Uber is making strikes into the extremely aggressive world of on-line grocery deliveries with the acquisition of a startup called Cornershop. The deal, for an undisclosed sum, will bolster the corporate’s efforts to increase into companies outdoors its core ride-hailing service.
Cornershop, based in 2015, is at present lively in Chile, Peru, Mexico, and Canada, and is headquartered in Santiago. In a press release, Uber CEO Dara Khosrowshahi stated it might search to “scale their vision, and look forward to working with them to bring grocery delivery to millions of consumers on the Uber platform.” That will imply finally launching the service within the US, although the deal continues to be topic to regulatory approval.
But Uber is coming into a crowded discipline, with enormous corporations like Amazon, Instacart, and Postmates jockeying for market share with main grocers like Kroger and Walmart. And its not an apparent cash maker both. Right now, solely three p.c of grocery gross sales within the US happen on-line. Customers say they really feel hesitant to buy groceries on-line for worry of being overcharged or experiencing late deliveries, in keeping with a latest survey.
This received’t be Uber’s first stab at increasing its on-demand supply service: the corporate first launched Uber Rush in 2014, nevertheless it by no means expanded past New York City, San Francisco, and Chicago. Uber Rush was shut down in 2018.
Now, Uber desires to be an “operating system” for cities, and grocery supply looks like a extra apparent play. In a latest interview with The Verge, Khosrowshahi says the corporate will think about any kind of enterprise that matches in with that ethos.
“I think we’re going to look at a lot of categories going forward and some of them we will fulfill through our own internal services,” he stated. “But I do think that you should think about Uber as a marketplace.”