Companies like Uber and Lyft bring much to the side-gig table, and 2019 offers workers more options than ever. Some of the trends pertain to the increase of personal delivery as well.
More companies are slated to offer messenger and courier services as a way to keep pace with home delivery giants, such as Amazon.
While growth in these fields is projected for 2019, these expansions may not favor the workers. Therefore, it is highly beneficial to do some research before you consider working for a ridesharing company. It is also important to consider other factors as well, like the impact on your personal vehicle and the inconsistent revenue. The following is a detailed discussion of those projected trends and how they can affect you if you decide to work in this industry.
Home delivery has increased so much in the past few years that companies like Uber and Lyft, who started by offering only ridesharing services, have now entered the home delivery market. IT messaging services such as Facebook are also teaming up with delivery and ride hailing providers as a convenience for their members.
Retail giants such as Amazon are also meeting the pressure from internet shoppers by offering next day delivery. This trend for instant gratification from online shopping will only increase as online retailers and restaurants engage in similar practices. This will extend to most chain grocery stores and food markets as well. Many companies hire workers to shop for customers and promise same day delivery.
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Unfortunately, there are several problems that are inherent with home delivery. For example, porch “piracy” is a rising issue that affects an estimated 25 million shoppers annually. People who are at work all day are especially susceptible to such theft.
Grocery delivery of perishable items presents another problem. Many stores are beginning to require online customers to pick up their orders. Stores such as Walmart, Target, Giant Eagle and Kroger are creating curbside pickup spaces and parking lot drive-up lanes available for such shoppers. In 2019 many more stores will follow suit.
Amazon is currently the largest online superstore, holding nearly 50 percent of the market share last year followed by eBay, Apple and Walmart. Amazon launched its flagship mail hub, called Amazon Locker, late in 2018 and it has been gaining momentum since. These point-of-shipment lockers accept packages and then ship them out for the consumer in order to streamline the process. It also:
Along with home delivery, ridesharing continues to grow. In fact, these services are so popular that a few major automotive manufacturers are entering partnerships with the two main ridesharing companies, Uber and Lyft. Impressed by the success of ridesharing services, some automakers are even planning to start their own companies in the near future. Usage is expected to increase significantly this year and for years to come.
The messaging applications both Uber and Lyft provide differ, and some customers choose one over the other due to individual preferences. Trends are expected to follow apps with better features, such as those offered by Lyft. This includes the Waypoint service and the opportunity to schedule in advance. Undoubtedly, logistic advances by both companies are planned for the near future as competition increases.
Online food ordering is also expecting exponential growth, as more than 40 percent of food orders are now placed online. Grubhub reported an astounding 78 percent increase in profits in 2018. With Amazon and Facebook entering the online food delivery market as well, the internet food ordering and delivery industry is expected to skyrocket in 2019 and continue through 2021.
Amazon has partnered with a food service company called Olo and restaurant chains across the country allowing messaging access to over 40,000 restaurants nationwide. Similarly, Facebook has placed an Order Food menu under the Explore menu which links a hungry member to almost every available restaurant in their area. This service allows users an easy way to order a meal while doing other things on their site. You can look for a similar service on Instagram in the near future.
Another developing trend is partnerships between fast food companies and delivery services. For example, retail food giant McDonalds has teamed up with Uber’s food delivery service UberEats, a partnership that is likely to increase revenue for both companies this year. Grubhub also has contracts with other food giants such as Burger King, White Castle, Subway, Arby’s and many others.
The demand for restaurant home delivery rose an estimated 28 percent last year, and is expected to increase significantly throughout this year and the next. Of the top three food delivery companies, Grubhub, UberEats and DoorDash, only Uber has diversified into food delivery from an already established market. Uber has more ambitious plans for expansion in the food delivery market this year, targeting over 70 percent of the U.S. Market. It is currently unknown if Lyft has any such plans.
Experts project this industry to be one of the most secure and growth-oriented industries through 2030. Some estimates predict an eight-fold growth by that time, with more than $285 billion in revenue realized. The inclusion of autonomous fleets is planned, but at least for the next few years, human-operated vehicles will be the norm.
Currently, 15 million rideshare trips are taken a day. Analysts expect this to reach 97 million in 2030. In comparison to other industries and companies, the personal transportation industry is set to continue its upward trend, offering workers a chance to take advantage of the growth potential.
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