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Friday, Feb 3, 2023
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Delivery Service Expands to San Diego

Gopuff, the Pennsylvania-headquartered instant delivery service, has expanded operations to San Diego County. With an estimated revenue of $1 billion a year, Gopuff has launched five micro-fulfillment centers across the San Diego area following the company’s recent acquisition of all 161 BevMo! Stores throughout California, Arizona and Washington. The expansion will serve 22 communities locally, according to the company, including Carlsbad, Del Mar, El Cajon, Encinitas, Escondido and Spring Valley.

Since launching in 2013, Gopuff has seen a double digit increase month-over-month on both order volume and new users. Entering the San Diego market will positively impact the company’s overall growth and add about a dozen jobs per micro-fulfillment center.

Tremendous Customer Interest

“We are excited to bring Gopuff to communities across Southern California, including San Diego, where we’ve already seen tremendous customer interest,” said Daniel Folkman, SVP of business at Gopuff. “Whether you’re looking for cleaning products, the entertaining essentials you love from BevMo! Or local favorites like Bird Rock Coffee, we’re ready to bring locals what they need, when they need it.” Added Jeff Taylor, owner of La Jolla-based Bird Rock Coffee: “We’re thrilled to be partnering with Gopuff to bring Bird Rock Coffee to people across San Diego County in a matter of minutes. If you don’t have time to stop in to one of our cafes, Gopuff makes it easy to get our specialty coffee delivered instantly.”

From thousands of items including snacks, beverages, groceries, household goods, over-the-counter medications, personal care, school supplies, pet supplies and more, Gopuff customers can get their essentials and local favorites delivered in about 30 minutes. All orders are accessible through the Gopuff mobile app or Gopuff.com and can be delivered for a flat delivery fee of $1.95.

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$350 Million

In December, Gopuff acquired BevMo!, the alcoholic beverage specialty retailer headquartered in California, for $350 million. Earlier this month, the delivery unicorn start-up announced it had raised another $1 billion, growing its valuation to $15 million. Previously, Gopuff had raised $1.35 billion in total funding, including a $380 million round completed last year, that valued the company at $3.9 billion, according to TechCrunch.

Via its BevMo! acquisition, Gopuff is expanding its network of local micro-fulfillment centers on the West Coast. The company is integrating its proprietary technology and delivery solution with BevMo!’s established infrastructure. This integration is what is allowing Gopuff to bring San Diego immediate delivery of everyday items, joining the more than 850 cities the company already serves.

As per BevMo!, customers can continue to shop at the stores across the region and/or order from BevMo!’s inventory by way of Gopuff. Additionally, BevMo! stores will now carry and sell a wide range of items that are also available on Gopuff, including Bird Rock Coffee and Phil’s BBQ sauce.

On the back-end, Gopuff operates like a tech-enabled store, according to a company spokesperson. It purchases products from partners, like a wholesaler, at an agreed-upon price. Partners then drop off inventory at Gopuff’s micro-fulfillment centers regularly.

Go-To Solution

Gopuff was founded in 2013 by Rafael Ilishayev and Yakir Gola, when the two were attending Drexel University in Pennsylvania, doing late-night deliveries of hookah, food and other goods on college campuses. It currently operates more than 450 sites across North America and the UK, including 285+ micro-fulfillment centers and 185+ BevMo! And Liquor Barn locations.

As the company continues on its mission to become the go-to solution for immediate, everyday needs, Gopuff plans to continue converting the remaining BevMo! locations in the region and expanding its delivery zones. It also looks forward to partnering with new and additional local brands, both in-store and on the app.

Elsewhere, Gopuff plans to open delivery-only kitchens inside some of its hundreds of micro-fulfillment centers across the country.

Gopuff

FOUNDED: 2013

FOUNDERS: Rafael Ilishayev, Yakir Gola

HEADQUARTERS: Philadelphia, Pennsylvania

BUSINESS: Instant Delivery Service Co.

REVENUE: Reportedly $1B annually.

EMPLOYEES: 4,000+

WEBSITE: www.gopuff.com

Notable: Gopuff is acquiring British competitor Dija to expand into Europe.

CONTACT: 855-400-7833

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