UBER - Uber to remove 'thousands' of redundant virtual brands from Uber Eats: report
2023-03-27 07:20:41 ET
- Uber Technologies ( NYSE: UBER ) is slated to remove "thousands" of redundant online-only brands from its Uber Eats delivery service in an effort declutter and streamline it for users.
- The number of virtual brands on the app have grown significantly, topping 40,000 currently, compared to more than 10,000 as of 2021. The company is set to chop 5,000 virtual brands as part of the initiative.
- Virtual brands, which are delivery businesses that do not have physical locations, make up more than 8% of Uber Eats' storefront in the U.S. and Canada, but less than 2% of bookings, according to The Wall Street Journal .
- Uber's ( UBER ) John Mullenhoz told The Journal users are “effectively seeing 12 versions of the same menu."
- In the fourth-quarter, Uber ( UBER ) said its delivery business, which includes Uber Eats, generated $14.3B in gross bookings, up 6% year-over-year or 14% in constant currency.
- Uber ( UBER ) shares were fractionally higher in premarket trading.
- Earlier this month, Uber ( UBER ) and other gig-economy companies benefited after a California court declared ride-sharing and other drivers are independent contractors and not company employees .
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Uber to remove 'thousands' of redundant virtual brands from Uber Eats: report