Ahold Delhaize & Uber Eats Expand Partnership: Upside Ahead?

In a customer-friendly move, Uber Eats, the online food ordering and delivery platform of Uber Technologies UBER, and Ahold Delhaize USA, a major grocery retail group, have expanded their partnership to enhance on-demand grocery delivery services for customers across the Northeast and Mid-Atlantic regions.As part of the collaboration, nearly 2,000 stores operated by Food Lion, Giant Food, The GIANT Company, including GIANT and MARTIN’S, Hannaford and Stop & Shop are now accessible through the Uber Eats marketplace.The arrangement enables customers to shop from their preferred Ahold Delhaize USA brands directly through the Uber Eats app, offering an additional online shopping channel for thousands of products, including fresh produce, pantry essentials, household necessities and alcohol at select locations. Customers can choose between on-demand and scheduled delivery services. To mark the launch, Uber and Ahold Delhaize USA are introducing a special promotion for first-time orders placed through Uber Eats. Members of Uber One will also benefit from zero delivery fees on eligible orders, along with additional exclusive discounts.Keith Nicks, chief commercial and digital officer at Ahold Delhaize USA, noted that customers increasingly expect flexibility in their shopping experiences, whether through brand-owned platforms or established marketplaces such as Uber Eats. The collaboration further enhances the omnichannel capabilities of Ahold Delhaize USA by allowing customers to shop in the manner most convenient for them while preserving the strong local identity associated with each brand.The expanded partnership also builds upon the existing relationship between Ahold Delhaize USA and Uber Direct, a delivery service that supports the retailer’s first-party delivery channels. Through Uber Direct, the grocery brands gain access to Uber’s courier network, enabling faster and more convenient deliveries.Hashim Amin, head of grocery and retail for Uber in North America, stated that working with established local retailers such as Ahold Delhaize USA helps extend access to fresh groceries and everyday essentials for a wider customer base. With nearly 2,000 stores now integrated into the platform, customers are able to shop from familiar brands, whether planning purchases in advance or ordering while on the move.The shopping process through Uber Eats has been designed for convenience. Customers can access the app, select the “Grocery” category, choose a nearby participating store, browse products, add items to their cart, select a preferred delivery time and complete the purchase. Orders can then be tracked in real time until delivery. Additionally, eligible orders at participating locations will support SNAP/EBT payments through Uber’s partnership with Forage.Last year, Uber inked a deal with retailer Best Buy BBY for on-demand delivery. The deal brings consumer electronics from more than 800 stores to the Uber Eats platform. Following the tie-up, Best Buy customers throughout the United States are eligible to order a wide range of electronics, appliances and tech essentials on Uber Eats for delivery to their doorsteps. The partnership allows Uber Eats and Best Buy to make the latest technology more accessible than ever, thereby reflecting the deal’s customer-friendly nature.Last year, Uber also inked agreements with discount retailers Dollar General DG and Dollar Tree DLTR. The tie-up with Dollar General ensured that its more than 14,000 locations arrived on the Uber Eats platform. Following the association, customers are using the Uber Eats app to order food, beverages and other essentials.The deal with Dollar Tree has enhanced UBER’s retail delivery capabilities by adding nearly 9,000 stores to the Uber Eats platform. The partnership with Dollar Tree ensures that customers across states can now easily access affordable items of everyday use, ranging from party supplies to cosmetics and home essentials for on-demand delivery.UBER’s Share Price Performance, Valuation and EstimatesShares of UBER have declined in double digits (% wise) over the past six months. Courtesy of the downbeat performance, UBER’s shares have underperformed the Zacks Internet-Services industry over the same time frame.6-Month Price ComparisonImage Source: Zacks Investment ResearchFrom a valuation standpoint, UBER trades at a 12-month forward price-to-sales of 2.45X. UBER is inexpensive compared with its industry.Image Source: Zacks Investment ResearchSee how the Zacks Consensus Estimate for Uber’s earnings has been revised over the past 90 days.Image Source: Zacks Investment ResearchUBER's Zacks RankUBER currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here. 7 Best Stocks for the Next 30 DaysJust released: Experts distill 7 elite stocks from the current list of 220 Zacks Rank #1 Strong Buys. They deem these tickers "Most Likely for Early Price Pops."Since 1988, the full list has beaten the market more than 2X over with an average gain of +23.9% per year. So be sure to give these hand picked 7 your immediate attention. See them now >>This article originally published on Zacks Investment Research (zacks.com).Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks