Uber users in Montreal and Toronto can now order groceries through its Uber and Uber Eats apps, in a July 7, 2020 story. (File photo)

Uber users in Montreal and Toronto can now order groceries through its Uber and Uber Eats apps, in a July 7, 2020 story. (File photo)

Uber launches new grocery delivery service in Montreal and Toronto

Uber faces stiff competition

Uber Technologies Inc. is getting into the grocery delivery business and is using some Canadian cities to help it launch the venture.

The San Francisco-based tech giant said Tuesday that users in Montreal and Toronto can now order groceries through its Uber and Uber Eats apps.

“They’ll be able to place orders from local merchants and receive them in as little as one to two hours,” Daniel Danker, who runs Uber’s product team, told reporters.

A demonstration of the new service showed thousands of items available from retailers including Walmart, Metro, Rexall, Costco, Longos, Pet Valu and Well.ca.

The company’s foray into the grocery sector comes after Uber advertised in November 2018 that it was hiring a head of grocery product in Toronto.

The company remained secretive about the role, but a year later, Uber’s potential interest in a grocery service was a hot topic again when it announced it was acquiring a majority stake in Chilean grocery delivery start-up Cornershop.

The deal was held up by a Mexican Competition Authority investigation, but is supposed to close in the coming days.

Cornershop will serve as Uber’s partner in the grocery delivery venture, which will launch in more than a dozen Latin American cities alongside the Canadian markets.

Uber faces stiff competition with its new service. Amazon.com Inc. and Instacart are already going head-to-head with supermarket brands like Walmart and Loblaw Companies Ltd.

Uber believes it can edge out some of the competition because it sees groceries as a natural extension of its booming food delivery service and a way for the company to become a one-stop shop for every meal.

Grocery delivery has only become more important during the COVID-19 pandemic because more Canadians have transitioned to work from home and Uber’s ride-hailing business is still in “recovery mode,” according to Danker.

“I think this would have made a lot sense in a pre-COVID world, but our world has just fundamentally changed and so this represents even more of a huge responsibility for us,” Danker said.

This report by The Canadian Press was first published July 7, 2020.

Uber

Get local stories you won't find anywhere else right to your inbox.
Sign up here

Just Posted

Alberta has 1,910 active cases of COVID-19 as of Wednesday. Red Deer is reporting five active cases, with 108 recovered. (File photo)
Red Deer reports 25th COVID-19 death

415 new cases identified provincially Saturday

Alberta Health reported two new COVID-19 deaths in Red Deer Friday. (Image courtesy CDC)
Two more deaths linked to Olymel outbreak in Red Deer

Province reported 356 additional COVID-19 cases Friday

Black Press file photo
Wetaskiwin RCMP execute search warrant; illegal drugs seized

Two Wetaskiwin residents have been charged with possession and trafficking of Methamphetamine.

Alberta Premier Jason Kenney speaks during a news conference in Edmonton on Feb. 24, 2020. It’s budget day in the province, and Kenney’s United Conservative government is promising more help in the fight against COVID, but more red ink on the bottom line. THE CANADIAN PRESS/Jason Franson
Alberta’s budget promises more help for COVID-19 with a hard deficit

Annual spending on debt interest is closing in on $3 billion

Emily Keeping of Wetaskiwin, Alta., was last seen at 4:20 p.m. on Feb. 25, 2021 at the FasGas on 49 St and 50 Ave in Wetaskiwin. Supplied/ Wetaskiwin RCMP.
UPDATE: Wetaskiwin RCMP seek assistance in locating missing 11-year-old

Emily Keeping was last seen on Feb. 25, 2021 at the FasGas on 49 St and 50 Ave in Wetaskiwin.

A helicopter flies past a mountain near McBride, B.C., on Saturday January 30, 2016. THE CANADIAN PRESS/Darryl Dyck
Avalanche warning for backcountry users in North and South Rockies

Avalanche Canada is urging backcountry users to always check their regional avalanche forecasts

Supporters pray outside court in Stony Plain, Alta., on Wednesday, Feb. 24, 2021, as a trial date was set for Pastor James Coates of GraceLife Church. He is charged with holding Sunday services in violation of Alberta’s COVID-19 rules and with breaking conditions of his bail release. THE CANADIAN PRESS/Jason Franson
Trial date for jailed Alberta pastor charged with breaking COVID-19 health orders

The court says it will reconvene with lawyers on March 5 for a case management plan by teleconference

A pharmacist prepares a COVID-19 vaccine at Village Green Retirement Campus in Federal Way on Jan. 26. (Olivia Sullivan/Sound Publishing)
Canada approves use of AstraZeneca’s COVID-19 vaccine

The country joins more than a dozen others in giving the shot the green light

Sylvan Lake's Winter Village lured many visitors to the town this winter. The town has launched a new contest to attract a new business.
(Black Press file photo)
Sylvan Lake offering rent-free storefront space to lure new businesses

Winning business proposal will get a storefront space rent-free for a year

NDP leader Jagmeet Singh holds a press conference on Parliament Hill in Ottawa on Wednesday, Feb. 24, 2021. THE CANADIAN PRESS/Sean Kilpatrick
NDP will not trigger election as long as pandemic continues: Singh

‘“We will vote to keep the government going’

Mike Ammeter (Photo by Rebecca Hadfield)
Sylvan Lake man elected chair of Canadian Canola Growers Association

Mike Ammeter is a local farmer located near the Town of Sylvan Lake

Students and staff at Gateway Christian School wore pink Wednesday in support of Pink Shirt Day, a worldwide anti-bullying initiative that was started in 2007. (Photo courtesy of Red Deer Public Schools)
Students, central Alberta community celebrate Pink Shirt Day

Mayor of Sylvan Lake Sean McIntyre supports anti-bullying cause

Most Read