The food delivery market has experienced massive traction ever since the COVID-19 pandemic. The fact that UberEats surpassed Uber’s core ride-hailing division in terms of sales and service requests is a concrete example of the above statement. With restricted dine-in movements, restaurants are collaborating with third-party delivery platforms as their last resort. On the other hand, people hesitate to step out of their homes unless it is an absolute necessity. When given the luxury of enjoying their favorite cuisines from the comfort of their homes, people are inclined towards these platforms.

With UberEats experiencing enhanced traffic, the platform has introduced its first in-app advertising format, enabling restaurants to feature their offerings and boost visibility. How has this strategy helped the entire ecosystem? And what are the different income-generating sources to consider in an UberEats clone app? Explore more to find out.

The In-app Ad Format:

According to a recent announcement by UberEats, the platform introduced its first in-app advertising format, enabling restaurants to promote their offerings. The in-app ad format, a.k.a., the Cost-Per-Click model, ensures that the restaurants pay charges to the platform only when customers click on the ads. These ads appear on top of users’ home feed.

Another notable aspect that deserves a special mention is that with UberEats’s self-serve ad platform, restaurants can channelize their ads based on locations, order history, etc. In view of encouraging restaurants to consider this in-app ad format, the platform offers $25 million in marketing credits to low & medium-scale restaurants facing reduced dine-ins due to the pandemic.

According to the company, sponsored listings have witnessed a fivefold return on ad spend (ROAS). Thus it is clear that restaurants will opt for sponsored listings to boost their visibility and hence sales.

The Enticing Benefits of Sponsored Listings:

The introduction of sponsored listings comes with numerous benefits for the entire ecosystem. They include,

  • Target the right audience: Restaurants can channelize their services towards their intended audience, thereby enhancing their visibility in a particular region. This way, restaurants get to boost their sales amid the tough COVID-19 times.
  • Enhanced customer engagement rates: Customers get to know the type of cuisines or different offers provided by restaurants in the form of ads in their feed. This way, they can order effortlessly from the desired restaurant if they are satisfied with the price & quality.
  • Revenue for entrepreneurs: By helping restaurants connect with their target audience, entrepreneurs earn consistent income via the food delivery platform. This way, they can levy ad charges based on a CPC basis.

Thus sponsored listing paves the way for a win-win-win situation for every stakeholder.

Different monetization strategies:

In addition to sponsored listings, an entrepreneur can yield revenue from a variety of sources with a food delivery app like UberEats. Some of the monetization strategies worth-considering include,

  • Restaurant commissions: Restaurants give up a fixed percentage of every customer payment as paid commissions to the platform owner.
  • Delivery charges: Customers prefer doorstep deliveries for its sheer convenience. Hence, during the final payment, they pay the delivery charges. By having an in-house delivery team, a platform owner can generate consistent income.
  • Subscription charges: Users can opt for subscription plans, either monthly/annually, by paying subscription charges. By doing so, they enjoy premium benefits.


UberEats’s new initiative sponsored restaurant listings have gained a positive response among the audience and restaurants. With COVID-19 accelerating the need for doorstep deliveries, capitalize on the demand by rolling out an ultra-modern UberEats clone. This way, by benefiting restaurants & customers, the platform owner gets to maximize profits as well.

Author's Bio: 

Christopher Willson is an ardent believer in life morals, a writer by profession, an aspiring author, and a creator, who believes in his existence for literature. He, being an extrovert, has no qualms talking to all sorts of people. When he is not writing, you can find his indulged in reading, dancing, and daydreaming to change the World!