Uber Eats is an online food ordering and delivery platform launched by Uber in 2014. Users can read menus, reviews and ratings, order, and pay for food from participating restaurants using an application on the iOS or Android platforms, or through a web browser. Users are also able to tip for delivery. Payment is charged to a card on file with Uber. Meals are delivered by couriers using cars, scooters, bikes, or on foot. It is operational in over 6,000 cities across 45 countries
Uber Eats’ parent company Uber was founded in 2009 by Garrett Camp and Travis Kalanick. The company began food delivery in August 2014 with the launch of the UberFRESH service in Santa Monica, California. In 2015, the platform was renamed to UberEATS and the ordering software was released as its own application, separate from the app for Uber rides. In 2016, it commenced operations in both London and Paris.
In August 2018, Uber Eats changed its flat $4.99 delivery fee to a rate that is determined by distances. The fee ranges from a $2 minimum to an $8 maximum. In the UK and Ireland, the delivery fee is based on the value of the order. In February 2019, Uber Eats announced that it would reduce its fee from 35 percent of the order’s value to 30 percent. As part of its expansion into foreign markets, the company announced its intention to open virtual restaurants in the UK. Sometimes called cloud restaurants or cloud kitchens, these are restaurant kitchens staffed to prepare and deliver food, either for existing brick-and-mortar restaurants wishing to move their delivery operations offsite, or for delivery-only restaurants with no walk-in or dining room service.
In November 2018, the company announced plans to triple its workforce in its European markets. As of November 2018, the company reported making food deliveries in 200 cities in 20 countries in EMEA markets.
In 2019, Uber Eats said it would deliver food to customers by drones from the Northern Hemisphere summer of 2019, and partnered with Apple on the release of the Apple Card. In July, Uber Eats began offering a dine-in option in certain cities that allowed customers to order food ahead of time and then eat in the restaurant.
In September 2019, Uber Eats said it would leave the South Korea market, with Reuters attributing this to the amount of competition for food delivery companies in Korea. In October, the company launched a pick-up option. On October 15, 2019, the company said it would deliver Burger King fast food throughout the United States.
On January 21, 2020, Zomato said it would acquire all of Uber Eats’s stock in India. As part of the deal, Uber would own 10% stake in Zomato and Zomato would gain all the users of Uber Eats in India. At the time of the deal, Zomato was valued at roughly $3.55 billion.
On January 28, 2020 it was reported that Uber Eats no longer had exclusive delivery rights for McDonald’s in the United Kingdom, as the fast food company had partnered with British-based food-delivery company Just Eat. The company had already lost its exclusive delivery rights with McDonald’s in the United States the year before.
In March 2020, during the COVID-19 pandemic, Uber Eats saw a 30% rise in new customers, as people avoided social interaction for fear of contracting the virus.
On May 4, 2020 Uber Eats announced they were exiting the United Arab Emirates and that the service would now be through Dubai based vehicle for hire company Careem. The same report stated they were also exiting Saudi Arabia and Egypt. Uber bolstered its position in July 2020 with the acquisition of Postmates for $2.65 billion.
On October 22, 2020 Uber Eats announced they were exiting Argentina and Colombia by the end of the month.
On November 30, 2021 Uber Eats announced they were exiting Hong Kong by the end of the year.
In December 2021, Uber Eats completed its first food delivery in space when it partnered with Japanese billionaire Yusaku Maezawa to send food to the International Space Station.
On March 11, 2022, Uber Eats added a fuel surcharge to deliveries in the United States and Canada. The new surcharge will be different depending on the delivery length and gas prices in each state.