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12/01/2020

Done Deal: Uber Completes Acquisition of Postmates

Anna Wolfe
Senior Editor - Restaurants
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Uber Technologies, Inc. has completed the acquisition of Postmates Inc. in an all-stock transaction, and that the two companies have begun the process of integrating U.S. operations.

As previously announced, the transaction brings together Uber’s global Mobility and Delivery platform with Postmates’  business in the U.S. to strengthen the delivery of food, groceries and other goods. The consumer-facing Postmates and Uber Eats apps will continue to run separately, supported by a more efficient, combined merchant and delivery network.

This news comes as restaurants are leaning into off-premises to survive during the COVID-19 pandemic, leaving many in the industry to wonder, Where’s third-party delivery headed? Many brands are trying to survive on off-premises alone and are looking to add in-house or native delivery, either to replace or augment 3PD. Restaurant Technology Network (RTN) is sharing the RTN Native Delivery TCO Calculator in action on December 8.  

In connection with the closing, Uber has signaled its commitment to the success of the restaurants and merchants who use its technology to reach customers and delivery people by announcing a national listening tour. These efforts are designed to better understand merchants’ needs, and to continue to develop products, services, and policies that protect their interests.

Third-party delivery fees are under fire. San Francisco, New York and Seattle are among the cities that have moved to cap third-party delivery fees, at least temporarily during the pandemic.