Spanish ride-hailing unicorn Cabify is getting into grocery delivery to add another mark to its multimodal mobility and urban utility arch.
The company today announced the addition of a “Super” option to its app – available to users in nine cities in its home market, namely: A Coruña, Alicante, Barcelona, Madrid, Malaga, Murcia, Seville, Valencia and Zaragoza .
The grocery delivery service is operated through a partnership with the local grocery picking startup Lola Market. But there’s an added twist here as the latter has been taken over by Spain’s on-demand delivery platform giant Glovo. Last month – as part of his efforts to build a fast urban grocery delivery business. So it’s been a busy couple of months (of being) in Demand) for the smaller Spanish startup.
The relationship between Cabify and Glovo (via Lola Market) only seems to be at the level of a strategic partnership for the time being.
Last month, Glovo said that Lola Market would keep its brand and operate independently after the acquisition – led by Gonçalo Soares da Costa, CEO of a second grocery picking store, Mercadão, which Glovo also acquired.
And while Cabify is touting the new “Super” offering as it is the first time its users can shop through its app, the service (including delivery) is met by Lola Market. So it’s a purely technical integration – and looks like a game to give users of the ride-hailing platform the convenience of app-based supermarket shopping at the push of a button.
Madrid-based Lola Market, meanwhile, supplies groceries from Spanish supermarket chains like Makro, Lidl, Carrefour, Mercadona, DIA and Alcampo, and says it can pick from traditional markets and some specialty stores.
The new “Super” option in Cabifys app in Spain (Credit: Cabify)
That summer, Cabify rolled a Multimodal subscription pilot offer in Madrid – To encourage users to subscribe to the various mobility offers – ride-hailing, his Electro-micromobility subsidiary MOVO, Bicycle subscription service Bive and courier service.
With the new grocery store, it is counting the move as a further expansion of this multimodality strategy – and is trying to claim green credentials by suggesting reducing journeys in private cars and improving the urban environment by reducing emissions through collective deliveries.
Of course, ride-hailing can have a negative impact on cities by clogging roads and creating congestion, which affects the quality of public transport and other zero-emission mobility options (e.g. pollution from the formation of fine particulate matter, e.g. from wear and tear on car tires).
Driver services also took a hit during the pandemic – while food deliveries rose during the lockdown. So diversification looks sensible.
“This new service expands the concept of what we know as ‘multi-mobility’,” said Lucía Chávarri, Vice President of New Business at Cabify, in a statement. “With the ‘Super’ service, thanks to the collaboration with Lola Market, we avoid trips to supermarkets with private cars, which are often only occupied by one person and are very common in cities.” In addition, online shopping improves the efficiency of the resources available because the delivery makes it possible to group different orders and deliver them by the best route. “
Luis Pérez del Val, the founder and CEO of Lola Market, suggested that “working” with Cabify will allow us to reach a lot more users and “leverage our infrastructure to make the service accessible to a lot more people in big cities do”.
“With this integration we will be able to further optimize the efforts of our personal shoppers,” he also said and outlined the use case of a Cabify user who is picked up at the airport and has time to buy his groceries in the app on the way to his destination and receive it when you get home.
“The ability to shop in the hour or at the scheduled time is a great opportunity for this collaboration,” he added.
Cabify also operates its ride hailing platform in a number of cities in Latin America. We asked if there are any plans to add grocery deliveries for users in this region.
In general, the lines between different city-based “convenience” on-demand services in Europe and America continue to blur as various platform giants vie for position and profitability – chasing the dream of a “Super app” in the China style.