Uber Eats Launches Eat Local: A Renewed Commitment to US Local Merchants

Rhea-AI Summary

Uber Technologies announced its Eat Local campaign, committing $20 million to support independent restaurants during COVID-19 challenges. This initiative includes $4.5 million in microgrants for financially struggling restaurants, waived fees for Uber Eats services, and reduced delivery fees for consumers. Additionally, the company will match consumer contributions to restaurants. The aim is to bolster local businesses as they face unprecedented difficulties, particularly during winter. Uber’s continued financial support underscores its dedication to partner success.

Positive

• $20 million commitment to support independent restaurants.
• $4.5 million in microgrants to assist financially challenged restaurants.
• 0% fees on Pickup and processing orders directly for restaurants.
• Reduction in delivery fees for consumers using Uber Eats.

Negative

• None.

Uber Technologies, Inc. (NYSE: UBER) today announced its Eat Local campaign, renewed efforts to support independent restaurant owners and operators in 2021 as the industry continues to face COVID-related challenges.

“We’re here for restaurants at Uber Eats—as we have been since the start of the health crisis,” said Stephane Ficaja, head of Uber Eats and Delivery for the US & Canada. “Today we’re committing $20 million through various initiatives at a critical time, renewing promises we’ve made on pricing, and will remain focused on our partners’ success in the months ahead.”

Details of the support package include :

• $4.5 million in microgrants to be administered by LISC, pledged to support restaurants active on Uber’s platforms in any U.S. city with financial challenges related to the pandemic
• Waived and reduced fees for restaurants who use Uber Eats services: 0% for Pickup, 0% for processing orders directly on their own websites, and $0 to receive daily payouts to help increase reliable daily cash flow through July 2021.
• Reduced delivery fees for consumers on all Uber Eats orders from independent U.S. restaurants, and dedicated marketing campaigns—both in-app and via email—to promote delivery from local restaurants
• Uber matching to all consumer contributions to restaurants made using the Restaurant Contribution feature in Uber Eats

Additional benefits include extensions of previously announced programs for restaurants to receive daily payouts, rather than the company’s standard weekly payout, and restaurant fee reductions on all Pickup orders and orders processed through its Online Ordering service on independent restaurant websites.

“The U.S. Black Chambers (USBC) applauds Uber’s commitment to small business owners who rely on its platform to reach customers, particularly as restaurants navigate a challenging winter,” said Ron Busby, President of USBC. "Black-owned restaurants have been disproportionately impacted by the pandemic, and we are delighted that our members will benefit from the $4.5 million grant program and continued waived fees."

“Restaurants continue to face unprecedented challenges this winter. Uber’s support underscores the importance of the entire restaurant and foodservice industry working together as one to advance our recovery efforts,” said Tom Bené, President & CEO of the National Restaurant Association. “These microgrants will help independent restaurants stay open and continue serving their customers and their communities.”

Details of the Eats Local Support Effort can be found at eatlocaleffort.com

About Uber Eats

Uber Eats is an on-demand food delivery app and website that helps bring millions of people around the world the food they want, at the tap of a button. With over 500,000 restaurants in more than 6,000 cities around the world. Uber Eats offers millions of dishes while maintaining an average delivery time under 30 minutes.

View source version on businesswire.com: https://www.businesswire.com/news/home/20210203005122/en/

FAQ

What is Uber's Eat Local campaign?

Uber's Eat Local campaign is a $20 million initiative aimed at supporting independent restaurant owners during COVID-related challenges.

How much is Uber committing to support independent restaurants?

Uber is committing $20 million through various initiatives to support independent restaurants.

What benefits are included in Uber's Eat Local campaign?

Benefits include $4.5 million in microgrants, waived fees for restaurants, reduced delivery fees for consumers, and matching consumer contributions to restaurants.

What are the fee reductions for restaurants using Uber Eats?

Restaurants can benefit from 0% fees for Pickup and processing orders, and waived fees through July 2021.

How will the $4.5 million microgrants help restaurants?

The microgrants will provide financial assistance to restaurants facing challenges due to the pandemic.