In September 2017, a San Francisco-based grocery delivery service –Instacart – available in 130 markets across the US, expanded its services to more regions like Columbus, Reno-Sparks, Erie, Fresno, and Santa Barbara. Since its inception in 2012, the on-demand grocery delivery platform had grown exponentially and established a presence in several cities nationwide. In no time, Instacart posed a big competition to tech giants like Amazon.com (Amazon), and Google Inc (Google).

The idea of Instacart was born when its founders were trying to find a solution to the problem faced by many people, especially those who did not own a vehicle, in getting fresh groceries from supermarkets. Instacart’s business worked through an app, which acted as a platform for users to order groceries from various stores and get them delivered to their address by Instacart workers. The workers, in turn, were paid by the company. This ultra-lean model of Instacart had several revenue streams – from customers, to grocers, to advertising partners. ..

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