Uber takes on food-delivery service, expands UberEATS to 10 U.S. cities
Uber Technologies Inc. expands its dedicated UberEATS app to 10 U.S. cities, including Los Angeles, Chicago, New York, Austin, Washington, D.C., San Francisco, Atlanta, Houston, Seattle and Dallas.
Uber started testing the waters of the food-delivery service market in 2014 as a service offered within its main Uber app, in Los Angeles, Paris, Toronto, New York and more. The service offered is a lunchtime delivery service that provides a short list of popular restaurant items that change on a daily basis, delivered to your door in 10 minutes or less.
Last month, Toronto became the first city to test the standalone app of UberEATS. In addition to the lunchtime or Instant Delivery service, they also have access to full menus from 100 participating restaurants. Customers can place orders seven days a week from 10 am to 10 pm and receive their order from an Uber driver within 40 minutes. Uber has gained some insights from its month-long test in Toronto, typical customers will rotate through a range of five of their favorite restaurants and Torontonians love Thai food.
The standalone UberEATS will now launch in 10 U.S. cities in the coming weeks and will work in a similar fashion to Toronto. Customers will have access to the full menus of dozens of restaurants, according to an interview The Wall Street Journal had with an Uber spokesperson. UberEats includes restaurant-to-door delivery tracking, allowing you to track your delivery on your smartphone as it makes its way to you.
Uber will give its drivers the choice of whether they want to take on the task of also being a food-delivery driver. Uber will charge customers approximately $5 per order, but this fee will vary per city. Uber shares part of this fee with the driver, and the company will collect an additional fee from restaurants per order.
The company are also looking at bunching orders for multiple customers in the same area who all place orders at the same restaurant. One driver could then benefit from multiple delivery fees.
The 10 U.S. cities will continue to enjoy Instant Delivery and drivers who opt to deliver Instant Delivery orders will receive payment either hourly or per meal drop off.
The expected launch of the UberEATS app for both iOS and Android will be at the end of March.
Image via: Uber
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