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DoorDash acquired Chowbotics to expand fresh meal offerings
DoorDash buys Chowbotcs, an automated salad vending machine company, to expand its fresh meal offerings. The acquisition was announced on Feb. 8, and it was revealed that the deal was actually signed late last year.
DoorDash’s vision with its new acquisition
DoorDash, an American food delivery service, did not mention how much it spent on buying Chowbotics. Although the financial aspect of the deal was not disclosed, it is understood that all of Chowbotics staff will now work as DoorDash employees. Then again, the automated food prep firm will continue to operate independently under its new owner.
“We’re working on solutions to help merchants grow in an ever-challenging and changing landscape, and with Chowbotics we hope to enhance that level of support and empowerment we can provide to restaurants big and small,” Penn Daniel, DoorDash’s general manager, wrote in a blog post.
He went on to state, “The added expertise of the Chowbotics team allows us to continue to create new ways to bring customers everything in their local neighborhoods.”
DoorDash co-founder Stanley Tang also said that they admired Chowbotics for its innovative product and what it did to make fresh meals more accessible in strategic locations. They are happy to acquire the company because they believe Chowbotics will allow DoorDash to get new customers by offering a new type of service.
DoorDash is planning to use Chowbotics' robots in offering more meal choices through its restaurant partners. Its convenience store affiliates can also start expanding their fresh food items through the robots.
About Chowbotics and DoorDash
DoorDash has a big share in the food delivery business in the U.S. It is a competitor of Grubhub and UberEats. Its profits increased last year since people only order food for delivery after the lockdowns were imposed.
On the other hand, Fox Business mentioned that Chowbotics was founded seven years ago, and it is known for its robot called Sally. The fresh food vending machine can hold up to 22 prepared ingredients and can make 65 salads and meals at a time. The company has sold about 125 Sally robots to grocery stores, school campuses, and medical centers, and each unit costs $35,000.
After the acquisition, Rick Wilmer, Chowbotics CEO, stated that DoorDash will surely help the company grow further since the delivery firm is affiliated with around 390,000 merchants not just in the U.S. but in Australia and Canada as well.