Uber and Cargo Rolling Out In-Car Payment Option
FACTS
- The American ride-sharing giant Uber and their partner Cargo unveiled a new service for Uber passengers.
- This service relies on Cargo Shop mobile app.
- Customer process:
- Uber passengers are prompted to download the Cargo Shop app
- They scan a QR code displayed in the Uber vehicle during the ride
- With this QR code, they have access to a list of products (Apples AirPods, Nintendo Switch, RayBan sunglasses, etc.), updated on a daily basis
- Their order has to be validated on-trip
- Cargo is in charge of shipping the orders for free to the buyers’ home address, within 5 days
- partnership features exclusive advantages for passengers and Uber drivers:
- All purchases made during the rides offer a 10% cashback on future purchases or Uber rides
- Each day, passengers may also open the app and scan a QR code in Uber vehicles to take part in a game and win gifts (Uber coupons, discounts from partner merchants, high-tech products or luxury cosmetics)
- A partnership between Cargo Store and Universal Pictures lets Uber passengers enjoy exclusive or cheaper content
- Car drivers earn up to 25% on the value of each in-car purchase, and an extra $1 every time passengers orders in-car through the Cargo Store app.
CHALLENGES
- Diversifying in-car services. Uber and Cargo are highlighting a trend as more in-car purchasing offer are seeing the day. This service is particularly relevant in the ride-sharing industry. Uber features a value-added service and stands out from competition.
- Customer loyalty. Their cashback provides Uber with a tool enhance customer loyalty.
MARKET PERSPECTIVE
- The Uber/Cargo partnership is being renewed. They already allowed passengers to order items such as snacks and phone chargers, and now include technological and luxury products, making room for the Duty-Free sales model already standard in-flight, for instance.