Uber to Shut Down Drizly, Its Alcohol Delivery App, After Three Years
Uber has announced the closure of its alcohol delivery app, Drizly, just three years after acquiring it for $1.1 billion. Drizly had become the largest online marketplace for alcohol in North America, benefiting from the surge in at-home delivery during the pandemic. However, the app is set to shut down at the end of March 2024 as Uber looks to consolidate its delivery offerings into its main app, Uber Eats.
Drizly, North America’s Largest Alcohol Marketplace, to Close in March 2024
Drizly, the leading online alcohol marketplace in North America, will officially close its doors at the end of March 2024. The app experienced significant growth during the pandemic as consumers turned to at-home alcohol delivery. However, Uber has made the decision to shut down Drizly and integrate its marketplace into the Uber Eats app instead. This move comes as Uber aims to streamline its product delivery offerings into one platform.
Uber Focuses on Core Delivery Strategy, Integrates Drizly into Uber Eats
Uber has announced that it will focus on its core delivery strategy by integrating Drizly into its Uber Eats app. Pierre Dimitri Gore-Coty, Uber’s senior vice president of delivery, stated that the company wants to help consumers get anything they need, including food, groceries, and alcohol, all in one app. By merging Drizly into Uber Eats, Uber aims to provide a seamless experience for customers looking for delivery services.
Consolidation Continues: Uber Shutters Drizly and Cornershop
In a move to consolidate its product delivery offerings, Uber has announced the closure of both Drizly and Cornershop. While Drizly served as the largest alcohol marketplace in North America, Cornershop was a grocery shopping app. Despite the shutdowns, customers can still order groceries and alcohol for delivery through Uber Eats. Uber’s decision to shutter Drizly and Cornershop reflects its strategy of focusing on its core delivery business and providing a comprehensive range of services through Uber Eats.
Uber’s Delivery Business Flourishes, Prompting Closure of Drizly
After suffering losses in its core ridesharing business during the early days of the pandemic, Uber experienced a surge in its delivery business. This resulted in Uber’s decision to acquire and integrate delivery companies like Drizly and Postmates. As Uber’s delivery business continues to flourish, the closure of Drizly reflects the company’s focus on maximizing its competitive edge in the delivery market. Uber’s strong performance in recent quarters has further solidified its decision to consolidate its delivery offerings into Uber Eats.
Analyst comment
Positive news: Uber’s decision to shut down Drizly and integrate it into Uber Eats reflects the company’s focus on maximizing its competitive edge in the delivery market and providing a seamless experience for customers.
Short analysis: By consolidating its delivery offerings into Uber Eats, Uber aims to streamline its product delivery strategy and provide a comprehensive range of services, including food, groceries, and alcohol, all in one app. This move is expected to enhance Uber’s position in the delivery market and further strengthen its strong performance in recent quarters.
