Postmates

Postmates was an American food delivery and courier service. Founded in 2011 and based in San Francisco, California, it operated a network of couriers who delivered goods to customers from local restaurants and retailers.

History and Operations:

Postmates was founded by Bastian Lehmann, Sean Plaice, and Sam Street. Initially focused on delivering more than just food, the company expanded its service offerings to include groceries, alcohol, and other retail items. Couriers, often referred to as "Postmates," used a mobile app to accept delivery requests, pick up the items, and deliver them to the customer. The app also allowed customers to track their orders and communicate with their courier.

Business Model:

Postmates operated on a commission-based model, charging fees to both customers and merchants. Customers paid delivery fees, while merchants paid a percentage of the order value to Postmates. The company relied on independent contractor couriers who were paid per delivery.

Acquisition by Uber:

In July 2020, Uber announced its acquisition of Postmates in an all-stock deal valued at $2.65 billion. The acquisition was completed in December 2020. Following the acquisition, Postmates' technology and delivery infrastructure were integrated into Uber's existing delivery platform, Uber Eats. While the Postmates app continued to operate for a period, it was eventually phased out, and its users were encouraged to migrate to the Uber Eats platform.

Legacy:

Despite its discontinuation as a standalone service, Postmates played a significant role in the growth and evolution of the on-demand delivery industry. Its innovative approach to local delivery helped to popularize the concept and pave the way for the widespread adoption of food and grocery delivery apps. The acquisition by Uber marked a significant consolidation in the competitive delivery market and highlighted the increasing importance of delivery services in the modern economy.