Uber expands into hotels in "everything app" push
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Uber unveiled its biggest push yet to become an "everything app" Wednesday, adding hotel bookings and new travel features.
Why it matters: The ride-hailing and delivery giant is trying to capture an even bigger slice of consumers' spending — bundling rides, food, shopping and now hotel bookings into one app.
Driving the news: Uber announced the features at its annual "Go-Get" event in New York City. The updates are part of a broader effort to keep users inside its ecosystem — especially when traveling, Sachin Kansal, the company's chief product officer, told Axios.
Zoom in: The updates — rolling out Wednesday and reaching all U.S. users in a few weeks — include:
- Hotels on Uber: U.S. users can browse and book from more than 700,000 hotels through a partnership with Expedia Group, with vacation rentals via Vrbo coming later this year.
- Rewards loop: Uber One members get discounts on hotels — including up to 20% off select stays — and earn credits they can spend on rides or food during their trip, with benefits that can also extend to international travel.
- Travel mode: The app will surface local recommendations, transportation options and delivery tailored to travelers, including a "room service" hub for essentials.
State of play: Uber is leaning on AI to make its growing app easier to use as it adds more services — aiming to "make your life easier," Kansal told Axios. He described it as "a starting point in our AI journey."
- Riders will be able to book trips using natural voice speak — for example, asking for a ride to the airport with multiple bags — and get recommendations based on their needs.
- A redesigned search bar will surface options across rides, food and shopping from a single query.
- New AI shopping tools will allow users to build grocery orders using natural language or even photos, with Uber generating a cart based on preferences and past behavior.
Between the lines: Uber is betting it can deepen its role in travel by building on behavior that already exists.
- Well over 100 million users take a ride on Uber to or from the airport each year, and more than 1.5 billion Uber trips took place globally outside a rider's home city last year, according to the company.
- Adding hotels is a natural next step, Kansal said: "Travel is already a very important part of any Uber user's journey."
What we're watching: Uber has spent years expanding beyond ride-hailing into food delivery, groceries and shopping.
- The move into hotel bookings pushes Uber into a higher-value category — and tests whether the "super app" model — which has taken off in parts of Asia — can take hold in the U.S.
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