Is Uber Local Advertising’s Duopoly Killer?

While Amazon is challenging the duopoly, when zeroing in on local advertising and commerce — Street Fight’s hallmark — as opposed to driving eCommerce, another challenger may loom: Uber. In fact, we have a longstanding prediction that it will blitz local advertising by strategically building from the Trojan Horse that is “in-ride mode.”

This theory is based on the fact that Uber has your captive attention during rides, given in-app utilities like mapping and ETA. Furthermore, it knows where you’re going (think destination-based promotions). In the aggregate, it has lots of behavioral data for a richer mosaic of audience-targeting gold.

The Power and Shifting Meaning of Local

Urban, suburban, and rural residents have different shopping habits in their “local” areas. Many marketers are investing in mobile location-based ads — BIA/Kelsey predicts US spending will top $26 billion this year — yet as a retailer your goal isn’t just to reach consumers but to connect with them by acknowledging their different perspectives.

Talking to your customers requires a customized strategy that prioritizes location and takes their everyday lives into consideration. Harnessing the power of local starts with knowledge: where your customers live, what they want, and how to deliver it on behalf of your brand.

Uber, Lyft, DoorDash Fight Gig Economy Law in California

Ride-hailing giants Uber and Lyft are teaming up with restaurant delivery service DoorDash to fight California’s AB 5, a law that would force gig-economy companies that survive on contractor labor to register their drivers (or dashers) as employees and offer them benefits, Vox reported.

The coalition, the Protect App-Based Drivers and Services campaign, is attempting to place a referendum on the 2020 California ballot that would give voters the choice to exempt ride-sharing services from the law. That would presumably include DoorDash, which is not a ride-hailing service but essentially iterated Uber’s business model, employing drivers to escort food instead of passengers from A to B on demand.

LBMA Vidcast: Verizon Media Turns to AR; Uber Testing Essential Grocery Delivery Down Under

On this week’s Location-Based Marketing Association podcast: Verizon Media goes AR, Pared app for restaurants, Veeve re-invents the shopping cart, Uber testing milk/bread delivery in Australia, Albert Heijn piloting their own Amazon GO, Apple quietly adds UWB to iPhone 11.

California’s Gig Economy Bill Becomes Law

The landmark California gig economy bill that may force companies such as Uber, Lyft, and DoorDash that employ thousands of drivers as independent contractors to hire those people as employees became law today. Democratic Governor Gavin Newsom signed the bill.

If the bill does ultimately affect Uber, Lyft, DoorDash, and other companies in the so-called gig economy thriving on venture capital for the last decade, it will severely disrupt their business models, which rely on cheap labor. 

Uber Pledges to Fight California Contractor Bill

Uber and Lyft are already losing billions of dollars, and long-term concerns about whether they will ever hit profitability have endured, making for relatively weak runs on the public market. If the companies cannot come close to profitability with cheap labor forces without benefits, having to treat drivers as employees could pose an existential threat. At the very least, it may require Uber and Lyft to slow down expansion and rein in their ambitions, suggesting that the heyday (or hallucinatory days) of Web 2.0 could be coming to a close.

What’s a Cloud Kitchen? Amazon’s Next Move to Revolutionize a Major Shopping Sector

Jeff Bezos likes to say, “Your margin is my opportunity.” Like with Whole Foods and grocery, Amazon moves into new verticals and applies its logistics-first approach to carve out margins, then undercut competitors. It is even getting into shipping, in a move to own its delivery infrastructure.

The next local conquest could be restaurants. For Amazon, it’s not just about serving food, but doing so in a way that aligns with its forte: delivering things to your home. The biggest clues and synergies lie in its established delivery and logistics playbook as well as its recent $575 million investment in Deliveroo.

Enter the cloud kitchen.

LBMA Vidcast: Facebook’s Libra, Carrefour Tests Facial Recognition

On this week’s Location-Based Marketing Association podcast: Facebook’s Libra cryptocurrency, L.L. Bean and Uber for Backyard Campsite, Carrefour tests facial recognition, 7Eleven delivers Cheetos AR experience, Kyruus + Brandify partner, PromoRepublic raises 2 million Euros.

Brand Safety is a Brand Authenticity Problem

Marketers know that in a world of globalized competition, consumers are one click away from choosing a different product or service. Taking a stand can help brands appear righteous and earn consumer loyalty, which is why brand safety scandals necessitate a massive and speedy PR response. However, responding to or apologizing for such scandals can only be perceived as authentic the first time around—not the second time, and definitely not the third. The endless cycle of brand safety scandals reveals one of two things about today’s brands—they’re either lemmings, or they don’t really care about brand values.

LBMA Vidcast: Amazon Go Takes Cash, Macy’s Launches ‘Story’

On this week’s Location-Based Marketing Association podcast: Goodwill, Bose + Coachella, Improving traffic with “Flo,” Amazon Go takes cash, Macy’s launches “Story,” Uber goes B2B with vouchers.

LBMA Vidcast: Octopus Ads in Ubers and Lyfts, Walmart and Google Team Up on Voice

On this week’s Location-Based Marketing Association podcast: Neiman Marcus + SalesFloor, Octopus ads in Uber & Lyft, Cleveland Cavaliers + Aramark use Apple business chat for food orders, CVS + Shipt, Snapchat testing “Status” feature, Walmart + Google voice ordering.

In Test of On-Demand Economy’s Durability, Postmates Files to Go Public

There’s nothing more hyperlocal than the on-demand class of startups, which feed off the everyday use cases spurred by a mobile-first world: whipping one’s phone out to order food from a local restaurant (Postmates, GrubHub, DoorDash), hail a ride (Uber and Lyft), or cut out a trip to the grocery store (Instacart, Shipt). Postmates’ founding ingenuity was to apply the convenience of ride-sharing to product delivery. Eight years later, it’s a food-delivery powerhouse, and its value may strike nearly $2 billion.

LBMA Vidcast: TikTok & GrubHub, Domino’s Builds Loyalty, Uber Takes to the Skys

On this week’s Location-Based Marketing Association podcast: TikTok + GrubHub, Bluetooth goes 5.1 accurate, NumberAI, Vistar Media + PlaceIQ & Others, Domino’s builds loyalty with Super Bowl, Uber to launch flying taxis.

Local Advertising’s Next Sleeping Giant: Uber

Mike Boland: Given the attribution possibilities, its scale, recent delivery partnership with Starbucks, and existing Uber Eats infrastructure, Uber’s move into advertising looks pretty inevitable. Of course, it would have to gain internal competency as an ad company, so look for acquisitions or talent hires (or both) in 2019. And look for more rhetoric about the latest company to challenge the duopoly, this time in a very local way. 

Starbucks Partners with Uber to Launch On-Demand Delivery at 2,000 Locations

Starbucks announced on Friday that it’s partnering with Uber to launch on-demand delivery at 2,000 locations. The partnership is a sign of the “near me” local search era for retail, one in which proximity and convenience have become paramount, outweighing even loyalty.

Firefly, Mounting Ad Displays to Ubers, Comes Out of Stealth with $21.5M

Firefly, a new digital ad company, hopes to provide Uber drivers with another way to make money as they drive. The startup has quietly assembled a fleet of close to 1,000 Uber drivers in San Francisco and Los Angeles who have been mounting ad displays to the top of their vehicles.

Heard on the Street, Episode 16: Holiday Shopping Roundtable

What are the latest tactics in localized marketing, and how do they map to retail strategies as we enter the holiday season? This was the topic we batted around in a Street Fight roundtable for the latest episode of the Heard on the Street podcast.

Street Fight Daily: GMB Insights Adds Branded Search Reporting; 2/3 Big Businesses Invest in Local Media

TODAY IN LOCAL & DIGITAL MARKETING AND MEDIA… Google My Business Insights Adds Branded Search Reporting… New Hires at S4M, Uberall, Tremor Video… BIA: Two-Thirds of Businesses with 500+ Employees Invest in Local Media Ad Platforms….

Street Fight Daily: Mobile to Surpass Traditional Media Combined; Brands: Be Wise About AI Use for Customer Engagement

TODAY IN LOCAL & DIGITAL MARKETING AND MEDIA… Mobile Ad Spending to Surpass All Traditional Media Combined by 2020… Despite AI Advances, Consumers Crave Human Interactions… Google Assistant, Search Add Best Buy and Nike as Shopping Partners…

Street Fight Daily: Semcasting Debuts Attribution Solution, Mobile Coupons An Opportunity for Holidays

TODAY IN LOCAL & DIGITAL MARKETING AND MEDIA… Semcasting Offers Proof of Performance with New Attribution Platform… Data Still Makes Ads Irrelevant, Consumers Say… How Walmart Is Using First-Party Data to Stand Out in Ad-Supported Video…