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Most people probably tend to think of Amazon when they hear the term, “same-day delivery service.” It’s been well-documented that Amazon is attempting to move toward same-day delivery. But did you know that this type of service is already in place in other companies?
Today, we’ll introduce you to Deliv. Deliv is a same-day delivery service that was recently acquired by Target. This article will serve as a definitive guide to Deliv, covering everything from what it is to how much it costs.
- What Is Deliv?
- Deliv Becomes Exclusive to Target
- How Much Does Deliv Cost?
- How to Sign Up for Deliv
- Frequently Asked Questions
What Is Deliv?
Deliv is a service that works specifically with retailers and businesses to provide last-mile delivery solutions. The company, based in Menlo Park, CA, offers same-day delivery in 35 markets, including:
- San Diego
- San Francisco
- Washington, D.C.
The company allows enterprises to integrate Deliv into their e-commerce sites. Deliv also allows individuals and small businesses to send packages across town.
Deliv has also recently entered into the prescription and grocery delivery markets. Note that customers cannot go directly on Deliv’s website and place orders for products. Instead, Deliv operates as a delivery partner for grocery stores, pharmacies, and hospitals.
The company acts as the last leg in the supply chain. Deliv relies on a fleet of independent drivers, similar to other services like DoorDash and Shipt. Because of this, Deliv can allow companies to complete orders in real-time.
Large companies that deployed the same-day delivery service Deliv included:
- Best Buy
However, all of this will soon change, as a large-scale retailer announced it has acquired the rights to Deliv’s technology assets.
Deliv Becomes Exclusive to Target
Deliv recently announced that it is shutting down operations and is being acquired by Target. The Wall Street Journal reports that a company representative said, “Deliv is in the process of completing a deal to sell technology assets to Target and Deliv’s CEO along with a subset of the team will be moving over to Target. Target is not involved in the wind-down.
Deliv CEO Daphne Carmeli had previously written to employees,
Due to a confluence of events over the past few months, Deliv will unfortunately be winding down our operations over the next 90 days. The last day of service will be on or before August 4, 2020.
Deliv was being forced to shut down due to the coronavirus pandemic. Target saw an opportunity to buy the company’s assets when it was on the verge of a shutdown. The acquisition is financially immaterial for Target.
In 2018, Deliv was valued at $190 million. Since 2012, the company had raised around $85 million in venture capital, with notable investments from companies like:
- General Catalyst
- Redpoint Ventures
- PivotNorth Capital
Even with this funding, and a surge in deliveries during the pandemic, Deliv failed to reach profitability. Target at one point had discussed acquiring the entire company but backed off after looking at its financials. Instead, Target decided to invest in Deliv’s technology.
Target plans to use Deliv’s technology specifically for research and development. Target hopes that this research will help fuel deliveries in urban areas.
How Much Does Deliv Cost?
Right now, Deliv is only available for small businesses. We ran a price quote from the ZIP code 02115, which represents most of Boston’s Back Bay neighborhood. We received pricing options to different geographical zones, based on proximity. The price quotes are for 3-hour Rush Service.
- Zone 1 = Base Price $12.50
- Zone 2 = Base Price $15.25
- Zone 3 = Base Price $19.25
- Zone 4 = Base Price $22.50
- Zone 5 = Base Price $27.75
These prices allow you to send up to five packages per order to a single location at a flat rate. There is also 2-hour delivery available, although you need to have an account and speak with a customer service representative to implement this request.
How to Sign Up for Deliv
Signing up for Deliv is relatively straightforward. After confirming that the company ships to your area, you are directed to a login page. Here, you’ll enter your name, business name, and description of your company. You’ll also provide contact information.
Having said that, when we created an account, we received an error message that indicated that the company would be winding down its delivery operations and that you can no longer place deliveries.
Frequently Asked Questions
Still a bit confused about what Deliv has to offer? Consider some of these most commonly asked questions.
Can I drive for Deliv?
Deliv had a fleet of drivers who worked as independent contractors to complete deliveries. Through the company app, you can schedule blocks when you’d like to work. Deliv’s website says that you can earn up to $22 per hour while working as a driver. And, you don’t have to worry about hot food or passengers, which is the case with other delivery services.
However, because Target recently acquired Deliv, it’s tough to tell the status of the company’s delivery fleet. Target appears to only be interested in the company’s technology. We recommend considering other options to earn income, such as with Amazon.
Why did Target acquire Deliv?
Target had already been working with Deliv in 2019 and 2020, although on a much smaller scale. Target hopes that Deliv will give it a better understanding of the last leg of the supply chain and how to better serve its customers and independent drivers. The technology should also allow Target to pool orders and direct them all to the same end destination.
Can I place new orders with Deliv now?
No, the company announced that it is not accepting any new orders. If you already had an account with the company, it is working to fulfil any order requests until the beginning of August. After that, the company will stop making deliveries. The only way you can complete orders with the company now is if you already had an account in place.
Furthermore, if you had an account, you will not be able to use it after August 4 due to the shutdown.
Is Deliv a Viable Option for Local Delivery?
Deliv had been operational for eight years and seemed to be a viable option as a last-leg local delivery service for both small businesses and enterprises.
However, we can no longer recommend the use of the company. The company has shut down operations and is no longer accepting new orders.
We did like the existing framework that Deliv had in place, as it brought same-day delivery to households across the country. Be sure to keep a close eye to see whether Target will incorporate this same-day delivery technology into its operations.
Brett Helling is the owner of Ridester.com. He has been a rideshare driver since early 2012, having completed hundreds of trips for companies including Uber, Lyft, and Postmates. In 2014 he acquired Ridester.com to share his experiences with other drivers. His insights are regularly quoted by publications such as Forbes, Vice, CNBC, and more. He is currently working on a book about working in the Gig Economy, expanding his skill set beyond the rideshare niche. Read more about Brett here.