with dfddshopwings, instacart gets a wink and a clone from rocket internet _ techcrunch

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  • 1/22/2016 WithShopWings,InstacartGetsAWinkAndACloneFromRocketInternet|TechCrunch

    http://techcrunch.com/2014/10/13/withshopwingsinstacartgetsawinkandaclonefromrocketinternet/ 1/5

    Instacart, the fast-growing grocery ordering and delivery service that earlier thisyearclosed a $44 million round to expand to new markets, has a new clone in Europe,courtesy ofRocket Internet, the newly-public German company that has made a very bigbusiness out of replicating and building out e-commerce businesses in Europe anddeveloping markets.

    ShopWings, launching today, billsitself as an online supermarket that delivers dailygoods from local grocery stores. The first market where it will be open for business isMunich, but the idea will be to rapidly expand that in the months ahead capitalisingon some significant backing from Rocket Internet (total amount undisclosed) and thefact that Instacart has yet to make a move here.

    We believe people are busy, and busy people seek modern solutions that save themtime. ShopWings exists to replace the hassle of traditional shopping with an innovative,time-saving alternative, so our customers can get exactly what they need, when they

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    Posted Oct 13, 2014 by Ingrid Lunden (@ingridlunden)

    With ShopWings, Instacart Gets A Wink And A Clone FromRocket Internet

  • 1/22/2016 WithShopWings,InstacartGetsAWinkAndACloneFromRocketInternet|TechCrunch

    http://techcrunch.com/2014/10/13/withshopwingsinstacartgetsawinkandaclonefromrocketinternet/ 2/5

    need it, notes Florian Jaeger, co-founder of ShopWings. Germans spend over two yearsof their lifetime in grocery stores. It therefore seems obvious to us, that online shoppingwill expand a lot in coming years, saving people time for the really importantthings.Other co-founders areChristoph Harsch, Andreas Veller, Conrad Bloser andDominik Unuetzer.

    Delivery on the service costs 4.90 ($6.21), with a guaranteed drop time ofwithin twohours of ordering. Customers select products online and ShopWings applies analgorithm to detect where there is matching stock near to the customers location.

    The basic premise is similar to that of Instacart, TaskRabbit,Uber and otherbusinessesbuilt onthe premise of the sharing economy: independent contractors signtoShopWings to carry out theshopping and delivery.

    The lack of human involvement in online grocery stores reduces the emotionalcomponent of the shopping experience and could impact customer retention, thecompany notes in a statement. At ShopWings, the personal shoppers are the facesbehind the website, connecting users and provider. We are the helping hand in theeveryday life of clients.

    From what I understand, though, ShopWings has been created in the startup traditionof moving fast: there are no official deals in place yet with retailers, and so all of thepictures, for example, that have been posted on the service up to now are unofficial picstaken and found by ShopWings team.

    Rocket Internet understands the concept of economies of scale and its applying itcleverly here: the company already has a number of other services operating inGermany that follow a similar model, including Hello Fresh (delivering packages ofingredients for meals) and Helpling (think TaskRabbit). Helping, for its part, is nowexpanding to Southern Europe (Italy and Spain) and theAmericas (Brazil), the companyannounced today.

    What it can offer here potentially is a way for independent contractors to offer theirservices across the range of offerings, a way of incentivising them to have more loyaltyfor the wider Rocket Internet effort. Similarly, over time, Rocket Internet could use thescale of ShopWings to negotiate deals with retailers that might apply not just toShopWings, but potentially feed into (pun!) its other e-commerce efforts around foodand other products.

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  • 1/22/2016 WithShopWings,InstacartGetsAWinkAndACloneFromRocketInternet|TechCrunch

    http://techcrunch.com/2014/10/13/withshopwingsinstacartgetsawinkandaclonefromrocketinternet/ 3/5

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    The market that its tackling is big: figures from Boston Consulting estimate that on-demand, food-related tasks like grocery shopping are on track to be a $100 billionmarket by 2018.

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  • 1/22/2016 WithShopWings,InstacartGetsAWinkAndACloneFromRocketInternet|TechCrunch

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