News

NEW ORLEANS — Tulane University is set to revolutionize campus dining this fall with a new partnership with Grubhub. The collaboration, which officially kicks off this semester, will offer Tulane students enhanced dining options through the popular food delivery app.

Starting this semester, Tulane students will be able to use their meal credits and dining plans on Grubhub, expanding their choices to include a diverse range of campus eateries and popular local restaurants. This move promises to bring a host of benefits to the university community and the broader New Orleans area.

Like Uber Eats, GrubHub operates as three-sided marketplace connecting restaurants, drivers, and customers. Uber Eats, benefiting from its integration into Uber’s global network, generated $12.2 billion in revenue in 2023, representing about 33% of Uber’s total revenue, and operates in over 6,000 cities across more than 45 countries. In contrast, Grubhub, with its focus primarily on the U.S. market, reported revenues of approximately $2.1 billion annually before its acquisition by Just Eat Takeaway.

While Uber Eats leverages a broader, global network, Grubhub’s collaboration with Tulane demonstrates its capacity to drive economic activity and support local restaurants within a specific geographic area, reflecting a different but impactful approach to market presence and revenue generation.

According to a press release from Tulane, the partnership will allow students to order meals through the Grubhub app, which provides quick delivery and pickup options, allowing them to avoid long lines and fit dining into their busy schedules. In addition to campus dining facilities, students will have access to exclusive promo codes, giveaways and other rewards, helping them make the most of their dining dollars. The deal includes complimentary Grubhub+ memberships for students, offering unlimited $0 delivery fees, reduced service fees, and 5% back on pickup orders.

The release forecasts that the expansion of dining options is expected to positively impact the local economy in several ways, especially when it comes to support for local restaurants. According to insiders, by incorporating popular local eateries into Grubhub’s network, the partnership is set to drive increased business to these establishments. This surge in patronage could boost revenues, support job creation, and stimulate further investment in the community.

However, local restaurants not included in the Grubhub network may face increased competition, which could negatively affect their business if they are unable to attract students who now have a broader range of dining options. Furthermore, if a significant portion of student spending moves to Grubhub rather than supporting on-campus dining facilities or non-partnered local businesses, it could disrupt existing economic patterns and potentially disadvantage some local establishments.

Tulane has been in a partnership with Aramark food services since January of 2024. Tulane Hullabaloo writer Penny Gallagher expressed optimism that the new management will address the service and quality issues that plagued the previous dining partner, Sodexo. Sodexo’s long tenure at Tulane was, according to studies referenced by Gallagher, marred by employee dissatisfaction and frequent strikes, driven by concerns over wages, benefits, and management practices. The departure of Sodexo, while partly due to these internal issues, also highlighted the need for a more effective and responsive dining service.