Drizly owner Uber is shutting down the Boston-based alcohol-delivery company by the end of March.
Axios first reported the story, and Drizly included the news in its BevAlc Insights enewsletter Jan. 17.
Uber, San Francisco, which has 142 million monthly active users as of 2023’s third quarter, bought Drizly, North America’s largest e-commerce alcohol marketplace, in February 2021 for $1.1 billion.
Pierre Dimitri Gore-Coty, senior vice president of delivery at Uber, said in a statement, “After three years of Drizly operating independently within the Uber family, we’ve decided to close the business and focus on our core Uber Eats strategy of helping consumers get almost anything, from food to groceries to alcohol, all on a single app. We’re grateful to the Drizly team for their many contributions to the growth of the BevAlc delivery category as the original industry pioneer.”
Alcohol delivery is currently available on Uber Eats across 35 states and more than 25 countries in addition to restaurant food, grocery, retail and more, Uber spokesperson Meghan Casserly told CSP.
The alcohol-beverage delivery category on Uber Eats has expanded rapidly, with global business more than doubling in the last year, Uber said, and consumers increasingly prefer the one-stop-shop convenience of being able to get multiple types of products delivered using the same app.
Uber also said the majority of Drizly consumers also have Uber accounts. It added that it has learned from Drizly’s experience in the alcohol-beverage space and hopes to use that learning as it continues to build out its own alcohol-beverage offerings.
BevAlc Insights will continue to publish weekly articles and newsletters through the end of February, Drizly wrote in its latest enewsletter. “We appreciate and thank you for your loyal following over the past few years.”
In addition, to consolidate Uber’s product delivery offerings into Uber Eats, Uber will sunset its grocery shopping app, Cornershop, according to CNN.
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