hi guys i'm ananya and welcome back to our channel so as my background makes it very obvious today's
video is all about ubereats now food being the basic necessity of human needs has taken food
delivery business to next level as we already have many established application and website
that are running for food delivery on the same line we have ubereats who have been performing
really well so in this video i'm gonna explain you the three main things what is the business
model of ubereats how ubereats makes money and what makes ubereat different from all the food
delivery businesses we have so stay tuned well as we go into the discussion or business model
of ubereats i'm very sure all of you must have heard about the word uber and the company and the
services it gives uber is not a new name to the industry but a normal brand that people rely on
in 2014 the company uber came up with ubereats where they started their food
delivery business uber already has a huge custom base where people bestow their trust on them
and starting with a food delivery application has been highly beneficial for the company
the company uber in 2014 came up with the concept of ubereats which is now serving 32 countries with
the company being highly in profit so talking on the concept of ubereats let me first share
a very interesting fact about ubereats did you know that uber is generated a net revenue of 4.8
billion dollars which was nearly 152 increase year by year in 2020. now this facts make it very clear
how good this application has been performing so to understand the overall concept of ubereats
first let's step into the business model ubereat follows so next to study how ubereats exactly
works we need to focus on the business model of ubereats so basically ubereat is a combination of
three business models the first one is multi-site platform so in the multi-site platform what
ubereat does is it connects more than two people in particular so basically it serves the purpose
of intermediate between the demand and the supply the second we have is the aggregator now what
happens in the aggregator is that ubereats starts gathering information related to special goods
and services because it has to compete with the various other brands who are doing the food
delivery business now uber being a chain which has a lot of customer base automatically has the
information plus they put more focus on gathering the special goods and services that will take
them higher in the pedestal of competing with the other businesses and the last one which we have is
on-demand business now what happens in on-demand business that whenever a demand is raised it is
being fulfilled so whatever it exactly does in on-demand businesses whenever a demand is raised
by a customer it gets supplied to the restaurant and the delivery partner who deliver them their
food so they are working on the demand of the customer and this is the three model combination
what ubereat does and earns money now the next main question comes out of following this model
structure how a business like uber reads is making money so now focusing on how a business like
ubereats make money we have three main ways of generating revenue here the first one is revenue
as per every order so whenever you place an order on application like ubereat it takes 14 to 40
percent of revenue generated from that particular order now having the base of so many customers and
getting money on every order on the percentage of 14 to 40 ubereats earns a lot in this now
second comes delivery and convenience whenever you order food from uber the main function of
the application is to get the food delivered at your doorsteps in the minimum time period so they
always charge the delivery fees or delivering that order from one place to another and in
case the customer is cancelling the order due to any personal reason they also charge cancellation
fees so in that case they are apparently not delivering the food but still getting
the fees out of it because it got cancelled so it adds up to the revenue and the last we have
marketing and advertising now ubereats has a lot of restaurants and partners with it
so whenever they want to come on the top or want to get the popularity and stand out of the bunch
they pay a specific marketing and advertising fee so whenever you must have experience you open
ubereats or any food delivery platform we have few of the businesses or restaurants
which have their offers running or have their ads running that which is the best and what is the
percentage of they have and special offers like with there is buy one get one there is special
sixty percent of twenty percent off so for all these things the restaurant is paying the company
so that they get promotional value and recognition out of the lot of restaurant which is present on
a platform like ubereats so a lot of money comes from marketing and advertising so ubereats is very
similar to many of the food delivery platforms like we have grubhub zamato but there are few
things that make ubereats very different and why customers prefer uber we are gonna talk now
so now the main focus is on this question that when we already have many food on demandability
services what makes ubereats unique in its own way that it has been performing so well this must have
strike you a lot of time that ubereats just came in the year 2014 and no doubt it has taken over
many established food delivery platform how let me tell you so moving ahead with the first thing is
fast delivery now ubereats came up with a concept where they promised their customers to deliver
the food within 30 minutes obviously in some cases it is exceptional when the geographical
location is really far but the main they focused was on fast energy now delivery is being made
by many other platforms but fast delivery is one way they caught attention of their consumers
now going ahead with the second is
minimum order now how this concept of minimum order works now overeats never had a scale
or a ground where they measure that your order should be at least maybe 100 or 50 dollar or any
price to place an order over so what happened here was they came up with the concept of minimum order
that if a person just wants to have one bread he will just pay for one bed and uber eats will get
it delivered by its delivery judge so where there was no minimum order people were more flexible and
found ubereats more approachable to go forward and place the order here now the third point is
uber now as we all are already familiar by uber and we know that uber as a taxi service
app is working globally and doing tremendously well and is one of the best taxi service app
so now when uber came up with the concept of uber eats it was very easy to catch customers because
uber as a brand has been performing very well has a very good goodwill and a brand stability
now people trusted the brand uber and getting the customer base on ubereat wasn't that tough so uber
has played a major role in getting customers for ubereats so now i hope i have made you clear about
the business model the working structure and the attributes that make a application like ubereats
more famous and a reason of its popularity and growth so for overeats it has always been easy to
set up their cell for a global reach and no doubt the application has been doing really well and it
is one of the very smart steps taken by uber to start with ubereats and both the businesses
have grown so far now if you are interested in a similar business idea or you have a concept that
can work around on-demand food delivery services and need assistance for that we are here i'm
attaching a link below you can go to the link and register yourself we do give free demos on
on-demand service app and the best id solution for your business book till we come back with
more videos you stay tuned and don't forget to like comment and subscribe our channel thank you