Core Insights - Instacart is launching a new app called Fizz, aimed at Generation Z consumers, focusing on group orders for drinks and party snacks [1] - The app allows multiple users to contribute to a single order, pay individually, and have items delivered for a flat fee of $5 [1] - Fizz is designed to complement Instacart's existing services, with the expectation that younger users will transition to Instacart as their needs evolve [2] Company Strategy - The development of Fizz began at the start of the year, with partnerships established with grocery and liquor stores that already work with Instacart [3] - The introduction of Fizz is expected to attract more retailers to the Instacart platform [3] - Instacart recently reduced the minimum spend for free delivery from $35 to $10 for paid subscribers, which has led to increased user engagement [2] Industry Trends - Competitors like DoorDash and Uber are expanding their alcohol delivery services, with DoorDash reporting a 96% increase in ready-to-drink cocktail orders [4] - The trend indicates a growing interest among younger consumers in purchasing alcoholic beverages through subscription services [5] - Research shows that 39% of millennial consumers have utilized scheduled and auto-fill product subscriptions for their regular purchases, a figure higher than the overall consumer average of 31% [6]
Instacart Introduces Alcohol-Focused Fizz App to Tap Gen Z Market