Uber has teamed up with Cargo, a startup that makes it easy for rideshare drivers to sell goods to their passengers. Cargo works by giving drivers free boxes, filled with goods like gum, phone chargers and snacks, to sell to passengers from the center of the car console.
Cargo, which has partnered with brands like Kellogg’s, Starbucks and Mars Wrigley Confectionery, provides these boxes to drivers for free. The only requirement is that drivers must have at least a 4.7 rating and be relatively active on the platform, Cargo founder and CEO Jeff Cripe told TechCrunch.
Each Cargo box comes with both free samples and items for purchase. Drivers earn at least $1 per order, even if what the rider gets is free.
Starting today, Uber drivers in San Francisco and Los Angeles can pick up Cargo boxes at one of Uber’s driver support locations, called Greenlight Hubs. While this is an exclusive business partnership, Cargo will continue to let drivers sell its goods even if they don’t drive for Uber.
Since launching in 2017, about 7,000 drivers have made more than $1 million. On an annual basis, drivers can earn an average of $1200 a year, while the top 10% of drivers make $3,600 a year in income. This seems like a great deal for drivers and also a way for Uber to attract and retain drivers.
As it stands today, customers request and pay for goods via Cargo’s mobile site, but down the road, Uber envisions integrating Cargo’s functionality into its app. To date, Cargo has raised $7.3 million in funding.