‘Get paid to shop groceries!’ This is not a dream. It’s a legit job working for Instacart.
Instacart job has become a favorite side gig for people to earn extra cash until the pay rates changed.
The demand for home grocery delivery services is blooming.
The year 2020 is a good time for Instacart owner(s), not so much for Instacart Shoppers.
Low pay and no benefit have been the biggest problems faced by gig workers.
Instacart Shoppers went on strike demanding better pay, but nothing changed.
The average hourly pay rate for gig workers is still below the minimum wage.
The question then, is it worth it to work for Instacart?
In this Instacart job review, I will discuss the advantages and disadvantages of working for Instacart. You make the final call.
So, let begin.
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Instacart Job Review Summary
Business Type: Grocery Delivery
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What Is Instacart?
Instacart is a same-day grocery delivery service that partners with 15,000 stores across the U.S. to deliver goods directly to your homes.
The company utilizes independent contractors and part-time workers to full fill the on-demand deliveries.
Instacart was founded in 2012 by serial entrepreneur Apoorva Mehta in San Francisco, CA. The company is considered a worthy competitor to Amazon.
The company offers same-day delivery services in over 15,000 U.S. stores, including Kroger, Publix, Aldi, Sam’s Club, Costco and Albertson’s.
Instacart was voted America’s most promising business by Forbes in 2015.
At the time of writing this Instacart job review, the company was valued at $7.8 billion.
How Instacart Works?
Instacart works on a simple on-demand delivery model.
Customers place an order with a local grocery store. Instacart Shoppers shop and/or deliver the groceries to the customer within the same day.
You can join Instacart as a user or service provider. The registration process is free.
Instacart users can place orders using the Instacart app. The in-store shopper will pick the items then the drivers deliver the groceries to your location.
Since we are reviewing the Instacart job, I’ll only provide a brief review of Instacart delivery services below. You can always skip this section to read the Instacart delivery jobs review.
Stores Use Instacart
You can find Instacart delivery services in many popular grocery stores including:
Publix, Albertsons, Aldi, Big Lots, Costco, CVS Health, Price Chopper, Kroger, Petco, Safeway Inc., Sam’s Club, Sprouts Farmers Market, Staples U.S., and more.
Instacart has partnered with over 25,000 grocery stores in 5,500 cities across 50 U.S. states and Canada.
You can use the Instacart location page to find out which grocery store in your area partner with Instacart to deliver groceries.
The delivery fees are added to your final grocery bill. Part of these fees is paid to the in-store shoppers and delivery drivers.
Instacart Delivery Fee
Instacart delivery service fees are charged to the customers and the retail partners.
Customers can choose to pay the delivery fee with each order, or they can subscribe to the Instacart Express membership program.
Instacart delivery fee is $5.99 for orders of $35 or more and $7.99 for orders under that amount.
A 5% service fee with a minimum of $2 is added to every order regardless of the total amount.
Those plans to use Instacart frequently can purchase a monthly or annually Instacart subscription service called, “Express Membership.”
The Instacart subscription fee is $99 per year or $9.99 per month. With this subscription, Express members get free delivery for orders over $35. They only pay the 5% service fee.
Instacart also charges the retail stores a partnership fee. The stores choose to cover this fee by charging higher prices on grocery items purchased through the Instacart marketplace.
Many customers accused Instacart of operating a scam when they discovered the markup on prices. They did not realize that retail stores set the prices of items, not Instacart.
Instacart shares a small portion of the delivery fees with its workers. This is how you get paid to work for Instacart.
This brings us to review of Instacart Jobs.
Instacart Job Review
Instacart employs independent contractors and part-time employees to full-fill delivery orders.
You can a job with Instacart either as an in-store shopper or a full-services shopper.
The key differences between these Instacart jobs are the responsibilities and the pay rates.
Instacart Shopper Jobs
Instacart in-store shoppers are employees of the company.
Your workstation is inside the retail store. You are responsible for packing up customer orders, complete the checkout process, and hand the groceries over to Instacart delivery drivers.
This Instacart job is part-time. You are considered as a W-2 employee receiving a guaranteed minimum wage.
The benefit of working as an Instacart shopper is flexibility. You choose when to work and aren’t required to work during peak periods. However, hourly pay rates tend to be higher when order volume is higher.
Instacart Delivery Driver Job
Instacart delivery driver jobs are called full-service shoppers.
You are responsible to pick up the groceries from in-store shoppers and deliver them to the customers’ locations.
At stores where in-store shoppers are not present, you must fill the orders and deliver them to customers’ doors. These full-service orders tend to pay higher.
As an Instacart delivery driver, you can work as much or as little as you wish.
You are an independent contractor, not an employee of Instacart. You are responsible to pay all taxes and expenses from your earnings.
Instacart Shopper Application Process
Anyone 18 or older can apply for a job as an Instacart shopper.
You can start the job application process by submitting basic information such as:
- Your name, address, phone number
- Whether you have a car, and
- Select a date for an in-person job interview.
The job interview takes roughly two hours which involves an orientation session and a skills test.
If you get accepted, the next step is complete employment paperwork, sign the employment contract, and submit to a criminal background check.
It takes up to 2 weeks for Instacart to process your background check. Once everything clear, you can log in to your account to schedule working hours and start making money.
You are now an Instacart Shopper.
How Much Does Instacart Pay?
The exact hourly pay for Instacart shoppers is hard to determine. Instacart uses several factors, such as the items in the order, the delivery distance, and the current demand.
In the past, Instacart advertised shoppers could earn up to $25 per hour. This advertisement was dropped as a result of complaints and class action lawsuits.
Instacart now pays in-store shoppers a flat rate of $13.83 per hour and guarantees drivers a minimum pay of at least $5 for delivery-only orders and $7 to $10 for full-service orders.
Instacart drivers keep 100% of the tips.
Shoppers receive bonuses based on their performance. Instacart offers two types of bonuses, Peak Boost and Quality Bonus.
Peak boost bonus is an additional payout to shoppers working during peak hours. This allows Instacart to meet the demand during rush hours.
Quality bonus is a $3.00 performance reward given to shoppers with 5-star ratings from customers. Only a few shoppers achieve this criterion. But if you do, it’s a great way to earn additional cash.
However, this is not the take-home amount of Instacart shoppers.
As an independent contractor, you are responsible for paying taxes and all expenses.
Full-service Instacart shoppers operate their own business. The costs of fuel, vehicle repairs, and maintenance will drastically reduce your Instacart paycheck. Most report hourly earnings below the national minimum wage.
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How Often Does Instacart Pay?
Instacart pays shoppers once per week via direct deposit to a checking or savings account.
The paid period is from Monday through Sunday. If your work last week from Monday through Sunday, you’ll get paid the following Wednesday morning.
Full-service Instacart shoppers have another option to access their earnings instantly by using Instant Cashout.
There is a $0.50 fee for using the Instacart Cashout payment option.
Instacart Cashout is only available after you have delivered five batches of groceries, and the minimum payout amount must be $5.00.
Is Instacart Legit?
Instacart is a legit grocery delivery service. This is a billion-dollar company. You can find Instacart shoppers in almost every major grocery store near you.
Are you worried about not getting your groceries delivered?
Don’t worry, the Instacart delivery driver might be late. You will receive your order.
Are you an Instacart shopper worrying not getting paid?
Don’t worry, Instacart will pay you on Wednesday. This is the payday.
You don’t have to worry whether Instacart is a legit company.
But you should be asking this question, “is getting an Instacart job worth it?”
Is Instacart Worth It?
Instacart job is a side hustle, not a full-time job.
If you have a few free hours each day or in the process of changing your career, then working for Instacart is worth it. It’s a way to get extra cash to pay the bills.
Who wants to be a grocery delivery driver for the rest of their life?
Instacart job is not to build your future or to achieve financial freedom. But you can use the Instacart job to help create something better.
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I hope this Instacart job review answers your question, is Instacart legit?
Until next time.
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