Operations

Lunchbox gobbles up Spread

Photo by istock.com

August 4, 2021

Online ordering engine Lunchbox has acquired online marketplace Spread which offers delivery and take-out services.

The move lets Lunchbox build a no-commission delivery platform option as there are no commissions to third-party apps, according to a press release.

Lunchbox serves multi-unit restaurants, but with the acquisition the company can now service restaurants of all sizes, including single-location and mom-and-pop eateries which often rely on third-party delivery providers.

"Together with Spread, we're creating a no-commission marketplace for the restaurant industry which is an absolute game-changer as they can keep profits in-house," Nabeel Alamgir, CEO and co-founder of Lunchbox, said in the release. "Restaurants will no longer have to give up 15-30% of their online order costs in order to compete with other restaurants and keep their doors open. Now they can process orders online completely free, and create more meaningful relationships with customers as they now have access to diner data."

Spread launched in 2020 in New York City with 1,500-plus restaurants on the platform and $3 million-plus in orders.

"We created Spread to answer the question: What would it look like if restaurants banded together and built their own marketplace?" Andy Wang, co-founder and CEO of Spread, said in the release "With this acquisition, we're able to bring our platform to millions of diners who want access to a more ethical delivery platform that helps restaurants stay profitable. I'm thrilled to be joining the Lunchbox team to spearhead this new platform and help restaurants see greater returns."