Uber to launch UberEats tomorrow in central Tokyo

Uber is launching UberEats tomorrow in central Tokyo, which would offer food ranging from simple dishes costing just hundreds of yen to Michelin-star dining at the equivalent of hundreds of dollars.

According to commentators, Uber, which had not quite had a great run in Japan with its ride-sharing service, was hoping to do better with takeout deliveries.

Delivery would be free initially, although fees but would be charged later. Users download a software application in iOS, Android or a desktop version to choose food from 150 restaurant menus.

UberEats picks drivers online, who pick up food at restaurants, and make deliveries, ensuring food arrived relatively hot and fresh. The global average for deliveries was around a half hour.

Japan is the eighth nation, while Tokyo is the 34th city, for UberEats, already in operation in San Francisco, Dubai, Singapore and Paris.

Ride-sharing failed to gain traction in Japan partly due to a strong taxi lobby. Uber offered only a high-end taxi service in Japan, and had started a limited ride-sharing in a rural area, where populations were declining, Uber Japan Co president Masami Takahashi said Wednesday.

However, hopes were high of the UberEats gaining popularity with Japanese working late in the office and at parties in the country. It might also be handy for tourists, more familiar with the service and whose ranks were on the rise in recent years.

Uber, which was looking to expand its presence in the South Asian market, pulled out of China two months ago and faced stiff competition from local rivals like Singapore-based Grab and Indonesia's Go-Jek. Uber currently worked as a travel agent in Tokyo putting customers in touch with established taxi services. Earlier this year, the company launched two ride-hailing services that targeted the elderly in rural areas in Japan.

According to reports, with UberEats, the company would take a percentage of the revenue from the restaurants it was working with but the price of the food would remain what it was on the menu.