Uber gets competitive in the food-delivery service
Along with the development of ride-sharing services came food-delivery services: ordering food through an app and having it delivered to your door. The New York Times cited a study by McKinsey that found food delivery "is a $100 billion-plus market, or about 1 percent of the total food market." And Uber wants a piece of that market.
Key numbers: UberEats is available in more than 120 markets around the world. The number of trips for UberEats drivers grew more than 24 times in one year, and by last July it was "profitable in 27 of the 108 cities where it operated," per NYT.
UberEats "sometimes eclipses Uber's main ride-hailing business in markets like Tokyo; Taipei, Taiwan; and Seoul, South Korea," the company told NYT.
But as UberEats continues to thrive, competition looms large:
- Postmates has raised over $250 million since it started and the company makes 2.5 million deliveries each month. Like UberEats, Postmates is a full delivery service system.
- Grubhub has "an active base of 8.17 million customers," and Matt Maloney, the company's founder, told the Times their sole focus on take-out ordering sets them apart.