Tuesday 21 November 2023

Postmates vs. Uber Eats: Drivers Guide

The post Postmates vs. Uber Eats: Drivers Guide appeared first on Millennial Money.

The last few years created a high demand for food delivery apps. Uber Eats and Postmates were busy and constantly needing drivers.

Today, with more restaurants and stores open and a huge demand for work for delivery drivers, there’s a lot of competition in the industry. Of the popular food delivery apps, Postmates vs Uber Eats is a common debate.

I’ve put together the research to show you how they compare.

Postmates vs. Uber Eats: Overview

Postmates and Uber Eats are both on-demand delivery services. In 2020, Uber Eats acquired Postmates, which has since shut down the Postmates Fleet app that Postmates drivers used.

They now use the Uber Eats driver’s app. However, Postmates is still ‘Postmates’ on the customer side.

During the original merger, Uber Eats strictly delivered restaurant food, and Postmates delivered almost anything, including restaurant food, grocery orders, pet supplies, and drugstore orders.

Today, both platforms offer options from restaurants, grocery stores, convenience stores, liquor stores, and pet stores.

Postmates vs. Uber Eats: How They Work

The process to work for Postmates and Uber Eats is identical for drivers since Uber Eats owns Postmates.

On the customer side, however, customers can order from Uber Eats or Postmates. The sites and apps are still separate.

Drivers all work through the Uber Eats app, though. When a customer orders, it goes to the restaurant and out to active and local drivers. If you’re active on the app and within the vicinity of the restaurant, you have a chance of receiving the order.

Drivers don’t have to accept every order they’re sent. Uber Eats is one platform where the acceptance rate doesn’t affect your ratings or number of orders you receive. This gives drivers more control, allowing them to only accept the orders that make the most of their time.

If you accept an order, you receive instructions to pick it up and a delivery destination. Uber Eats and Postmates pay drivers a flat fee per delivery. Drivers also keep 100% of any customer tips.

Who Each Is Best For

Since Uber Eats and Postmates merged, the apps don’t have much difference for drivers. All work you do is through the Uber Eats app, and you can receive orders from customers ordering Uber Eats or Postmates.

In general, though, becoming a delivery driver is best for those who want to create their own schedule, make some extra money, and enjoy customer service.

Postmates vs Uber Eats Driver: Application Process

To become a Postmates or Uber Eats driver, you must apply on the website or app and get approved. The process is fast, minus the time spent waiting for your background check to clear. However, you can apply within a few minutes.

Since Uber Eats and Postmates merged, the application process is the same. When you apply to be a Postmates driver, you automatically apply to be an Uber Eats driver and vice versa. All this means for drivers is a larger selection of restaurants/stores and more chances to earn money.

How to Apply

Click on either the Uber Eats or Postmates sign-up link. Both take you to the Uber Eats platform. Enter your email address or phone number, and follow the instructions.

You’ll provide information for Uber Eats/Postmates to identify you, check your background, and ensure you have a valid license and Social Security number.

You must consent to a background check. They’ll also need you to upload a copy of your driver’s license to prove your identity.

Getting your background check results can take a few days or longer. Once complete, you are approved to deliver for Postmates or Uber Eats.

Postmates vs Uber Eats: Driver & Vehicle Requirements

Uber Eats has stricter driver and vehicle requirements than Postmates, and any Postmates drivers must go through the Uber Eats application process to remain active.

Before the merger, Postmates allowed drivers of at least 18 years old to deliver for them. Now, with the merger, drivers of vehicles (cars or scooters) must be at least 19 years old. However, 18-year-olds can deliver via bike.

The vehicle must have two doors (not a difficult requirement to meet), and you must have proper identification, including a valid driver’s license and insurance with your name on the policy.

All drivers must pass a background check, which is the longest part of the application/approval process because you must wait for the clear background check before you can start deliveries.

Postmates vs Uber Eats: Earning Potential & Payment Structure

The earning potential is a key factor when choosing your food delivery platform. Again, because Uber Eats owns Postmates, the payment structure is the same. But here are some differences Postmate drivers may experience.

The average Uber Eats driver pay is slightly higher than Postmates, so drivers can make more money.

Uber Eats drivers earn a flat rate for the delivery plus tips, and they always know the amount they’ll earn before accepting an order. However, there are ways to make good money driving for Uber Eats.

Postmates vs Uber Eats: Coverage Area

Since Postmates and Uber Eats merged, the coverage area is the same, spanning approximately 500 cities.

When Uber Eats acquired Postmates, they were able to take on a larger share of the market (which DoorDash seems to have cornered), now serving over 6,000 cities.

DoorDash still carries 65% of the market, and Uber Eats, in combination with Post Mates, has around 25% of the market.

Postmates vs Uber Eats: Scheduling Flexibility

Uber Eats and Postmates drivers choose when they want to work and switch their status to active. You don’t have to schedule shifts and can work when you want.

There are pros and cons to this method that Uber Eats and Postmates offer. With scheduled shifts, you’re guaranteed a spot when competition is steep. That’s not the case when you can switch the app on at will.

If you want to work and the area is already saturated, you may not be able to log on, or if you do, there will be few (if any) orders available.

But it’s a nice feature because you can turn the app on or off at will, allowing you to be more spontaneous about when you work.

Postmates vs Uber Eats: Order Assignment Process

Like most food delivery apps, the orders go to active drivers closest to the area.

However, Uber uses a complex algorithm to determine which driver gets the order. Some drivers stated they were sitting in the restaurant’s parking lot waiting for orders to come, and another driver pulled in, got the order, and left.

This leads many to believe an algorithm calculates how long it would take each driver to get to the location. The parked driver may not factor into the equation because their car wasn’t moving, so the algorithm couldn’t calculate when the driver would arrive.

To be successful at Uber Eats and Postmates, drivers should play around with where they position themselves to see which area gets the most orders.

Postmates vs Uber Eats: Promotions, Tips, and Rewards

Postmates was the ‘King of Promos’ when they were separate from Uber. Since Uber Eats already had the ‘Uber’ brand, which is a household name, they didn’t have to work as hard to get drivers. This is especially true since already approved Uber drivers were automatically approved for Uber Eats.

As a result of the merger, Uber Eats has offered more promos to bring more drivers to the area to win more of the market share.

Uber Eats offers some great opportunities for bonuses, which may have come from Postmates who offered bonuses, such as:

  • Referral bonuses – One-time bonuses for referring other drivers.
  • Boosts – Higher per delivery pay for busy areas (only in dedicated areas).
  • Surge pricing – Higher pricing in all areas due to higher demand.
  • Quests – Challenges to complete a certain number of deliveries in a specified time.

Both apps allow drivers to keep 100% of customer tips, so the better customer service you provide, the more money you can make.

Postmates vs Uber Eats: App User Experience

Since the Postmates Fleet app is no longer active, Uber Eats and Postmates drivers use the Uber Eats app.

The app is intuitive, providing drivers with directions to the restaurant and the dropoff location with the most efficient route outlined. Drivers can also contact customer support, message customers, and accept/decline orders directly in the app.

The app’s only downside is that you must keep it on as your main screen while active. If you navigate to other apps while active, the app will automatically switch your activity to ‘off.’

Postmates vs Uber Eats: Ratings System

Ratings are one area where previous Postmates drivers may miss Postmates because their rating system was simply a thumbs up or down. They didn’t have a number system, which put much less pressure on drivers.

Uber Eats drivers must maintain a high average rating out of 5 stars to remain active. The actual rating you need depends on where you live. For example, you may need a 4.8 rating in one state, and others may allow a 4.6 or lower.

But the ratings directly coincide with your tips, so it’s to your advantage to provide excellent customer service.

Here are a few ways to ensure you get a good rating and great tips:

  • Communicate with customers, especially if an order, or you are running late.
  • Provide ‘extras like napkins, silverware, and condiments.
  • Be respectful to restaurants and customers.
  • Be a problem solver.
  • Be fast and efficient.

Postmates vs Uber Eats: Safety Measures

Postmates drivers had liability insurance coverage while delivering orders for Postmates, which was a great benefit, even though personal liability coverage that meets state requirements was still necessary.

Fortunately, Uber Eats offers the same benefit, covering delivery drivers while they are active on the app. Your personal insurance prevails whenever the app is not on, and you are not active.

If you are active and your personal liability insurance doesn’t cover the issue, drivers have the following coverage while waiting for an order request:

  • $50,000 in bodily injury per person/$100,000 per accident.
  • $25,000 in property damage per accident.

If you’re on your way to pick up an order, the liability insurance increases to $1,000,000 third-party liability coverage and contingent comprehensive and collision insurance with a $2,500 deductible.

Uber Eats takes safety seriously and offers many ways to contact them should you need immediate support.

Postmates vs Uber Eats: Pros and Cons

Even though Uber Eats and Postmates are one now, it’s fun to look at the pros and cons of each when they were separate to see if the merger benefits drivers as much as Uber Eats states.

Pros of Driving for Postmates

  • Wide selection of promotions and bonuses
  • Scheduled shifts allowed
  • Keep 100% of tips
  • Flexible working schedule

Cons of Driving for Postmates

  • Not in as many cities as other apps
  • Not as widely known as Uber Eats and DoorDash

Pros of Driving for Uber Eats

  • You can work on a whim, making yourself active any time
  • Higher average earnings than Postmates
  • Keep 100% of customer tips
  • A household name with a larger market share

Cons of Driving for Uber Eats

  • Still not as large of a market share as DoorDash
  • Stricter driver requirements

Frequently Asked Questions

Postmates and Uber Eats are one, but weighing your options with all delivery apps is still a good idea.

Is Uber Eats a Good Company to Work For?

On Indeed, drivers rate Uber Eats with 3.4 out of 5 stars, with 4 stars for work-life balance and 3.1 stars for company culture. The ratings for pay are somewhat low, but that’s the case for most delivery apps since drivers rely heavily on tips. There’s no guarantee for the earnings they’ll make.

Is Postmates a Good Company to Work For?

Postmates is now Uber, so they are the same, giving drivers many opportunities to make money with a larger market share.

Do I Need a Car To Work as a Postmates or Uber Eats Driver?

If you live in an area where biking is sustainable, you can ride a bike or scooter for Uber Eats and Postmates. Bike riders need only to be 18, but scooter and vehicle drivers must be 19 to get approved.

Can I Work for Postmates and Uber Eats at the Same Time?

Essentially, you do work for Postmates and Uber Eats simultaneously if you work for Uber Eats since they are the same company with the same coverage now.

Can I Choose My Own Working Hours on Postmates and Uber Eats?

That’s the beauty of working for Uber Eats and Postmates. You don’t have to set a schedule. You turn the app on or off as you please, working when convenient.

Which App Should You Drive For?

The battle between Postmates and Uber Eats is simple since they are one company. There are a few things Postmates did better, but Uber Eats is constantly evolving, helping drivers maximize their earnings.

Drivers get many perks driving for Uber Eats, including the opportunity to earn tips and bonuses, have liability coverage while active, and the opportunity to use the larger market share with the merger of Uber Eats and Postmates.

The post Postmates vs. Uber Eats: Drivers Guide appeared first on Millennial Money.



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November 21, 2023 at 03:04AM

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