Lunchbox acquires Spread; will launch commission-free delivery platform for small businesses

Joanna Fantozzi

Digital ordering platform and known third-party delivery opponent, Lunchbox, announced Tuesday the acquisition of New York City-based digital marketplace, Spread.

With the acquisition of the restaurant-run alternative to third-party delivery, Lunchbox will be able to build a commission-free delivery platform with mom-and-pop restaurants in mind. Until now, Lunchbox had focused its attentions on multiunit restaurant customers, and now will be able to help “restaurants of all sizes” become more independent in their off-premises offerings.

"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 a statement. "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 was created in late 2020 as a New York City-based digital ordering platform and currently has more than 1,500 restaurant members. The service charges flat fees of $1-$2 per order, instead of the larger 15-30% commission fees that Grubhub, DoorDash, and Uber Eats have become known for.

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"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 a statement. "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.”

As a result of this acquisition, Lunchbox said that it will be focusing on creating a “next gen ordering platform” built by restaurants, that will work for either larger restaurant chains or small independent businesses. 

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