UberRush increases drive for delivery presence
Ride-sharing service Uber is getting more aggressive in its jockeying for position in the online delivery marketplace.
In October 2015, Uber expanded its UberRush same-day delivery service from New York, where it had been operating for about two years, to San Francisco and Chicago. UberRush uses Uber drivers to deliver merchandise from retailers to customers for a $5-$7 fee, often in minutes.
Till this point, UberRush has specialized in enabling small merchants who do not have their own on-demand delivery capabilities to offer delivery of online orders. However, Uber is introducing a new UberRush API that will allow retailers of all sizes and across all channels to build on-demand delivery into their existing infrastructure and apps.
Initial retail partners including Nordstrom, Rebecca Minkoff, Cole Haan, 1-800-Flowers, T-Mobile, and Rent the Runway are now utilizing UberRush to deliver select products in certain areas. UberRush is also partnering with Curbside, an app that makes it easy to find, buy and pickup products at local stores like Target, and even the Google Express delivery service, as well as several restaurant delivery platforms.
To support UberRush’s expanded capabilities, Uber is partnering with platform providers including SAP and logistics partners such as Bergen Logistics and Trade Global. Uber plans to expand the pilot in the coming months.
At least in large urban areas, it seems clear that even one-hour delivery will at some point not be quick enough to satisfy impatient omnichannel consumers. UberRush is throwing the gauntlet down to other delivery providers, including parcel delivery services like FedEx and UPS.
And unlike drones, UberRush is available now (at least in pilot areas) and does not involve FAA regulation. Amazon is already making inroads into rapid, courier-based delivery with its Amazon Flex pilot. The future of 21st century on-demand delivery may well rely upon the auto, a technology that has been with us since the late 19th century.