Uber is well known for their ride-matching service and they may even be on the verge of becoming a verb. That success does not mean they are resting on their laurels though as they are now planning to expand into the meal delivery segment of the logistics market with their UberEATS app and service. UberEATS is a standalone food delivery service that utilizes Uber drivers to deliver meals.
Uber has been testing UberEATS in Toronto for a little over a month. The service is currently accessed through the Uber app, but is only available for users who are also requesting a ride and who do so during lunch hours. According to the information in a Wall Street Journal article, Uber plans to release a standalone app for UberEATS and will let users order a meal without also requesting a ride. The hours of service will also expand to cover breakfast and dinner.
The new service is preparing to go live in March in ten markets in the U.S. The locations where UberEATS will be available include Los Angeles, Dallas, Seattle, Chicago, New York, Austin, Washington D.C., Houston, San Francisco and Atlanta.
Uber’s expansion into the provision of delivery services comes on the heels of a forerunner in the space, Sidecar, being purchased by General Motors. This is not the first time Sidecar preceded Uber as Sidecar is the original source for ride-sharing apps and services on smartphones. Another example of a delivery service operating in a relatively small geographic area can be seen in Henchman, which just struck a deal to offer special deliveries of OnePlus devices in the London area. For service companies like Uber, delivery services definitely represent a potential market in which they can leverage existing assets for success.
Source: Wall Street Journal
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