Your Uber Eats Orders May Be Delivered by Drone Soon
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Uber's gone far beyond just connecting riders and drivers to get from point A to B. It now operates a fleet of dock-less scooters and bikes and is developing its own self-driving car and and flying taxis. One of the fastest-growing parts of its business is food delivery via Uber Eats, and today it's announcing a potentially game-changing new aspect to this business by commencing tests for delivery via drone.
This summer, Uber will start testing the commercial application of food delivery by drone in San Diego, California. Uber's already conducted limited trials delivering McDonald's to customers.
According to Bloomberg, which had access to the first tests in May, the drone has special compartments to keep the food warm and intact while in-flight. (Uber Eats reported a revenue of $1.5 billion in 2018, up almost 150% from 2017. Overall, Uber had a net loss of $891 million in the second quarter of 2018, the latest available income data. The company doesn't break out profit or loss for its individual units like Uber Eats.)
Uber says the new tests will expand the restaurants that will allow drone delivery, including local San Diego spots like Juniper and Ivy.
Still, drone delivery is far off from widespread use, and these tests won't have drones landing in customers' backyards. Restaurants will load meals into drones and Uber will alert an Uber Eats delivery person to meet the drone at a designated dropoff location. That human will then hand-deliver the food to the customer.
Uber still needs to get approval from the Federal Aviation Administration for tests to go ahead (although that appears likely and the FAA chose San Diego as testing ground for these trials last year). It also needs to continue to develop its airspace-management system to ensure its fleet of drones are avoiding commercial aircraft and each other so burgers and milkshakes aren't raining from the sky, or worse accidents happen.
It's currently using a non-proprietary drone, but it says it has plans to unveil its own drone later this year that's specifically designed for Uber Eats deliveries.
Uber says that it believes drone food delivery will become more prevalent in about three years. Amazon just revealed its own drone that will begin delivering packages to customers.
Reports indicates that Uber Eats does not code as a dining purchase, but under travel, so you'll want to use a credit card that earns bonus points on travel like the Chase Sapphire Reserve or the Citi Premier® Card when making purchases through the service.
The Platinum Card® from American Express comes with up to $200 in Uber credits every year, and those credits can actually be used for Uber Eats orders. Who would have thought a credit card benefit would include food delivered via drone?
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| 4X | Earn 4X Membership Rewards® points per dollar spent on purchases at restaurants worldwide, on up to $50,000 in purchases per calendar year, then 1X points for the rest of the year. |
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| 1X | Earn 1X Membership Rewards® point per dollar spent on all other eligible purchases. |
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Cons
- Not as useful for those living outside the U.S.
- Some may have trouble using Uber and other dining credits
- You may be eligible for as high as 100,000 Membership Rewards® Points after you spend $8,000 in eligible purchases on your new Card in your first 6 months of Card Membership. Welcome offers vary and you may not be eligible for an offer. Apply to know if you’re approved and find out your exact welcome offer amount – all with no credit score impact. If you’re approved and choose to accept the Card, your score may be impacted.
- Earn 4X Membership Rewards® points per dollar spent on purchases at restaurants worldwide, on up to $50,000 in purchases per calendar year, then 1X points for the rest of the year.
- Earn 4X Membership Rewards® points per dollar spent at US supermarkets, on up to $25,000 in purchases per calendar year, then 1X points for the rest of the year.
- New! Earn 5X Membership Rewards® points on prepaid hotel stays booked through AmexTravel.com or the Amex Travel App.
- Earn 3X Membership Rewards® points on flights booked through AmexTravel.com, the Amex Travel App, or purchased directly from airlines.
- Earn 2X Membership Rewards® points on prepaid car rentals booked through AmexTravel.com or the Amex Travel App and cruises booked and paid through AmexTravel.com.
- Earn 1X Membership Rewards® point per dollar spent on all other eligible purchases.
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- Updated! $120 Dining Credit: Earn up to a total of $10 in statement credits monthly when you pay with the Gold Card at Grubhub (including Seamless), Buffalo Wild Wings, Five Guys, The Cheesecake Factory, and Wonder. This can be an annual savings of up to $120. Enrollment required.
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