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Can Groceries Be Delivered TOO Quickly?!

Nov 02, 2022

Can Groceries Be Delivered TOO Quickly?!

This video is sponsored by Nebula, the creator-owned video streaming platform that is completely ad-free, but later in the last few years, various cities across Europe have seen a slew of delivery services promising to deliver

groceries

and other household items to your door within minutes here in Amsterdam these flash delivery services are everywhere with their highly recognizable bikes seen all over the city these services offer a level of convenience and laziness that has never been seen before but They definitely come with their fair share of controversy so it's worth asking if

groceries

are

delivered

too fast there are three main flash delivery services available in amsterdam flink and bouncers from berlin and getter from istanbul we used to get out of london but they left the market dutch in august and in other cities you will find Jiffy dija Joker bike onigo Samo cat go puff and many other companies with incredibly stupid names unlike a typical grocery store these Services aim to deliver to you as

quickly

as possible sometimes within minutes of ordering the selection of products is smaller than a typical grocery store so it's a bit closer to a convenience store than delivery but they still have a pretty wide selection of items available we first tried one of these services when stuck at home in quarantine due to covid this was back when they were still offering 10 minute delivery so they

delivered

in 10 minutes no they didn't deliver in six minutes i was amazed at how fast it was how is it possible to pick and pack our grocery order give it to a delivery passenger and have it in our door in just six minutes these services can achieve these lightning-fast deliveries due to mixed-use zoning is o It is common in Europe this allows these companies to set up many small fulfillment centers throughout the city to be close to their customers and minimize delivery times they also take advantage of delivering by bicycle which is almost always the most convenient way. quick to get around in a city because bikes don't get stuck in traffic so you need a city that is designed a certain way for this kind of service to be viable and that's why most of these companies started in cities European or Asian, and if they're in the US, it's usually New York City, but what I find interesting is that the same urban design that allows these services to exist also allows people to live very close to a grocery store i live in within walking or biking distance of a dozen different grocery stores and other food stores and i talked about this before in my video about com grocery shopping in amsterdam shopping for

groceries

is so quick and easy here because i can literally stop my bike ride or walk to the grocery store and get what i need that day in less than 15 minutes or more often i can stop by the grocery store

groceries

for five to ten minutes on the way home so grocery shopping isn't even a trip and this is pretty common for most people living in a reasonably sized city in most of Europe so it's likely if you have expedited delivery available you'll also have a grocery store within walking distance which reduces the need for these services in the first place so your flash delivery is still useful i mean yes it may be due to my discussion with riders a lot of the market for flash delivery seems to be students ordering beer and snacks and i can relate to that when i was in college we used to placing an order through Dial A Bottle, a probably illegal service where you would call a phone number and have beer

delivered

to the back of some guy's car and many people who have small children who have a physical disability me They have said that these services are incredibly useful, so there is definitely a market there or at least a niche, but these services also bring problems, there is a lot of pressure on the employees to pack and deliver the orders as

quickly

as possible. this can cause problems on the street with passengers who are in a hurry and can travel fast and dangerously, of course, this is not a new problem in the 70s, when Domino's Pizza started offering pizza

delivered

in 30 minutes or its free delivery, car accidents are increasing significantly.
can groceries be delivered too quickly
In the 1990s, Domino's dropped the 30-minute delivery commitment in the US after millions of sues were sued by the families of people murdered by their delivery drivers, though they still offer this service in less contentious markets and in the United States. Bajos promised to deliver in 20 minutes Because bikes are faster than cars, their pizza is still terrible, though now speeding down the highway like you're in a Terry Barnson video can be problematic in New York City, but it's even worse in the Netherlands, where almost everyone uses the bike lanes. from kids to seniors to disabled people so Feats patents aren't really compatible with high speed traffic this is part of the reason why Amsterdam banned mopeds from the bike lanes a few years ago originally these services were focused on small orders

delivered

quickly

, but surcharges are being added to smaller orders, so passengers are carrying increasingly heavier orders in their backpacks.
can groceries be delivered too quickly
Many services have started using cargo bikes for large deliveries. they take up more space on bike paths and sidewalks, although they are still better than cars. Another problem is the fulfillment centers themselves. These locations are zoned for mixed use, but it's still not free. or retail places of business that are accessible to the public so turning your local store into a dark store with blocked windows is not really welcome and these fulfillment centers also generate a lot of traffic from the delivery trucks filling the shelves to the big number of bikes clogging the streets and sidewalks in front there are dozens of these dark shops in Amsterdam and after multiple complaints thanks to residents the city has started to take action.
can groceries be delivered too quickly
This pipe-line bouncer shop was recently forced to close and I have to admit there's a lot more curbside space now without your bikes. This location also on the pipeline was supposed to close as well, but getter turned it into a public access convenience store as a way to get around regulations that want to relegate these fulfillment centers to more industrial areas, but if they're too far from where people live then flash delivery becomes molasses delivery now some people may be tempted. look at these issues and say something like who cares about people let the market decide but it's not that simple beyond the tragedy of the commons caused by their operations it's not really possible to determine the market for these services because they're being filled with venture capital or venture capital money.
can groceries be delivered too quickly
I've heard this is called dumb money because of the way it distorts the market. We saw this with Uber years ago, who provided rides for a fraction of the cost of a taxi, they did this in part by exploiting the fact that their drivers hadn't done the depreciation cost calculations for their car, but also through subsidies. direct for each trip thanks to their investors but these prices were never sustainable, they were distorted by the effects of huge sums of venture capital money, giving them an unfair advantage over traditional transport options, who must know that they really pay for the service they provide and the same effect can be seen.
can groceries be delivered too quickly
With flash delivery, each of these Services is spending huge amounts of money to gain market share. We see this in the massive advertising that spends the price of products and the special offers that constantly appear in our notification bars. This is the approach taken by pretty. As much as all Silicon Valley startup revenue and profits are irrelevant, all that matters is market share and how many active users you have, so it's hard to say that the market will decide when the market is so obviously distorted by the presence of dumb money. Do people use Flash delivery?
can groceries be delivered too quickly
Yes absolutely but how many people will keep ordering when the VC money runs out and they have to pay delivery cost to make matters worse there is a history of tech companies promising cost reductions and efficiencies through modern technology but in they actually provide those benefits through the exploitation of workers its like the robber barons of the 19th century all over again but with an app that thought twice made a great video on how Uber and similar companies profit by finding loopholes in the laws labor law and obfuscating them through technology to avoid regulation is definitely worth looking at a Dutch labor investigation of flash delivery services published in April this year found multiple violations of labor law, including unsafe or inadequate working conditions and circumvention of employer liability through false recent self-employment contracts Only the Netherlands ruled that it does.
Drivers are actual employees, not independent contractors, so they should receive employment benefits such as vacation days, sick days, and disability insurance. they left for other reasons although they also left Spain immediately after a similar ruling but I'm sure it's just a coincidence I mean they wouldn't face their whole business model of exploiting their employees chuckles the bouncers in particular It has generated a lot of controversy. including a protest by writers in Berlin after the company fired workers who took part in a strike of late have been trying to clean up their image with wage increases and other changes to their employment contracts, although they have also recently restructured their company outside of the Netherlands to get around the worker participation laws in Germany so there's that and then the Netherlands recently ruled that f tab delivery services should be considered supermarkets and therefore should be in line with the collective labor agreement that already applies to most supermarket companies.
I suspect this will be an ongoing battle for European regulators and labor groups, but it's worth it because anything that makes it harder for companies to profit from worker exploitation is a good thing. I have spoken to many people who work or have worked for one of these services and it seems that working conditions are improving, although it can vary greatly by location. But ultimately this comes back to the original question: do you really need your

groceries

delivered

in 10 minutes or even 30 restaurant delivery services? they really do have that kind of time pressure a lot of mainstream grocery stores have delivery options and Amsterdam has services like picnic that they deliver in these little trucks but you can only book your grocery delivery several days in advance so I definitely think that there is a market for same day grocery delivery but there are also diminishing returns with the speed and convenience of delivery within minutes not really worth it if it leads to public nuisance more dangerous streets and sweatshop labor practices even though it seems that the old days will soon be over anyway, the gorillas have said they will focus on long-term profitability, which may suggest that VC money is starting to dry up the minimum order size for cheap delivery has also has increased steadily over the last few months and the last few times I have tried to order there are so many out of stock stuff I need to go to the grocery store anyway so I don't even bother anymore last time I loaded up Flink their estimated delivery was 70 minutes but it turns out I definitely think these services have their place and I'm sure that some of them will find a successful niche but person Ally I will continue to buy my

groceries

by bike I love making videos about the big urban places I visited, but not everything makes it to YouTube, in particular, videos on some topics, like my places favorites without cars, which don't fare as well. the youtube algorithm so i post these videos on nebula the purple ones won't make it to youtube nebula is the creator owned streaming platform that specializes in educational content like mine there you will find videos from over 150 educational creators all fully ad free and free sponsorship we have also recently added nebula classes online courses from some of your favorite nebula creators if that sounds interesting you can sign up now at nebula.tv not just bikes or use an in-app upgrade on iOS or Android thanks to nebula forsponsor this video I would also like to thank my supporters on nebula and patreon who pay me to complain when my food comes too fast if you want your name on this beautiful supporter list visit patreon.com not just bikes
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