Uber has announced the shutdown of Drizly, the popular alcohol delivery app, just three years after its acquisition for $1.1 billion. The move comes as Uber shifts its focus to its core Uber Eats strategy, aiming to consolidate its product delivery offerings. Drizly, which had become the largest online marketplace for alcohol in North America, will cease its operations at the end of March 2024.
The alcohol delivery service, known for its standalone app, will see its marketplace integrated into Uber’s delivery app, Uber Eats. This decision follows Uber’s acquisition of other delivery companies, such as Postmates, as part of its efforts to ramp up its competitive edge in the delivery business. While Uber’s ridesharing business has seen a rebound in recent quarters, the company is streamlining its delivery services, having also sunset its grocery shopping app, Cornershop.
Despite the closure of Drizly, customers will still be able to order groceries and alcohol for delivery through Uber Eats. The shutdown marks the end of an era for Drizly, which had experienced significant growth during the pandemic-driven surge in at-home delivery.