Dive Brief:

• DoorDash has partnered with CVS to offer same-day delivery of more than 3,000 products from the pharmacy chain, including groceries, non-prescription medicines and household items, according to Yahoo News.
• The service is now available in Dallas, Houston, New York and Philadelphia, and the companies have plans to expand to Brooklyn, San Francisco and Boston this summer. Customers do not have to reserve a time slot or pre-schedule deliveries.
• According to a statement from CVS obtained by the Pharmacy Times, the expanded delivery services will serve customers who want to continue maintaining social distance and shopping from home during the COVID-19 pandemic.

Dive Insight:

With online grocery demand booming because of COVID-19, CVS is looking to carve out a name for itself in the grocery space. It also works with Instacart and Shipt to offer same-day delivery on nonprescription items, and according to Store Brands, the pharmacy recently expanded its private label snack and grocery brands. The Gold Emblem and Gold Emblem Abound lines now include new products like plantain chips, sesame tahini cashews, and other products with new flavors and ingredients.  

Although restaurant delivery demand is high because of COVID-19, DoorDash has been steadily diversifying its partnerships in the last year, which could make it more attractive to investors as it pursues an IPO. 

This is the first pharmacy partnership for DoorDash, and builds on the delivery platform's collaboration with retailers including grocery and convenience stores. DoorDash now delivers from a variety of grocery retailers, including Hy-Vee, Kowalski’s, Wegmans and independent grocers on the Rosie and Mercato platforms.

Additionally, in April DoorDash announced partnerships with more than 1,800 c-stores as more consumers looked for delivery during the pandemic. Customers can now order essentials from places like 7-Eleven, Wawa and Circle K through DoorDash.