Dive Brief:
- Bloomin’ Brands announced an expanded partnership with Grubhub Thursday, under which all of Bloomin’s restaurant concepts will be available for delivery on the platform.
- The company’s virtual restaurant brand Tender Shack and Fleming’s Prime Steakhouse & Wine Bar will soon be available on Grubhub. Outback Steakhouse, Carrabba’s Italian Grill, Bonefish Grill and Aussie Grill are currently available on the marketplace.
- Bloomin’ has also partnered with DoorDash for delivery since 2019, and launched Tender Shack exclusively on its platform in 2020.
Dive Insight:
An additional third-party delivery provider gives Tender Shack access to a broader audience, which could help boost the virtual brand’s growth. Bloomin’ took the brand national last year with a goal of eventually reaching $75 million in annual incremental sales.
The concept — which offers chicken tenders, sandwiches, fries, cookies and drinks — exceeded company expectations during its initial test. As of last year, it was available at 725 locations, which were mostly made up of Carrabba’s and Outback Steakhouse units. Eighty-percent of Tender Shack diners have never purchased food from any other Bloomin’ restaurant, the company said last year, so it has potential to scale its parent’s reach.
In its Q1 and Q2 2022 earnings calls, Bloomin’ did not mention the concept specifically, but CEO Dave Deno said the company is taking a multi-pronged approach to off-premise growth.
“Carryout ... is a big part of our business and has good profitability. Third party, as I mentioned earlier, continues to grow for us, and we've got great partnerships there. And then finally, on the catering piece, we — Carrabba's has led the way on that and Outback is to follow. So we're seeing some good gains on that as well in the off-premise occasion.”
More than 1,700 Bloomin’ locations, including over 1,000 traditional restaurants and 700 ghost kitchens, will now be accessible via Grubhub for pickup and delivery.
