Kitchens operated by CloudKitchens broaden their office lunches service through acquisition of a rival company in Texas.
In a recent development, Picnic, an innovative office lunch delivery service, has announced its expansion into all major U.S. cities. The cities now served include Los Angeles, the Bay Area, Phoenix, Chicago, New York City, Austin, and Houston.
This expansion marks a significant step for Picnic, which aims to deliver more value to its clients by scaling its offerings, as stated by CEO Garrett Serviss.
Picnic's unique selling point is its batching technology, which groups all office lunch orders together and delivers them simultaneously to a designated pickup shelf. This system eliminates delivery fees and tips for customers, while optimising delivery efficiency by consolidating multiple orders in a single batch instead of delivering them individually.
The company's growth strategy includes acquiring local competitors to strengthen its presence. Last week, Picnic took over the operations of Austin-based competitor Colorfull, which offered office lunch delivery from over 40 mom-and-pop restaurants.
Customers can now order lunch from over 50 restaurants through Picnic, with all orders delivered together to a designated pickup shelf using Picnic's "unique batching technology." The service is free of delivery fees and tips, making it an attractive option for offices looking to provide lunch for their employees.
Arin Aghazarian, Head of Picnic, expressed excitement about welcoming new customers and ensuring a seamless and positive experience. The corporate catering market has rebounded after the pandemic, as companies look to lure employees back to the office.
Picnic's entry into the corporate catering market could be seen as a complement to CloudKitchens' ghost kitchen operation. CloudKitchens, with which Picnic is affiliated, provides kitchen space and technology for delivery-only restaurants.
However, Picnic has faced legal challenges in the past. Last year, San Francisco-based salad chain Mixt filed a lawsuit against Picnic, claiming that the company was reselling its food without permission. Picnic called the lawsuit "fraudulent" and said it is no longer pursuing business with Mixt.
Despite this setback, Picnic continues to make strides in the corporate catering market. The company recently inked a deal with the Hudson Yards office complex in New York City, further solidifying its position as a leading player in the industry. As Picnic expands, it looks set to revolutionise office lunch delivery logistics, offering a more efficient and cost-effective solution for businesses across the U.S.
The expansion of Picnic into major U.S. cities signifies a strategic move to implement their unique batching technology on a broader scale, aiming to deliver efficiency and cost savings to businesses.
With the incorporation of this technology, Picnic provides a seamless office lunch delivery service that eliminates delivery fees and tips, making it an attractive option for companies in the corporate catering market.
