Gopuff, Uber make moves in the UK and Seattle's food delivery market
Gopuff, the U.S.-based delivery company, is making strategic moves to achieve its first-ever profit in the UK, where it plans to increase fees over the coming years. In 2023, the company significantly downsized its UK workforce, reducing headcount from 1,707 to 842 and cutting its pre-tax loss from ￡93.8 million to ￡51.6 million. This follows its 2021 acquisition of the UK-based business Fancy, signaling Gopuff's commitment to financial recovery.
Meanwhile, Uber is also making strides in the UK by investing in Wayve, a startup specializing in AI for autonomous vehicles. This investment is part of Wayve's $1.05 billion Series C round and aligns with Uber's broader strategy of integrating cutting-edge technology into its platform. This partnership follows Uber's recent announcement about Cruise's robotaxis joining its app by 2025, further solidifying Uber's focus on autonomous driving technology. Wayve, founded in 2017, has already attracted significant investment from major players like SoftBank, Nvidia, and Microsoft.
Grubhub is enhancing its sustainability efforts as students return to campuses. In partnership with Topanga.io, Grubhub has introduced reusable packaging for food and beverage deliveries at Virginia Tech and SUNY New Paltz this semester. This initiative is part of Grubhub's ReusePass program, which is already making a positive impact at universities like Cal Poly and Ohio State. Last year, over 40,000 students across participating campuses diverted more than 758,000 single-use containers by choosing reusable options.
On the West Coast, the impact of regulatory changes is being felt in the food delivery industry. Since Seattle's PayUp ordinance took effect in January, requiring delivery workers to be paid a minimum wage based on mileage and time, fees on apps like DoorDash and Uber Eats have surged. These higher fees have led many consumers to reduce their use of delivery apps, resulting in a decline in demand that has hurt delivery drivers and restaurant owners. Some businesses have even been forced to close or exit the industry.
In the healthcare sector, Modivcare Inc. is focusing on community well-being through its partnership with the American College of Cardiology (ACC) in launching the Caring Hearts Initiative in Camden County, New Jersey. This program aims to address health disparities in underserved communities by providing essential supportive care services, particularly in health and nutrition. Camden County, which ranks first on the New Jersey Economic Development Authority's Food Desert Relief Act Map, is one of several locations participating in this multi-city effort, highlighting the importance of collaborative, community-driven initiatives in tackling health inequities.