QSR Magazine: How Amazon’s Delivery Could Disrupt the Quick-Service Industry

Big-name companies like Amazon, Uber and Yelp are all helping to spread delivery service across American cities. But in late February, Amazon gave a lot of companies a run for their money by rolling out its Amazon Restaurant delivery service to many neighborhoods throughout Washington D.C.

The rollout gave Amazon Prime customers in the nation’s capital access to more than 150 restaurants. Since launching the service in Seattle in 2015, Amazon Restaurants has grown to serve Prime customers in 20 cities across the country. But most notably, however, is that this delivery service comes with the same customer service promise that loyal Amazon Prime members have come to rely on.

“Unlike some situations where a driver makes two more runs before taking the order, the reality is Amazon can’t afford to take that chance,” said Arianna Bennett, a restaurateur in Washington D.C., to QSR Magazine.

But with more and more delivery services all vying for the attention of customers, Aaron Allen, the CEO of global restaurant consulting firm Aaron Allen & Associates, expects an impending wave of consolidation among delivery service providers, eventually growing to resemble the way the market share of airlines, cell phone carriers and hotel chains is concentrated among a few large players.

So what does this mean for restaurants? Allen says they should expect a disruptive change.

“For quick service, it’s more significant and important than the drive-thru was,” Allen told QSR Magazine.

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