Dive Brief:
- Gopuff announced Monday that it now offers customers who subscribe to its Fam membership program an average savings of 30% off more than 100 “top-selling essentials” like eggs and laundry detergent.
- To further amplify the program’s value image, the quick delivery company is also offering weekly deals as well as discounts of at least 10% on all of its private label products for Fam members.
- Gopuff is aiming to boost its $7.99-per-month Fam membership program as it has struggled to reach price-sensitive consumers who have pulled back on e-commerce shopping.
Dive Insight:
As Gopuff, the largest player in the rapidly declining quick commerce industry, looks to regain its footing, it’s focusing on a membership program that accounts for nearly 50% of all orders.
The new “Lower Than Low Prices” discount initiative targets everyday items that people regularly order, and could help Gopuff become more of a regular shopping destination for its members instead of just a storefront for impulse purchases of snacks and drinks.
The company’s press release noted that members can buy a dozen organic eggs for $2 through the discount program. Recent weekly deals include 40% off Rao’s marinara sauce and 60% off Sweet Street cookies, while private label discounts on Basically dish soap and toilet paper selections amount to 30% below the national average, according to the announcement.
Gopuff now offers its Fam member discounts, as well as discounts for non-members, in a “Deals Center” tab on its app.
After experiencing explosive growth during the height of the coronavirus pandemic, Gopuff’s performance has cooled considerably over the past year and change. Last summer, the company laid off hundreds of workers and closed dozens of its fulfillment centers. Other rapid delivery firms have shuttered or scaled back considerably as shoppers have returned to stores and capital funding has dried up.
Despite these challenges, Gopuff appears to be attempting to adjust its business to the revised consumer landscape. According to a June report from The Information, the firm, which touts delivery in 30 minutes, is focused on boosting gross margins and aims to turn a profit by sometime next year.
