In a significant development in the world of alcohol delivery, Uber has announced plans to shut down Drizly, the popular alcohol delivery app, and lay off all of its employees by the end of March. The move is part of Uber’s strategic decisions following its acquisition of Drizly in 2021.
Documents filed in Massachusetts reveal Uber’s intention to terminate all Drizly positions, affecting 168 employees based in Boston. The decision marks the end of an era for Drizly, which, at the time of its acquisition, had established itself as North America’s largest online booze retailer, serving more than 1,400 cities.
The acquisition of Drizly by Uber in 2021 was a significant move aimed at expanding Uber’s reach into the alcohol delivery market. Drizly’s user-friendly app and widespread service had made it a go-to platform for consumers looking to have alcoholic beverages delivered to their doorstep.
The impending shutdown of Drizly comes as Uber reevaluates its portfolio and business priorities. While the alcohol delivery app had seen success and growth, Uber’s decision to lay off all Drizly employees suggests a shift in focus and resources within the company.
The impact of this decision extends beyond Drizly’s closure, as some support roles at Uber will also be affected. However, a small number of employees from Drizly will be offered positions at Uber in the Beverage and Alcohol service, indicating a strategic retention of talent within the company.
As the alcohol delivery landscape undergoes changes with the exit of Drizly, competitors and other players in the industry are likely to assess the evolving dynamics of this market segment. The move by Uber emphasizes the fluid nature of the tech and delivery industries, where companies continually adapt their strategies to align with market demands and organizational goals.
