Instacart is venturing into restaurant delivery by integrating Uber Eats' software and logistics into its app, with the same prices and courier pay as Uber Eats.
Starting soon, Instacart users will be able to order restaurant takeout directly through the Instacart app. This new feature utilizes Uber's software for handling orders, while Uber Eats couriers manage the food delivery. The partnership allows Instacart to offer restaurant services without building its own system from scratch.
Uber will handle the restaurant listings, transactions, and delivery logistics. This collaboration is part of a strategy to support physical restaurants and expand digital services. Uber spokesperson Noah Edwardsen assured that prices and courier payments will remain unchanged, benefiting both customers and delivery workers.
Instacart is a leading player in digital grocery delivery, holding over 70% market share in 2023. However, it faces strong competition from giants like Walmart and Amazon in the broader grocery delivery sector. This move into restaurant delivery could diversify its services and strengthen its market presence.
"This partnership is about creating technologies and solutions that support brick-and-mortar businesses," Uber stated in a press release. This development comes as both companies continue to navigate the competitive landscape of online delivery services, including opposing regulatory efforts to increase delivery worker wages.
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