Instacart (YC S12) Scores $220M Investment

As someone moving from the Central Valley in Ca to Portland in the next few months...this is exciting to hear, I've been pretty excited to get to use this service.

Re: Instacart (YC S12) Scores $220M Investment

#5

Post by xasos » Tue, Dec 30, 2014, 10:05 PM UTC

Congrats to the Instacart team! I love what they are doing. Their app has a great user interface and the service is fast and easy to use.

It's definitely interesting to see that the world is finally ready for something like this, because Webvan (I know it's brought up a lot) didn't do so hot back in the day. We obviously have the technology now that we lacked 10 years ago to make something like this a major success.

Re: Instacart (YC S12) Scores $220M Investment

#6

Post by carbocation » Tue, Dec 30, 2014, 10:19 PM UTC

xasos wrote: post #5

Congrats to the Instacart team! I love what they are doing. Their app has a great user interface and the service is fast and easy to use. It's definitely interesting to see that the world is finally ready for something like this, because Webvan (I know it's brought up a lot) didn't do so hot back in the day. We obviously have the technology now that we lacked 10 years ago to make something like this a major success.

Is the difference technological or cultural? In other words, what different technology do we have now that would have enabled Webvan to succeed? To me it seems that the most marked difference is the consumer culture and comfort with online buying.

Re: Instacart (YC S12) Scores $220M Investment

#7

Post by loganfrederick » Tue, Dec 30, 2014, 10:24 PM UTC

carbocation wrote: post #6

xasos wrote: post #5

Congrats to the Instacart team! I love what they are doing. Their app has a great user interface and the service is fast and easy to use. It's definitely interesting to see that the world is finally ready for something like this, because Webvan (I know it's brought up a lot) didn't do so hot back in the day. We obviously have the technology now that we lacked 10 years ago to make something like this a major success.

Is the difference technological or cultural? In other words, what different technology do we have now that would have enabled Webvan to succeed? To me it seems that the most marked difference is the consumer culture and comfort with online buying.

It's both.

Improvements in mobile tech also allow managing a mobile workforce easier. This can allow Instacart to keep in contact with drivers more easily, which in hand allows them to more easily manage and hire drivers who shop from individual stores, instead of needing the warehouse. Shorter version: Mobile communication and apps allow for distributed workforce and inventory instead of big centralized costs.

Re: Instacart (YC S12) Scores $220M Investment

#8

Post by hayksaakian » Tue, Dec 30, 2014, 10:24 PM UTC

carbocation wrote: post #6

xasos wrote: post #5

Congrats to the Instacart team! I love what they are doing. Their app has a great user interface and the service is fast and easy to use. It's definitely interesting to see that the world is finally ready for something like this, because Webvan (I know it's brought up a lot) didn't do so hot back in the day. We obviously have the technology now that we lacked 10 years ago to make something like this a major success.

Is the difference technological or cultural? In other words, what different technology do we have now that would have enabled Webvan to succeed? To me it seems that the most marked difference is the consumer culture and comfort with online buying.

A big difference in 2014/2015 is the friction between an impulse to buy something, and actually paying for that something is lower thanks to smart mobile phones

Re: Instacart (YC S12) Scores $220M Investment

#9

Post by jessejhernandez » Tue, Dec 30, 2014, 10:30 PM UTC

carbocation wrote: post #6

xasos wrote: post #5

Congrats to the Instacart team! I love what they are doing. Their app has a great user interface and the service is fast and easy to use. It's definitely interesting to see that the world is finally ready for something like this, because Webvan (I know it's brought up a lot) didn't do so hot back in the day. We obviously have the technology now that we lacked 10 years ago to make something like this a major success.

Is the difference technological or cultural? In other words, what different technology do we have now that would have enabled Webvan to succeed? To me it seems that the most marked difference is the consumer culture and comfort with online buying.

Honestly I feel like this issue is a combination of technology and culture. As our technology has advanced, our perception as a culture has changed because now instant-gratification has become a reality. Not only that but as we move to mobile devices we continue to seek immediate results and companies that previously failed are now succeeding even though they are commodities of one-another. Not to mention your point that consumers are finally becoming more comfortable with doing everything online, compared to previous times.

Re: Instacart (YC S12) Scores $220M Investment

#10

Post by mashgin » Tue, Dec 30, 2014, 10:39 PM UTC

xasos wrote: post #5

Congrats to the Instacart team! I love what they are doing. Their app has a great user interface and the service is fast and easy to use. It's definitely interesting to see that the world is finally ready for something like this, because Webvan (I know it's brought up a lot) didn't do so hot back in the day. We obviously have the technology now that we lacked 10 years ago to make something like this a major success.

Unlike Webvan, they rely on contract workers. No need to operate a large fleet of delivery vehicles/drivers, or sink money in warehouse operations. Internet penetration has doubled (~45% then vs almost 90% of US population now). Of course, smartphones everywhere are a big enabler as well.