If there was a time to lean into delivery, this is the time. We’re going to be the global leader in that business. We’re going to expand beyond food into other categories such as groceries and pharmacy, essentially powering world commerce.
Uber CEO Dara Khosrowshahi discusses how Uber Eats is going to ‘essentially power world commerce’ in a Zoom call with the Wall Street Journal:
If there was a time to lean into delivery, this is the time,” We’re going to be the global leader in that business. We’re going to expand beyond food into other categories such as groceries and pharmacy, essentially powering world commerce.
The food delivery business is profitable in certain countries. For example, two of our top five international markets are profitable today and were profitable last quarter. The profitability really depends on how hard we are leaning in toward expanding supply and acquiring customers. The perspective that we have on this business is that even though it’s growing it’s actually very early in its development.
For example, Japan is a huge market potential for us and one of our leading growth markets. Less than ten percent of restaurants in Japan are signed up to use Uber Eats as a delivery service. When you have a situation where your penetration is ten percent of the ultimate market size you lean in as a company.
We are fortunate in that we’ve got very strong balance sheets, over $7 billion in cash and available capital. That allows us to lean into certain businesses. If there was a time to lean into delivery, this is the time. We’re going to be the global leader in that business. We’re going to expand beyond food into other categories such as groceries and pharmacy, essentially powering world commerce.