Uber Announces Partnership With Cargo To Offer Riders Snacks During Trips

Uber announced Thursday it will now provide snacks and other refreshments to customers during rides for a price, giving its drivers a chance to make extra money.

The ride-sharing app has partnered with Cargo, a startup that provides in-car commerce services to ride-hail drivers, to provide products during rides. Cargo will equip Uber’s vehicles with product boxes stocked with snacks, beverages, electronics, and beauty products, available for purchase via smartphone, according to a press release.

"Because of companies like Uber, people spend more passenger-time in cars than ever before," said Jeff Cripe, Cargo’s founder & CEO. "This opened the door for Cargo to create an unparalleled level of convenience for a generation of people on the move, and our partnership with Uber will play an important role in making that vision reality."

Cargo offers Uber drivers free center-console boxes filled with goods that customers can order from their phones on the spot, and after the rider makes the purchase, the driver hands over the product.

According to Forbes, drivers get 20 percent of the item's cost and $1 per transaction. Since its launch in June 2017, roughly 7,000 drivers have already earned more than $1 million distributing over a million products through Cargo, according to its website.

Cargo currently operates in New York City, Boston, Minneapolis, Washington D.C., Baltimore, Atlanta, and Dallas. Drivers in Los Angeles and San Francisco can pick up Cargo boxes at Uber's support centers this week.

News of the Cargo deal comes as Uber drivers have reportedly expressed concerns with longer working hours and low wages, according to CNET. This year, the ride-hailing company has been rolling out new features, including in-app tipping, 24/7 phone support and easier ways to pick up passengers.

"Cargo did a good job of providing more for these drivers," Keith Hensley, a business development lead for Uber, said in an interview, per CNET. "We think it's a better service for both our drivers and riders."