The Impact of Uber Eats in Taiwan
Executive Summary
Economy
Uber Eats creates economic value for Taiwan in several ways. When consumers order their food and groceries via the Uber Eats app, they are supporting a vibrant economy of merchants, as well as flexible earnings for tens of thousands of delivery partners.
In 2023, Uber Eats contributed an estimated NTD $81.5 billion in economic value to the Taiwanese economy. This includes both the impact of the earnings of delivery partners and merchants on the Uber Eats platform, as well as the wider indirect and induced multiplier effect created throughout the platform’s wider activities.
Consumers
Uber Eats allows people in Taiwan to get food and groceries delivered to their doors at the click of a button, offering its customers reliable and convenient access to all their favourite cuisines.
In total, in 2023, we estimate that deliveries with Uber Eats are producing over NTD $84.1 billion in consumer surplus for Uber Eats users in Taiwan.
When we asked people why they used food delivery apps, the most common answer was convenience (71%).
of Uber Eats users agree that they can often find items on Uber Eats that are reasonably priced, and 60% say they can often find items on Uber Eats that enable them to eat takeout within their household budget.
Delivery Partners
Uber Eats offers its delivery drivers the chance to make additional earnings in a flexible way. Alongside this, the platform also provides an opportunity for people to readily and reliably have access to funds at a time when money is tight for many people in Taiwan.
of Uber Eats delivery partners said they enjoy their current status as flexible, self-employed professionals.
of delivery partners agree that they like working with the Uber Eats platform because of the ability to be their own boss.
Communities
With the help of Uber Eats, more and more people in Taiwan are able to enjoy their local restaurants and discover entirely new merchants from the comfort of their own homes. For many merchants, Uber Eats is a welcome opportunity to reach a broader customer base.
of delivery drivers say they pick up food from small or family-owned restaurants at least weekly, and over a third (41%) of delivery drivers say this represents a majority of the food they deliver.
of Uber Eats users agree that Uber Eats has a role to play in helping Taiwanese restaurants use more sustainable or eco-friendly packaging for their products.
Introduction
Taiwan is a nation of foodies. Almost three quarters of adults across Taiwan say that good food is important to them personally, and 9 in 10 say that good food is important to Taiwanese culture more broadly.
Uber Eats plays a proud role in the Taiwanese food economy. Food delivery apps have revolutionised the way in which customers can enjoy their favourite dishes at a reasonable price, in the comfort of their own home. Merchants are then able to expand their customer base and benefit from a ready-made delivery network, whereas delivery partners can unlock new opportunities for flexible working and supplemental earnings at a time with rising costs.
Indeed, for this report, Uber has commissioned Public First to help gain an in-depth insight into the impact of Uber Eats for consumers, delivery partners, and merchants in Taiwan. As the platform celebrates its seventh successful year in Taiwan, this is an important moment to reflect on Uber Eats’ own journey and the benefits it brings to its users and to the country.
About Public First:
Public First is an independent consultancy that works to help companies and organizations develop new policy proposals, better understand public opinion, and model their economic and social impact. Public First is a member of the British Polling Council and the Market Research Society, and abides by their rules.
About this report:
In this report, Uber commissioned Public First to better understand and quantify the impact they were making for Uber Eats users, delivery partners, and merchants in Taiwan. All values are given in NTD$.
We used a mixture of methods to explore Uber’s impact:
- Public First ran an in-depth nationally-representative consumer poll of 1,058 adults in Taiwan to explore their food ordering habits and experience with the app.
- Public First ran an in-depth national survey of 2,478 Uber Eats Delivery Partners in Taiwan.
- Public First then created new quantitative models of the economic impact, consumer surplus and driver value created by Uber Eats in Taiwan.
To learn more about our modelling approach, please see the Methodology section in the report’s appendix.
Consumers
Uber Eats has played an increasingly important role in the daily lives of people in Taiwan since it was launched in 2016. Whether they are exploring new cuisine options, ordering in needed groceries at the touch of a button, or simply trying to avoid eating dirt again1, Uber Eats’ customers have come to value the platform to meet their needs. Above all else, it offers a convenient and cost-effective way to save time, allowing users to do more of the things they enjoy most.
The role of food delivery apps
Food delivery platforms help people in Taiwan access local and high quality food, regardless of their busy schedules. In our consumer poll, over two-thirds of Taiwanese people reported using a food delivery app in the last year (67%), and almost half (42%) of Taiwanese people said they had used Uber Eats in the same period.
Food delivery apps are widespread, and their customers utilise the service frequently. Four-fifths (80%) of food delivery app users say they use food delivery apps at least monthly, and this rises to 84% of younger people.
When we asked people why they used food delivery apps, the most common answer was convenience (71%). This was followed by access to a greater variety of food (41%), quick delivery times (40%), good service (29%), a seamless ordering experience (23%), and because they were tired of cooking or doing the dishes (22%).
Which, if any, of the following are important reasons why you order using food delivery apps?
Why do people choose Uber Eats?
Food delivery apps clearly play an important role in Taiwan. However, we wanted to dig deeper, and understand why people choose Uber Eats over other available delivery apps. We therefore asked Uber Eats users whether they thought Uber Eats or other delivery apps performed better in several key ways.
Over two thirds (67%) of Uber Eats users told us that they think Uber Eats performs better at the delivery experience (e.g. order tracking, or taking a photo of delivered food). This was followed by the availability of trendy or popular foods (65%) and range of food options available (64%), quick delivery times (60%), and customer support (58%).
In your view, do you think Uber Eats or other food delivery apps in Taiwan are better at each of the following?
Half of Uber Eats users said that Uber Eats competes best on overall price (50%), with almost two-thirds (65%) agreeing that they can often find items on Uber Eats that are reasonably priced, and 60% saying they can often find items on Uber Eats that enable them to eat takeout within their household budget.
These findings were reiterated when we asked users to tell us in their own words why they used Uber Eats:
Open Text responses were corrected for spelling and grammar, but are otherwise unchanged.
How does Uber Eats enhance quality of life?
Uber Eats helps people in Taiwan explore new cuisines or more easily enjoy food from their favourite local restaurant. Enjoying good food is important to people across Taiwan. 86% of Uber Eats users said that good food was important to them personally; however, despite this, just 61% of respondents told us that they enjoy cooking at home.
Food delivery platforms like Uber Eats allow people to enjoy high quality cooked meals without needing to cook the meals themselves. And Taiwanese people agree – 74% of respondents agreed that food delivery apps are a lot more convenient than other forms of takeout.
Uber Eats has helped people across Taiwan to discover new food:
Four in five (80%) Uber Eats users tend to use the app to order food they wouldn’t normally cook at home.
Almost half (47%) of Uber Eats users have been inspired to cook new recipes as a result of food they have ordered.
Around nine in ten (88%) Uber Eats users agree that food delivery apps have made it easier to discover new restaurants.
Across Taiwan, people particularly turn to food delivery apps when they are seeking cuisine from other countries. 62% of Uber Eats users reported ordering Japanese cuisine in the last year, 58% reported ordering Korean cuisine, and 54% reported ordering Western cuisine.
What types of international cuisine, if any, have you ordered from Uber Eats in the last year?
Alongside the role it plays in helping people to experience a broader range of cuisines, Uber Eats also helps people enjoy the comforts of home:
of Uber Eats users have used the app to order Taiwanese cuisine in the last year.
of Uber Eats users report that sometimes they order food through Uber Eats that reminds them of what their parents used to cook for them.
of Uber Eats users report using the app to order food that brings them comfort when they are feeling down.
When we asked Uber Eats users what specifically Taiwanese food they have ordered in the least year, 61% said they had ordered Taiwanese Fried Chicken, and 60% said they had ordered Boba Tea. 58% of Uber Eats users even reported ordering Stinky Tofu in the past.
Thinking specifically about Taiwanese cuisine, have you ordered any of the following using Uber Eats?
How much value does Uber Eats create for consumers?
We wanted to quantify how much users value the convenience, speed, and reliability of food delivery services provided by Uber Eats.
One of the most important measures of economic welfare is the “consumer surplus”. This is a standard measure of the consumer welfare created by a product, service or organisation. It is the difference between the price the consumer is willing to pay for a service, and the price they actually pay for a service.
The price you pay for something is likely to be at least equal to the minimum value it creates for you – or you would not have chosen to buy it – but there is no reason the value it creates can not be significantly more than this. By totalling the surplus consumer value, we produce a measure called the consumer surplus.
We asked Uber Eats users how much they would have to be compensated to lose access to Uber Eats for the next month.
In total, in 2023, we estimate that Uber Eats is producing over NTD $84.1 billion in consumer surplus for users in Taiwan.
Delivery partners
Uber Eats offers its delivery drivers the chance for additional earnings, in a flexible way, around their existing commitments. Alongside this, the platform also provides an opportunity for people to readily and reliably have access to funds at a time when money is tight for many people in Taiwan.
When we asked Uber Eats delivery partners what were the most important reasons they chose to deliver using the Uber Eats platform, the most popular answers were flexibility (70%), the ability to put some money aside for savings (46%), and the ability to earn money quickly or in an emergency (38%).
Thinking back to your initial decision, which of the following were important reasons why you chose to deliver with Uber Eats as opposed to other traditional jobs?
The importance of flexibility and independence
In our survey of delivery partners in Taiwan, we found that:
of delivery partners agree that they like using the Uber Eats platform because of the ability to be their own boss.
say that a good work life balance is one of the most important factors for them when they are looking for work.
of Uber Eats delivery partners said they enjoy their current status as flexible self-employed professionals.
said that they expected to continue to use platforms like Uber Eats for the foreseeable future, and 23% until their family or caregiving circumstances change.
In your own words, what do you like most about delivering?
Open Text responses were corrected for spelling and grammar, but are otherwise unchanged.
Schedule flexibility then allows delivery partners who use Uber Eats to combine app-based earnings with other responsibilities. When asked what they do for a living, besides delivering, 63% reported having at least one other responsibility, and a further 53% of delivery partners say they are earning money from other sources alongside their work with the Uber Eats platform.
48% of delivery partners report having a full-time or part-time job, 6% say they are stay-at-home parents alongside their use of the Uber Eats platform, and 8% combine use of the Uber Eats platform with running their own business.
What other responsibilities do you combine with your app-based work, if any?
Helping delivery partners to support their families
Flexibility, enabled by using platforms like Uber Eats allows people to better support their loved ones, enabling delivery drivers to earn money while caring for their families. 27% of delivery partners are responsible for taking care of their spouse, 30% of delivery partners are responsible for taking care of their children, and 61% of delivery partners are responsible for taking care of their parents.
55% of those with children aged 18 or under or who have other caring responsibilities said that the flexibility of providing app-based services made it easier to balance family and work responsibilities.
77% of those responsible for looking after children or who have other caring responsibilities said that using the Uber Eats platform provides them with significantly more flexibility than their past jobs.
Providing an alternative to traditional work
Flexible earning opportunities, such as those offered by food delivery platforms, offer delivery partners an alternative to traditional work. 1 in 4 (24%) delivery partners use the Uber Eats platform as a source of supplementary earnings.
Delivery partners value the chance to earn money in a different environment. If food delivery platforms like Uber Eats did not exist, just 26% of delivery partners say that they would look for a traditional full-time job as a replacement.
say that they would start their own business or otherwise work for themselves.
say they would look for another on-demand economy or delivery style work.
say they would look for a part-time job.
Why are additional earnings useful?
Rideshare and delivery platforms like Uber provide an opportunity for delivery partners to earn some supplemental income, whilst also dealing with the rising costs of goods and services across the Taiwanese economy.
In our survey of delivery partners, we found:
reported that additional earnings provided by apps like Uber Eats helps them cover their rising costs.
said that additional earnings provided by apps like Uber Eats allowed them to save more money and have a financial cushion in case of emergencies.
agreed that delivering using the Uber Eats gives them clear expectations on earnings, saying that “the more they feel they put into the app, the more they get paid”.
Apps like Uber Eats can help support people facing challenging financial situations, offering a low barrier to entry for generating earnings, especially when compared to more traditional sources of emergency income.
agreed that delivering using the Uber Eats platform helps them to make ends meet on a regular basis.
agreed that the earnings they have made by using the Uber Eats platform have helped them feel more financially secure.
of Uber Eats delivery partners said it took less than a week for them to first earn money using the Uber Eats platform after they signed up.
The Role of Uber Eats in Improving Driver Safety
Many delivery partners deliver using electric bikes or mopeds. The safety of delivery partners is an increasingly important concern, both among the public and among delivery partners themselves.
In response to these concerns, Uber Eats has taken several steps to improve the safety of delivery partners in Taiwan, including providing additional safety equipment to delivery partners, such as reflective vests, to help avoid serious accidents. Over half (54%) of delivery partners agreed that Uber Eats is helping its couriers take basic safety precautions when driving; Uber Eats will work on enhancing this rate.
Uber Eats Stands for Safety
Delivery partners in Taiwan can spend hours on the road each week, helping to move food, drinks, and groceries between merchants and consumers.This means that road users’ safety (including driver safety) is one of Uber’s most important priorities. In relation to delivery partner safety, Uber Eats in Taiwan works with the government, international movements, and delivery partners themselves.
- Uber Eats collaborates with government initiatives to provide safety education required by applicable regulations. All delivery partners are required to complete at least 3 hours or 4 of road safety training before they are able to begin deliveries through the Uber Eats app.
- Uber Eats works with technology in relation to delivery partners safety. The Uber Eats app suggests drivers take a selfie using their mobile phone when beginning an order and reminds delivery partners consider wearing appropriate safety equipment before beginning their delivery.
- Uber Eats was the first delivery platform in Taiwan to form a Safety Collaboration Group, alongside academics and trade unions, working together in relation to road users (including delivery partners) safety.
Vision Zero: An International Effort to Eliminate Road Deaths
Earlier in 2023, Uber Eats in Taiwan announced its intention to support ‘Vision Zero’ – an international movement that seeks to entirely eliminate traffic deaths through targeted interventions. One of the main pillars of this programme is to give delivery partners have access to optional reflective vests, so they can be more easily spotted on the road.
Uber Eats announced a commitment of NTD $30 million to provide free reflective vests for Uber Eats couriers in 2023, helping to improve the visibility of couriers on the road.
Uber Eats’ efforts at improving road safety has helped to reduce accidents on the road.
Delivery partners involved in road safety incidents decreased by 15% in Taipei City from 2021 to 2022.
Communities & local businesses
With the help of Uber Eats, more and more people in Taiwan are able to enjoy their local restaurants, discover an entirely new cuisine, or get food delivered straight to their door. Merchants benefit from consumers being able to order from them in a convenient way. Uber Eats has continued to help customers order food with confidence, key to supporting businesses to rebuild, enabling job creation and economic growth.
Supporting Local Businesses
Uber Eats is now an integral partner for many businesses – helping them boost customer reach, sales, and revenue. This is particularly important to small businesses who benefit from the broader customer base and integrated delivery options provided by platforms like Uber Eats.
of Uber Eats users say that the majority of the food they order comes from small or family-owned restaurants.
of delivery drivers say they pick up food from small or family-owned restaurants at least weekly, and 41% of delivery drivers say this represents a majority of the food they deliver.
of Uber Eats users in Taipei have used Uber Eats to order food from one of the city’s night markets.
Food delivery apps like Uber Eats also play an important role in helping customers to discover new businesses. Often, customers that order from restaurants through Uber Eats turn into repeat customers, both using food delivery apps and dining in-person:
of Uber Eats users agree that food delivery apps have ordered food from a restaurant they have never dined at before.
of Uber Eats users have eaten in-person at a restaurant after trying it first using Uber Eats.
of delivery drivers themselves have been personally inspired to eat at a restaurant after picking up food for a customer there. 9 in 10 (93%) of these delivery drivers have since returned to eat at those same restaurants.
Making Positive Environmental Change
Having a positive impact on the environment and contributing to the global effort to reduce carbon emissions is a major priority for Uber Eats in Taiwan. Uber Eats can impact change by encouraging its users to select more environmentally friendly options when ordering their food, and by letting delivery partners know about the option of transitioning to an electric vehicle.
To many across Taiwan, Uber Eats has an important role to play in meeting this challenge:
of Uber Eats users agree that Uber Eats has a role to play in helping Taiwanese restaurants use more sustainable or eco-friendly on packaging for their products.
By encouraging customers to adopt more environmentally friendly habits, such as not asking for plastic cutlery with the food they order, Uber Eats can help to cut down on unnecessary waste. 44% of Uber Eats users select eco-friendly options (e.g. asking for no disposable napkins or plastic cutlery) every time or most of the time they order food.
Uber Eats’ delivery partners can also opt to help to reduce carbon emissions. If delivery partners choose to switch to an electric vehicle to deliver their food, they may substantially reduce their own personal carbon emissions, and help to make the air cleaner and more breathable in major cities.
of Uber Eats users would be more likely to order food if they knew it would be delivered in a sustainable way.
of Uber Eats users can remember a time when a delivery partner delivered their food using an electric vehicle or a bike.
of Uber Eats delivery partners said they typically delivered using a fully-electric or hybrid vehicle.
Uber Eats’ Partnership with Gogoro
The global climate is changing. The Taiwanese Government’s net-zero emissions policy aims to see the country reach net-zero carbon emissions by 2050, in line with many other industrialised countries. Uber Eats, one of the largest food delivery platforms in Taiwan, has an important role to play in the transition to a low-carbon economy.
Uber Eats has partnered with Gogoro to respond to Taiwan’s net-zero ambitions and suggests to delivery partners to consider exploring electric bikes and battery-swapping schemes as an alternative to carbon-intensive alternatives. Worth almost NTD $1 billion, the partnership will involve:
- Giving delivery partners using the Uber Eats app the opportunity to access battery tariff discounts with Gogoro.
- Over the next two months, the first 1,000 delivery partners who opt to participate will receive additional discounts when purchasing electric scooters, and additional incentives pursuant to the partnership for using electric scooters to complete deliveries using the Uber Eats app.
Uber and Uber Eats are aiming to become a net-zero platform by 2040. It is Uber and Uber Eats’ goal that within 20 years, all vehicles that use the platform to deliver food or to pick up passengers will be low-carbon or electric vehicles.
Currently, almost 20% of Uber Eats deliveries in Taiwan are completed by low-carbon or electric vehicles.
Methodology
Lorem ipsum dolor sit amet, consectetur adipiscing elit. Ut elit tellus, luctus nec ullamcorper mattis, pulvinar dapibus leo.
Economic Impact
Total Economic Impact
Total economic impact is calculated as the sum of:
- Driver and delivery partner earnings.
- Indirect and induced impact of driver and delivery partner spending on vehicles.
- Induced impact of additional driver and delivery partner earnings.
- Indirect and induced impact of restaurant spending via Uber Eats.
This measure is a gross estimate, looking at the total amount of economic activity supported by Uber Eats in Taiwan. It does not attempt to measure what would happen in a hypothetical where Uber Eats no longer existed.
Our modelling does not include the impact of Uber’s direct investment or employment footprint as a platform, or any spillover effect this has on the wider tech ecosystem.
Consumer
Consumer Surplus
Following the methodology of Brynjolfsson, Collis and Eggers (2019), we asked riders and Uber Eats users a single discrete binary choice question in the form:
“Now imagine you had to choose between the following options. Would you prefer to keep access to Uber Eats or go without access to Uber Eats for one month and get paid NTD $X?”
The price offered was randomized between $10 NTD, $25 NTD, $50 NTD, $100 NTD, $200 NTD, $500 NTD, $1000 NTD, $2000 NTD, and $5000 NTD.
We then computed a logarithmic regression of the results of this poll to derive a demand curve and the total consumer surplus per user, taking the median as the headline measure. This was then scaled by the number of Uber Eats users.