DoorDash to enter grocery market with new virtual convenience stores

Photo (c) m-gucci - Getty Images

The DashMart ‘stores’ will be available in select markets through the DoorDash app

DoorDash announced on Wednesday that it will be entering the competitive grocery segment with a new line of virtual convenience stores. 

The new “DashMart” stores will exist purely in the virtual world, with no physical brick-and-mortar locations. The company says customers will be able to access the stores through the DoorDash app to buy household items and grocery store products, which will then be delivered to their homes. 

“On DashMart, you’ll find thousands of convenience, grocery, and restaurant items, from ice cream and chips, to cough medicine and dog food, to spice rubs and packaged desserts from the local restaurants you love on DoorDash,” the company said in a blog post. 

Supporting consumers and businesses during the pandemic

DoorDash has experienced a surge in business during the COVID-19 pandemic because consumers have increasingly come to rely on home delivery. 

While thriving for its own sake is a positive, the company points out that it has also allowed other businesses to remain open during these uncertain times. In its announcement, DoorDash claims that restaurants that use its service during the pandemic are four times more likely to stay open. 

“During these trying times, our platform has become a critical lifeline to those we serve, and we’ve been hyperfocused on building new products that meet the immediate needs of our customers while helping our merchant partners thrive in new ways,” the company said.

The new DashMart stores will first be available in eight select U.S. markets — Chicago, Illinois; Columbus, Ohio; Cincinnati, Ohio; Dallas, Texas; Minneapolis, Minnesota; the greater Phoenix, Arizona area; Salt Lake City, Utah; and Redwood City, California. 

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