Last time this happened I said Instacart is a middleman and I didn't see their opportunity to break out and be a market maker.
But I just realized a potential endgame: Instacart will be Amazon Prime (the subscription delivery business) without the need to be Amazon (the retail, global-scale logistics, and marketing company).
Do I want to pay 30% extra on every individual order from local stores to have Instacart handle the delivery? No.
But would I consider paying something like Amazon Prime fees, every month, to have 'free' delivery on orders over $100 from my grocery store, Costco, Trader Joe's, pet store, J. Crew, etc? Very likely.
But I just realized a potential endgame: Instacart will be Amazon Prime (the subscription delivery business) without the need to be Amazon (the retail, global-scale logistics, and marketing company).
Do I want to pay 30% extra on every individual order from local stores to have Instacart handle the delivery? No.
But would I consider paying something like Amazon Prime fees, every month, to have 'free' delivery on orders over $100 from my grocery store, Costco, Trader Joe's, pet store, J. Crew, etc? Very likely.