Brief:

• Cargo, an in-car commerce platform for rideshare vehicles, partnered with Snapchat and SnackNation for its rollout in Los Angeles. Passengers in Cargo-equipped cars can order products and snacks by using Snapchat to scan a Snapcode printed on a Cargo box, according to a press release shared with Mobile Marketer.
• Red Bull, RxBar protein bars, Matcha Lip Balm by Winky Lux, SmartyPants Vitamins and snacks selected by SnackNation are among the products that ride-hailing passengers can buy in transit. Riders can also unlock special Snapchat Lenses from Cargo brands while browsing the box's inventory.
• SnackNation also will provide data and guidance to help Cargo predict and source products that fit into a regional and seasonal merchandising strategy tailored to local rider preferences.

Insight:

Cargo aims to give rideshare drivers a way to earn extra income from passengers that also are a captive audience for CPG companies. Cargo touts itself as the only scalable, data-driven in-car solution for reaching millennials and Gen Zers who use ride-hailing services like Uber and Lyft, and is now taking on the biggest market for car transportation: Los Angeles.

Cargo has run several promotions in the past year with CPG giants like Coca-Cola, Red Bull, Mars and Kellogg's. As more consumers forgo trips to brick-and-mortar stores while ordering more on-demand transportation services from ride-hailing companies, Cargo's in-car boxes offer a new distribution channel. Plus, the addition of Snapcodes to help people make purchases from Cargo is another added convenience, as many people already have the Snapchat app downloaded to their phone.

Cargo's service is available to any rideshare driver, regardless of the competing services, although it does have access to Uber's API, enabling passengers to use a smartphone web browser to buy from a curated mix of snacks, electronics, cosmetics and personal care items while in transit. Uber and Lyft spend heavily on subsidies to drivers to gain market share. Cargo may help to ease some of those pressures if drivers are able to earn additional income for selling products while driving.