Amazon to halt its restaurant food delivery business from June 24
By Akshay Kedari  Date: 2019-06-13

Amazon to halt its restaurant food delivery business from June 24

Amazon, the retail multinational headquartered in Seattle, has reportedly made it to the headlines as it announced to shut down Amazon Restaurants from June 24.

In a recently released statement, the company reportedly noted that while most of the employees who face threat of losing their jobs have been positioned elsewhere in the company, others are being assisted with finding jobs in and out of the company.

Amazon restaurants began services in 2015 and catered to its Prime members in over 24 cities across the United States. Later in November 2015, it expanded the restaurant food delivery service to London.

In the year 2016, Amazon invested in Deliveroo, a London based delivery service that operates in over 14 countries like France, Germany, and Australia. The service allowed prime members to get food delivered at their doorstep by using Prime now app or Amazon restaurant website. Reportedly, the website also allows Prime members to rate and review the quality of food and delivery service.

Along with delivering food, Amazon delivery service would also publish food blogs, provide customers with coupons and payment offers and would also post job vacancies for those willing to work with them.

According to industry analysts, the company has failed to garner traction against its global rivals such as Uber (Uber Eats), Grub (Grubhub), DoorDash, and JSTTY (Postmates and just eats) which together hold more than 75% of food delivery market share in the U.S.  

Although Amazon is calling off the restaurant delivery service, it will continue to deliver groceries to its prime members with the help of Whole Foods, an America-based supermarket which the company bought in the year 2017 for $13.7 billion.

Post the announcement by Amazon, the shares of Grubhub reportedly increased by 5%.

 

Source: https://edition.cnn.com/2019/06/11/tech/amazon-restaurants-shuts-down/index.html

About Author

Akshay Kedari    

Akshay Kedari

A qualified computer engineering graduate, Akshay Kedari takes pride in having his way with words. Following his passion for content creation, he writes insightful pieces on aeresearch.net and a few other portals. Also endorsed with a short-term experience in web deve...

Read More

More News By Akshay Kedari

Medtronic to acquire Companion Medical to expand diabetes business
Medtronic to acquire Companion Medical to expand diabetes business
By Akshay Kedari

Medtronic plc, the global leader in medical technologies, has reportedly announced that it is planning to acquire insulin pen manufacturer Companion Medical. The acquisition gives Medtronic access to Companion Medical’s ‘InPen’, wh...

RADCOM introduces automated assurance solution for 5G technology
RADCOM introduces automated assurance solution for 5G technology
By Akshay Kedari

5G technology has been in the headlines for quite a while. Next-generation technology has the potential to transform almost every sector across the world. However, as 5G becomes reality, it has become imperative for service providers to prevent degra...

Sprout to expand wellness solutions lineup by acquiring Vivametrica
Sprout to expand wellness solutions lineup by acquiring Vivametrica
By Akshay Kedari

Sprout, a Canadian company that focuses on delivering innovative solutions for workplace wellbeing, has recently announced the acquisition of predictive health data analytics firm, Vivametrica. According to reliable sources, Sprout plans to enhance t...

Uber halts decision to shift APAC headquarters from Singapore
Uber halts decision to shift APAC headquarters from Singapore
By Akshay Kedari

Uber Technologies Inc., the American ride-hailing giant, has reportedly halted the company’s decision to relocate its Asia Pacific headquarters from Singapore to Hong Kong until December 2022. Sources cite that the company’s decision was...

PCI Pharma extends global clinical supply-chain services in Europe
PCI Pharma extends global clinical supply-chain services in Europe
By Akshay Kedari

U.S. based biopharmaceutical and pharma outsourcing services company, PCI Pharma services has reportedly announced that it reached a noteworthy milestone through the development of COE (Clinical Center of Excellence) in Berlin. According to credible...