsequent orders.
This initiative results from Grubhub’s partnership with another startup, Lolli. Lolli gives customers free Bitcoin when they shop at eligible stores.
Grubhub users have to accrue up to $15 worth of Bitcoin before they can withdraw it to their wallets. In essence, it’d take a new user about 11 deliveries to make up to the minimum withdrawable amount.
Customers must download the Lolli app or browser extension before placing their orders to qualify for the reward.
Lolli’s Co-founder and CEO, Alex Adelman, said to Business Insider, “Lolli’s mission is to make Bitcoin more accessible to all and in order to do that, we must make Bitcoin a part of everyday life.
Food delivery is a ritual for many and Bitcoin rewards makes Bitcoin a part of that ritual.
Giving users Bitcoin rewards on every Grubhub order is an incredible milestone for Bitcoin adoption, making earning Bitcoin easier and more accessible than ever.”
Since its launch in 2018, Lolli has collaborated with over 1,000 top retailers worldwide, including Microsoft, Macy’s, Nike, and Sephora. The new company has signed on over 400,000 shoppers so far.
Both companies stand to benefit a lot from the partnership.
Grubhub, which has just a 15% market share of the US food delivery market, according to Bloomberg’s Second Measure, has been looking for ways to actively increase its user base.
Food delivery giants, Uber Eats and DoorDash have been leading the consumer food delivery race with 25% and 57% market share, respectively.
Research has shown that few customers are loyal to one food delivery provider. They shop based on restaurants, price, and availability.
This battle for food delivery market share has led to aggressive promotion campaigns and companies offering exclusive deals with restaurants to try and gain loyalty amongst users.
Grubhub giving free Bitcoin as a reward could be a way for it to convert more customers who use food delivery.
For Lolli, they stand to gain many customers from mining Grubhub’s user base.
As Grubhub’s customers use the product to get the rewards, they automatically opt into being Lolli users.
Gifting cryptocurrencies seems to be increasing in popularity. Many more people are being introduced to cryptocurrencies and made crypto investors for free.
This exposure helps with the mainstream adoption of Bitcoin and other cryptocurrencies. As people interact and interface with the new technology in their everyday lives, they understand it more.
