Déjà Vu? Uber Introduces Home Delivery Service
On-demand services have flooded the market this past year. Within six months, services such as eBay now, Google Shopping Express, Wal-Mart same-day delivery and Amazon same-day delivery have started to fizzle out. The cost of same-day delivery is a serious drain of resources for retailers.
Jeff Bercovici, writer for Forbes, makes an excellent point, stating retailers like Amazon "can afford to treat products like groceries as loss leaders for their core offerings, while Wal-Mart has an extensive retail footprint that doubles as a distribution network — a network that's increasingly distributed with the megachain's expansion into neighborhood and convenience stores." However, for a startup with newfound success, it might not be the smartest strategy.