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> Uber delivery will be confined to very time-sensitive packages (food delivery and maybe competing in the bike courier space). Yes, it seems like the most obv
by jasode 10y ago
> Uber delivery will be confined to very time-sensitive packages (food delivery and maybe competing in the bike courier space).
Yes, it seems like the most obvious pricing advantage would be same-day deliveries.
To send a 5 pound package from my address to another address in the adjacent zipcode (~10 miles), the transit time is 1 day and costs $9.85. For that price, I also have to get in the car myself and drive my package to a retail store and drop it off.
If I arrange for UPS driver to come to my house to pick it up, the price shoots up to $19.55!
Let's say my house is point "C" and my ship address is point "D". If the Uber servers can determine that point "C" is a very minor detour for an Uber driver going from point "A" to point "B" ... then he can cheaply pick up my package and drop it off at point "D" with minimal increase in gas costs. Uber could charge way less than $19 while the driver gets a revenue boost. The UPS "hub" model doesn't make that type of dynamic rerouting cost effective.