Uber has been working to improve its Shop and Pay feature in order to make it easier for users to order and pay for deliveries. One of the biggest issues that Uber has been trying to address is the problem of out-of-stock items, which can often cause delays in delivery. With these new updates, customers will be able to more easily find what they’re looking for online and make payments using digital methods, which should hopefully speed up the courier process overall.
The ride-hail giant Uber quietly launched Shop and Pay last year, a feature that lets delivery workers opt into receiving trips to do grocery or other retail shopping for customers before dropping off orders to the customer’s door. The premise is similar to Uber’s recent foray into delivering food with its delivery service Eats.de, which allows people within certain areas of Oakland, California to order food from Deliveroo or Foodora instead of going out to eat. According to CNBC analyst Brad Garlinghouse, the idea behind Shop and Pay is simply “to follow the Instacart model [of] turning what was once an extra job for someone else into an integrated platform for both shoppers and providers…[it’s] likely giving Amazon some serious competition in this space.” In December 2021, Shop and Pay reported a surge in sales as subsequent developments such as Deliveroo dumping inflated prices on deliveries led more customers to use the new feature.
Uber is hemorrhaging money and may have to sell itself or be disrupted by its Competitors. Instacart, a much smaller company, sees a huge opportunity in Uber’s struggles and is quickly growing. With over 600,000 active shoppers, Instacart is poised to take market share away from Uber if it continues to falter.
Uber sees a huge opportunity to scale that number up and beef out its grocery delivery pillar, just one part of the company’s plan to cross-sell customers across the platform, from food delivery to grocery delivery, grocery to alcohol, alcohol to experiences, experiences to rides. The growth potential for Uber in this market is immense; according to Statista, there were close to 20 billion food deliveries made worldwide in 2017. With so many people looking for ways to economize and get their hands on good food faster than ever before, Uber has a golden opportunity on its hands.
In some ways, Uber has already been Amazonified. The company’s focus on automated customer service and delivery has moved it closer to the online retail giant, while its aggressive pricing
One way to combat potential customer annoyance is by periodically releasing new updates to the app. By including new features, different experiences, and acknowledging customer feedback in a timely manner, the company can keep drivers happy and committed to their job.
If Uber can convert even a fraction of its drivers to help with shopping trips, it would greatly assist the grocery delivery industry. Shoppers are a key ingredient to the success of Uber’s grocery ambitions, and they’re making great progress – but have a ways to go. But framed against the more than 5.4 million drivers on the Uber platform worldwide, you can see the possibility for converting even a fraction of them to add shopping trips to the mix.
Uber’s mission is to make transportation easier and more affordable, which is why the company has been focusing on increasing usage of its Delivery Service. The Delivery Service makes it easier for customers to order groceries, which in turn increases usage of the service because it eliminates the need for shoppers to go into a store and carry out orders. Shoppers also no longer have to spend time asking customers questions or paying for orders. If there’s no more ginger lemon kombucha available, shoppers have the option of either taking delivery or returning an order online.
Giving shoppers a way to deal with out of stock items is a common complaint, and Uber is looking to address this with its new update. The update will allow riders to suggest replacements for out of stock items, which should make selecting one less of an annoyance and more time-efficient for customers.
By providing shoppers with a list of suggested substitutions based on similar brands or items, Instacart is able tooffer a more streamlined shopping experience. Drivers can choose between replacement suggestions prompted in the app, and the customer can approve them on their end. This feature streamlines the decision making process for shoppers, empowering them to get what they need faster without having to worry about tedious details such as finding an item in stock.
Uber has been working on a new solution to the problem of drivers having to pay out of their own pockets for orders they make. The company has found a way to pre-authorize credit cards for drivers so that they don’t have to worry about the card being declined when making an order. This will likely make it easier for drivers to take orders and not waste time cancelling them or paying out of their own pocket.
Digital payments are widely accepted across the U.S., making it easy to buy items and checkout. Uber found in a recent survey that 92% of shoppers found digital payments easy to activate, and 88% said it was easy to check out. This makes digital payments an appealing choice for shoppers, as they are quick and simple.
One of the key features missing from Instacart’s mobile checkout is the ability to pay with credit or debit cards. This might not be a big deal for those who only make a few small purchases each month, but for those who make larger purchases on a regular basis, this limitation can be a hassle.
Some drivers have noted that they still need to use the physical card if the order exceeds the price tap limit, which can be frustrating when trying to quickly complete an order while on-the-go. Additionally, it can be inconvenient when there is no cash option available at an Instacart pickup location.
The Uber update just given to their drivers is a much needed clarification for orders. Riders will have visibility into the number of unique items in an order, as opposed to only the total number of items. This is helpful for drivers as they can decide if they are picking up one gallon of milk or five and make sure that the order will fit in their car. Overall, this update is a much needed clarification and helps ensure an accurate and timely delivery for both riders and drivers alike.
Uber has announced that their new “offer card” will also give shoppers information about the order, like whether it contains large, heavy or fragile items. This update will help customers make moreinformed decisions when ordering food and avoid any awkward moments associated with accidentally ordering something they might not be able to handle.
Since Instacart doesn’t provide much in the way of information about what is on its offer card, it’s up to shoppers to create their own interpretations of what the card contains. The few YouTube videos that have been posted suggest that the offer card includes information such as the total number of items and total number of units purchased. It also may preview some of the items on a shopper’s shopping list. While this information is not confirmed by Instacart, it does seem plausible based on these short videos.