A new start-up is allowing some Uber users to kill two birds with one stone: Hailing a ride while checking off their shopping lists.
Here’s how it works: Riders can download Cargo’s app, then must scan the QR or Snapcode on the driver’s console. They can also navigate to Cargo’s website to brows items specific to the car they’re in. The menus include a range of items passengers can buy, as well as free samples.
After selecting an item, customers can checkout and the driver then hands them their purchase when it’s safe to do so. Customers can check out using Apple Pay, Venmo, Paypal, Android Pay, or by entering their credit card information.
For now, only Uber drivers with a 4.7 rating or above (on a scale of 1-5) are able to add Cargo to their car. Drivers make $ 1 per purchase, and can pocket 25 percent of the item’s cost. They can also give out free samples to customers: About 1 percent of every box is filled with samples, and drivers make money even if only free samples are selected.
The commission structure leads to Uber pilots making an extra $ 100 a month from Cargo on average, with top drivers making about $ 300, Cripe said.
Cargo has established partnerships with Kellogg’s, Starbucks and Mars Wrigley Confectionery, and has sold over $ 1 million worth of items via the platform, according to the company. The application also provides regional products like Korean face masks, or local brands. Cargo also shares limited user data with companies, such as which products were most popular, and what time of day they sold best.
Though the company does service cities outside of L.A. and San Francisco, those are the two locations in which drivers can pick up their boxes directly from Uber hubs. The deal is also helping earn money for Uber, which will be amassing equity in Cargo over a multi year period during the partnership. Cargo declined to specify Uber’s exact stake.