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

SpaceX halts 1st astronaut launch due to stormy weather in Florida
SpaceX halts 1st astronaut launch due to stormy weather in Florida
By Akshay Kedari

SpaceX, an American aerospace and space transportation services provider, has reportedly halted its 1st U.S. astronaut launch into orbit from Florida in 9 years. This landmark moment for the company and NASA has recently been hindered by the stormy w...

UV Angel ties up with Smile One Services, launches new dental products
UV Angel ties up with Smile One Services, launches new dental products
By Akshay Kedari

UV Angel, a company renowned in the field of pathogen control technology, has recently announced that it has partnered with Smile One Services, which is dental service organization (DSO)  based in Michigan. Reportedly, the partnership has been i...

LinkedIn Audience Network prefers IAS to offer native ad brand safety
LinkedIn Audience Network prefers IAS to offer native ad brand safety
By Akshay Kedari

Integral Ad Science (IAS), a renowned leader in digital ad verification, has recently announced its agreement with the LinkedIn Audience Network to offer brand safety to native ads on mobile, web, in-app and desktop. The integration tends to utilize ...

SaalexIT acquires Oregon-based Arctic MSP for an undisclosed amount
SaalexIT acquires Oregon-based Arctic MSP for an undisclosed amount
By Akshay Kedari

SaalexIT, a full-service IT company and a market-leading MSSP (Managed Security Service Provider), has reportedly announced its acquisition of Oregon-based Arctic MSP. It is to be noted that the financial terms are yet to be released. The acquisitio...

Virgin Orbit prepares for its first launch mission into the orbit
Virgin Orbit prepares for its first launch mission into the orbit
By Akshay Kedari

Virgin Orbit had recently announced that its LauncherOne air-launched vehicle shall be marking its first flight in the coming days. The company has, however, set modest expectations regarding the probability of success. The company has commented tha...