Uber is diving deeper into the package delivery market with a new feature under its Uber Connect service. The latest “Return a Package” option allows users to call an Uber courier to drop off their prepaid and sealed packages at the local post office, UPS, or FedEx. With this new addition, customers can now bypass the task of personally delivering their parcels to these shipment centers.
However, Uber restricts the service to a maximum of five packages per trip. This latest venture might be seen to deviate from its peer-to-peer service initiated during the 2020 pandemic, given that the current system has no stringent checks to prevent the misuse of Uber couriers, raising concerns.
An Uber spokesperson clarified to TechCrunch that the intention isn’t to overshadow the peer-to-peer Uber Connect service but to enhance it. This strategic move by Uber aligns with similar offerings by competitors like DoorDash, which unveiled its Package Pickup product earlier this year. The pricing is competitive with both platforms charging either a $5 standard fee or a reduced $3 for their respective membership holders.
Interestingly, traditional carriers have been offering package pickups for some time. While the USPS provides a free pickup during regular mail delivery (if scheduled), UPS and FedEx impose varying charges based on the urgency and nature of the package pickup.
Uber’s continuous expansion into diverse service verticals reflects its adaptability in the ever-evolving market landscape. By addressing the convenience factor, Uber is attempting to carve out a niche in the package return segment. However, maintaining security and ensuring the appropriate use of the platform will be vital for sustained success.
