How to Make $1000 a Week with Uber Eats

This article originally appeared on The Financially Independent Millennial and was republished with permission. 

In the 21st century, people are getting accustomed to shopping on online platforms. They order food, clothes, and other goods. This means that the demand for delivery services is growing. U.S. residents are less likely to leave their homes when they need to shop at grocery stores. The same goes for ordering food from a restaurant. This is not only due to the pandemic lockdown. After all, people these days prefer comfort and don’t want to stand idle in traffic jams and queues. So, the service that Uber Eats offers is a must-have. Millions of people know about such a platform and many of them use it. And, in this article, you’ll discover how to make $1000 a week with this exciting side hustle, Uber Eats.

Of course, restaurant owners need to focus on Uber Eats, which is a good platform for them. Such a tool is no less useful for taxi drivers who can get additional income in partnerships. The prospects for each of the stakeholders are promising. During the pandemic, food services skyrocketed in popularity as consumers look for ways to avoid exposure to the virus while shopping for food. Many of them are sure that using the Uber platform is the best way to order food to the office. Even if there’s no need for lockdowns, this service won’t cease to be in demand. This is especially true for large metropolitan areas. This is because in densely populated areas, people have to spend one to two hours going to a restaurant.

1. Uber Eats at a Glance
2. About Profit
3. How to Choose the Right Business Strategy
4. Summary

Uber Eats at a Glance

Uber Eats is a delivery service created by the world-famous taxi brand. Today, this project is more popular than ever. Due to the current pandemic and constantly developing technologies, there’s a sharp popularization of such a service. The dynamics of the increase in the number of food orders via the Internet have changed significantly in recent years. But what about making money in this area? U.S. residents can find many business ideas about this. Basically, drivers write that they manage to earn up to $5,000. But is this so, and what determines the size of the profit? Let’s find out!

Main Things for Novice Drivers

The first step to take when deciding to start a partnership is to find out if this service is valid in a particular city. This brand has launched several successful startups in recent years. The company’s management is very optimistic about many of these projects. Hardly anyone doubts the promise of Uber Eats. But in terms of earnings, not everything is so simple. This is because not all drivers are responsible enough to build a delivery business. Their success often depends on the following: understanding of their mission, type of vehicle, communication. U.S. residents also should figure out they meet the specific requirements. 

Only users over 18 can be approved for the Uber Eats service. However, they don’t need to have a car. It’s allowed to bring food by bike or scooter. Although in this case, the profit won’t be high. People who want to make $1,000 a week need some intrinsic motivation. Without these traits, no one will be successful in any business. For some users, the hardest part is getting verified by Uber. This brand uses the Checkr app to validate all partners. They screen candidates before people get approved. This procedure occurs again every year when partners stay with the platform.

About Profit

A partnership with this brand will be profitable in one way or another. Uber increased its stakeholders by more than 70% over last year. And the number of new small and medium-sized restaurants increased by more than 60%. This means business owners have many opportunities to expand their partnerships. Currently, more than 500,000 restaurants are registered on the Eats platform. These are both small coffee shops and brands such as McDonald’s.

Specificity of Pricing

Glassdoor reports that partners typically earn $11 an hour. Profit is different, and no one will deny it, but why is it so? Perhaps, this is one of the most pressing questions for people who want to try to succeed in this business. Let’s take a look at a few parameters that affect the salary of each shipping partner. Anyone who wants to be competitive in the market should pay attention to the following:

1. Pickup Fees. There’s a fee for each order. Users are asked to choose a flat rate for each restaurant they prefer. In July 2020, Uber Eats launched a service that allows companies to offer direct ordering. This was valid until the end of the year. The brand also offers additional tools to track orders.
2. Mileage. It varies in different regions. Because of this, U.S. residents should carefully choose a location for their business. Drivers earn for every mile they make while driving. Uber rates will differ when people are driving, cycling, scooter, or walking.
3. Boost Prices. In the same way as the price increases for taxis, Uber Eats partners also receive higher wages during periods of high demand. The company calls this “Boost.”

Uber often shows obvious irrationality in paying drivers by offering services at a loss to the company. This is done in order to gain market share. But such irrationality cannot last forever; competitors can fail and the prices are raised. As the impact of the pandemic on the market decreases, such dynamics may change significantly.

How to Choose the Right Business Strategy

Building the best business with thousands of taxis, Uber launched Uber Eats in 2014. The new startup was considered promising in those years. But today, this business is no less relevant. All partners of this company can deliver food to different cities on six continents. Uber Eats helps people take orders from local establishments, from coffee houses to gourmet restaurants. This company allows consumers to get delivery right to their doorstep. This is a service that will only grow in popularity over the next few years.

Uber Eats does a lot to make consumers feel comfortable. It’s very easy to place orders with this app. All the buyers do is pick up the brand and select the dishes they want from the application menu. The same goes for the people who deliver. Users don’t need to be financially savvy or formally register a company. It only takes a good track record and responsibility to get approved on the team.

Expert Tips

Uber is undoubtedly the most popular transportation app for passengers. U.S. residents can earn extra money with this company, even without having a car and license. It’s as promising as trading cryptocurrency through an ICOholder. Just as people can enrich themselves due to fluctuations in the price of Bitcoin or Litecoin, they can make money using the growing authority of the delivery service. This startup is getting more promising every year, and this is an indisputable fact. Even experts predict the adoption of cryptocurrency as one of the main payment tools for this platform.

Uber Eats is an added value for every taxi driver. But when it comes to big money, it’s not that simple. The first thing for aspiring businesspeople is to set a goal to motivate themselves for the grueling 12-hour delivery. If people want to make $1,000 a week delivering food, they need to get serious about driving. It should be built exactly as the main business, and not considered as a way of additional income. To reach big money per week, partners will have to make at least 10 deliveries every day. But this is not the only thing that matters. Anyone who wants not to get lost in a long-term perspective should take into account a few principles. 

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Business Legalization: Pros and Cons

Any newbie should be guided by the principles of self-employment. This means the owners of this platform don’t withhold taxes, track earnings, provide insurance, and notify users of tax deductions. This is the principle that Uber has strictly adhered to from the early days of its startup. At the start of a business, it’s advisable to maximize tax benefits. An LLC is most suitable as a business model. DBA status is also suitable, but a corporation or LLC is better in terms of protecting a novice businessman from liability. Such models are optimal for cases when people want to hire several drivers, and not deliver the food themselves. For those who have several cars, this is an opportunity to multiply the profit twofold or threefold.

Key Takeaway: Starting a corporation or LLC provides more tax benefits than a sole proprietor. For example, if taxi drivers decide to accumulate income in a personal bank account, in most countries the funds earned will be subject to tax. 

Double Income as an UberX Driver

Uber’s gross orders with delivery grew 135% in the third quarter of 2020, according to the company’s income statement. In the USA alone, the total volume of orders increased by 123%. This means that the project is really promising and with an Uber Eats restaurant affiliate account drivers have more opportunities. But in this case, partners must have an appropriate account, as well as legal documents and a food license. Registration provides for uploading scans of these documents to the site. Uber is very meticulous in approving partners. They care if people have had parking fines or tax charges. If the driver is charged with theft or serious traffic violations, the candidacy will be rejected. 

Reducing Costs Is the Best Way to Increase Profits!

Taxi drivers who want to get the maximum profit should always bring packages from home. Hunger is most pronounced when there is amazing smelling food in the car. Having food with them, people will save on snacks and shorten breaks. This is the best way to increase profits. Delivery partners should understand that even if taxi drivers earn a lot, but spend more than 15% of their daily income on buying food, this is not the right strategy.

It’s worth strictly limiting the localization of orders. While a taxi driver may be tempted to fill orders throughout the city, it can be a waste of money on gas. The same goes for working hours. Partners should pick up proposals that will help them reduce their transportation costs. This is about discounts on gasoline, tariffs for telephone communications, and so on.

Market Analysis Is Important!

Working one block away is the best way to reduce delivery distance and fuel consumption. It’s also worth understanding that breakfast, weekends, lunch, and dinner times are the busiest in terms of the number of orders. All Uber Eats partners should adjust their schedules based on these specifics. Los Angeles is the most suitable place for making money in this way because the likelihood that customers are willing to pay good tips is high. It’s very important to follow trends in a particular region. 

For anyone aspiring Uber Eats deliveries, quantity, not rate, is key. Plus, rejecting other orders to get a better deal can backfire in the form of negative reviews. Having made several deliveries, novice taxi drivers will be able to understand which restaurants will help them get more orders. They should be aware of local events. The organization of football matches or concerts can lead to a sharp increase in orders. During these periods, restaurants are likely to raise wages for delivery drivers. Do not miss this chance!

Key Takeaway: The food delivery strategy is essential. Making $1,000 a week with Uber Eats will only be an achievable goal for people who have built an effective strategy and stick to it. It’s very important to have the right schedule. All novice taxi drivers should realistically assess the potential of their region. Anyone who tries to keep abreast of new services always makes more money.

About Rating

Top-rated users receive more orders. They’re more likely to displace competitors from the market. But not everyone manages to be a favorite. Success in this regard depends on the personal qualities of each partner. Politeness will help everyone improve their results in terms of both tips and long-term profits. This is important because as soon as a negative review is written about users, the number of orders will decrease several times.

Key Takeaway: Uber Eats encourages buyers to tip generously. However, people don’t always do it. Consumer generosity must be earned. First, be patient. It’s worth remembering that if a taxi driver leaves a parcel at the door, the buyers will probably get it, but they will unlikely write a positive review. Sometimes, U.S. residents order food and don’t have time to return home. In this case, the delivery man will have to wait a bit.  

Get Ready for Challenges

If Uber Eats gets a good profit in 2021, it will surpass predictions that a successful startup will be losing money on orders by 2024. Experts say the monthly number of active consumers on the platform has increased by more than 70%. This means that global challenges in some way have a positive impact on this business. This platform is changing, and partners will also have to change. Being a courier is very similar to a postman. There’s no need to be afraid of snow, heat, rain, or the darkness of the night. When the weather isn’t good, users are more likely to deliver food to consumer homes.  

Be Aware of Traffic and Weather

Traffic jams, construction, sports, fairs, and different events can affect the speed of delivery. Users will be more efficient if they are aware of what is happening in their city and area. To be in touch, people must visit online platforms and communicate with fellow drivers. It’s also worth listening to the radio as it is the best way to keep abreast of the news.

How about Equipment in a Taxi?

For efficient delivery, the partners will need additional equipment. It’s worth stocking up on bags, cup holders, and other adjustments with which people can avoid spills of liquids and food. People should pay attention to the fact that consumers write negative reviews because the temperature and freshness of the products do not correspond to the desired. Use thermal bags and mini-coolers. 

Summary

Uber Eats is a well-known food delivery app. This popular brand gives people a variety of options to get a profit. Experienced drivers can certainly make $1000 per week with Uber Eats. The effectiveness of each of them depends on different factors, such as the number of orders, the location of the consumers, the time it takes to drive, and much more. Typically, Uber Eats will pay their delivery man the equivalent of the $20 minimum wage for one hour. Due to such a salary, many drivers decided to try themselves in partnership with this project. Considering the numerous positive reviews, this is a promising undertaking.