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So smart!! New Company, Cargo, is going to start selling Hangover Cures in Ubers LOL

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chipsavoy
139
 Posted 1 year, 2 months ago

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Other goodies include protein bar RXBAR and Sour Patch Kids. Starting in NYC, Chicago, and Baltimore.

https://www.cnbc.com/2018/04/18/uber-passengers-can-now-buy-drinks-and-snacks-while-in-transit.html

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    BeMatt
    104 Rider
     1 year ago

    They are going to make a fortune!!

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      SmittenKitten
      1830 Rider
       1 year ago

      Yes and no. There are plenty of concerns and holes in this business model.

      - Uber can come up with something easier and cheaper.  And they have access to all of their drivers to solicit to. 

      - It's a pretty easy business to copy. You just need a tray, a way to secure it, and candies you can buy at CVS.

      - Biggest competitor? Drivers themselves. They will be happy in the honeymoon period, but once the initial excitement is over, they'll wonder why they don't just stock and sell their own candies (and keep the full profits).  They are independent contractors and they can do whatever they want. 

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        DWang02
        102 Rider
         1 year ago

        If the drivers already have a Costco membership, they can buy boxes of Snicker Bars. I bet the unit cost will be $0.25. I have a suspicion they will figure this out quick. 

        Think about the scenario. They get Cargo, they start selling $5.00 items. They will make $2.00 ($1 for the sale and 25% of the rest.). Next day, they go to Costco and finds the same candy bars for $0.25.  They start making $4.75 each sale

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      chipsavoy
      139
       1 year ago

      i know, I keep wondering why I didnt think of this.

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        BGraft89
        611 Rider Driver
         1 year ago

        I think many people thought of this. It's just matter of execution.  Many drivers had thought of and actually sold things on their vehicles. Cargo made it easier and gave it more legitimacy. 

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    breakingbread
    209 Rider Driver
     1 year ago

    Oh and the drivers get a cut, this is pretty cool

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    GiGi
    28
     11 months ago

    Don't some drivers offer snacks for free? usually there is a sign that says , please rate 5 starts, or please tip. I don't want to pay for snacks but don't mind giving a 5 star rating in exchange for some smartpop.

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    KamelKamelKamel
    79
     1 year ago

    This reminds me of the super expensive snacks in hotel rooms.  Expensive but people will use it. 

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    CaptainChampion
    128
     1 year ago

    That's neat they got the buy-in from Coca Cola. 

    A new channel that scales  said so well  

    "Cargo offers an innovative solution to helping Coca-Cola deliver refreshment to consumers in their moment of need in a space that was previously hard to reach at scale," he said in an emailed statement."

    If Cargo can control the margin and also keep the prices low, (not like airplane food or ballpark candy where a candy bar is $4.50), then we have something.