From the Instacart CEO: "We don’t have to build warehouses, lease a fleet of trucks or manage perishable inventory, which substantially reduces our operational cost."
If they guarantee delivery in 2 hours and they don't have these costs, they're paying someone else who has these costs, right? How can they really be a competitor to Amazon, then? I have to think that Amazon is operating on such razor-thin margins precisely because they think they can do a much better job than using someone else.
If they guarantee delivery in 2 hours and they don't have these costs, they're paying someone else who has these costs, right? How can they really be a competitor to Amazon, then? I have to think that Amazon is operating on such razor-thin margins precisely because they think they can do a much better job than using someone else.