Uber plans to expand its grocery delivery operation to nearly 400 cities and towns across US including San Francisco, New York City and Washington DC. To grow its service Uber has collaborated with Albertsons Companies and its 1,200 grocery stores across US. Albertsons doesn’t only owns a chain of grocery stores but besides grocery business the company is also engaged in manufacturing products including Safeway, Jewel-Osco, Acme, Tom Thumb and Randalls.
Alongside, Albertsons Uber also partnered Southeastern Grocers and Red Apple Group to deliver their groceries to the customers. To attract more customers Uber also offers ride pass and Eats Pass to its paid members which allow the customers to save delivery charges on the orders made up to $30. Uber started its grocery delivery business during COVID-19, when the company suffered from loss due to the lockdown restrictions.
Due to the financial loss Uber has also increases the Price of its Cab service.
Besides this, the prices for a ride has also surges due to the higher salary demanded By the cab drivers, and citing all these reasons the company acquired various small grocery delivery startups including Cornershop, Postmates and Drizly to scale up its business in grocery sector. By delivering grocery Uber aims to earn significant amount of money to hire more drivers for its ride service as due to the lack of financial resources currently the company can’t afford to hire sufficient cab drivers.
Alongside grocery delivery, Uber is also planning to deliver ready-to-eat snacks, skincare products and medicines as recently it has been revealed by an unknown source that Uber plans to teaming up with Gopuff, a store that offers essential or instant products.
Uber is continuesly speeding-up its operations across USA.
According to the Global Head of Grocery at Uber, Grocery distribution has seen tremendous increase in the last year. “Uber is speeding up it’s operations allowing users receive grocery items from nearby stores transported directly to their homes through introducing dozens of popular grocery shops”.