In a recently announced all-stock transaction, Uber has recently acquired Postmates for approximately 2.65 billion USD.
It’s a smart move by Uber considering their core business of shuffling around drunk riders has been severely impacted by COVID-19and UberEats has been their saving grace for the last couple of months.
Short term – Nothing really changes. Uber will keep the consumer-facing Postmates app because there are some really anti-uber Postmates customers, although, we will likely see a Postmates option on our app as they combine the merchant and delivery network to make it “more efficient.”
Long Term – This is somewhat of a bad thing. In their Press Release, Uber stated that “delivery people will enjoy more opportunities to earn income, with increased batching of orders.” – If you have ever done delivery, you will know batching of orders is only worthwhile when customers tip which you know you can’t rely on.