SXSW goes apeshit for on-demand startups
It’s a troublesome world on the market for on-demand startups — confusion across the W2 vs. 1099 dialog, robust margins, and customer support are however a number of of the preliminary obstacles for these corporations. Add within the necessity of giant quantities of up-entrance capital and it’s an uphill battle at greatest.
However belief me, the on-demand financial system will survive and ultimately prevail, and 2016 may simply be the yr they do it.
At SXSW, the place the tech world eats and drinks excess of they conduct enterprise, the group tends to fall in love with a selected development. Typically these developments last more than others. Final yr, it was reside video broadcast with Meerkat, and previous yr’s introduced us the likes of Foursquare, Twitter, and never-but-forgotten Spotlight. Although the on-demand area has been trending for years now, it appears that evidently corporations each giant and small wish to make a splash on the pageant.
Postmates, the seasoned veteran within the area, is launching a partnership with Revolve clothes to let pageant-goers purchase their latest seems on-demand, delivered in forty five minutes or much less. This isn’t the primary time Postmates has provided garments on the platform — in any case, Postmates delivers something. Nevertheless, Postmates is making a transparent run on the SXSW crowd this March.
Then there’s Favor, a smaller Postmates competitor who’s partnering with the pageant itself to ship meals. The corporate will ship meals from SXSW’s SouthBites Trailer Park, with meals from distributors like East Aspect King, Veracrus, and Chi’lantro. The service guarantees supply in 35 minutes or much less with a flat $5 supply charge. Favor, based mostly in Austin, is now obtainable throughout 17 cities and has focused tier-two markets that Postmates and Uber aren’t already in.
Service, one other on-demand firm that gives on-demand customer support, is launching a program at SXSW. Service “Wizards” will probably be obtainable by way of the app to do issues like wait in line or reserve a spot for you at a well-liked venue.
However SXSW as a convention can also be going heavy on the on-demand content material. In a panel referred to as “On-Demand The whole lot”, McDonald’s, Luxe and Groupon are collaborating in a panel discussing how all corporations, not simply on-demand service suppliers, can use know-how to make the client expertise that rather more handy.
One other panel, referred to as Companions for Profitable On-Demand Grocery Supply, consists of Entire Meals execs and Instacart’s head of BizDev Nilam Ganenthiran.
Briefly, anticipate to see plenty of on-demand promotions, partnerships, and particular reductions on the pageant in Austin this yr.