Instacart has launched a new drinks and snack delivery app called Fizz, the company announced on Tuesday. The 21+ app is built for friends and family and is designed to make it easier to stock up for a party or get-together.
The host of a party can invite guests into their Fizz cart to allow everyone to choose what they want to bring to the gathering. The app aims to eliminate the headache of splitting the bill, so everyone pays for what they add to a cart.
“It’s becoming more and more common when people gather that they share in contributing to what it takes to put together a party, but then they do this kind of bill-splitting thing,” Daniel Danker, Instacart’s Chief Product Officer, told TechCrunch. “Afterwards, they open up Venmo, and they kind of divide up the cost. And while we think that that’s great, certainly better than a more manual way of doing it in the past, we actually think there’s an opportunity to just completely eliminate that step and make it even more effortless.”
With the launch of Fizz, Instacart is diversifying its revenue streams and offerings, all while appealing to new types of customers. The social, party-planning aspect of Fizz enables the company to tap into a younger demographic that may not be using Instacart.
As the host on Fizz, you can create a party cart and drop the link into your group chat. Guests can add to the party cart even if they don’t have the Fizz app downloaded. You decide when to place the full order, and get it delivered immediately or scheduled in time for your party for a flat $5 delivery fee. Guests don’t have to pay for a delivery fee or any other sort of fee.
Unlike Instacart, which allows you to place orders across grocery, restaurant, retail, and express partners, Fizz is focused on a specific category: drinks and snacks. This includes things like beer, seltzer, non-alcoholic drinks, chips, dip, healthy snacks, or party supplies. When you buy drinks, you earn “Snack Bucks,” which can be redeemed for discounts on snacks.
The items in a party cart will be shopped from a nearby grocery store on Instacart’s platform, and delivered by an Instacart shopper.
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Danker said Instacart developed the idea for Fizz after recognizing that the way people gather and socialize is evolving. For instance, the older generations would pay for everything when hosting an event and choose what they’re going to serve. However, the younger generation is doing things a bit differently, as Gen Z and millennials tend to feel a need to share in the cost of a gathering, Danker notes. Plus, they want to ensure that everyone’s needs are considered, whether it’s someone who doesn’t drink or someone who follows a gluten-free diet. Fizz aims to address this evolving landscape in an affordable way, he says.
While the app is designed for groups, Danker believes there’s an opportunity for Fizz to be used by individuals who may prefer the new app over Instacart.
“Instacart is designed for the weekly recurring shop and then filling in orders in between, Danker said. “The Fizz experience is a very lightweight experience. You don’t even have to choose a store up front. It’s $5 flat, and you get your order delivered. You don’t have to have a membership, where most customers that use Instacart, they come back every week. So the membership makes a ton of sense. Fizz, no membership required, really lightweight, really simple concept. You’re earning Snack Bucks as you shop. So, it’s designed for a different demographic and different audience than tends to use Instacart.”
As part of the launch, event planning app Partiful has integrated Fizz directly into invites for hosts and guests. You and your guests will be able to tap the Fizz link to get started on a party cart. Everyone on the event page can see the whole cart right within Partiful.
“With our new Fizz integration, we’re solving another big logistical headache: stocking up for a gathering and making sure everyone’s tastes are accounted for—bringing your whole event to life in a just a few taps,” Partiful CEO Sherya Murthy said in a statement to TechCrunch.
The launch of the new app comes a year after Uber shut down alcohol delivery service Drizly after acquiring it in 2021. Although Drizly and Fizz share some similarities, Instacart is taking a different approach by incorporating a social aspect in its new app, as it aims to capture the attention of Gen Z and millennials to drive its success. Plus, while Drizly was focused on alcohol delivery, Fizz features snack and party supplies.
Fizz complies with local laws and jurisdictions regarding how alcohol sales are handled. The app is available in Alabama, Arizona, California, Connecticut, Florida, Georgia, Hawaii, Idaho, Illinois, Iowa, Kentucky, Louisiana (some parts), Massachusetts, Michigan, Minnesota, Mississippi, Missouri, Nebraska, New Jersey, New Mexico (some parts), New York, Nevada (some parts), North Carolina, Ohio, Oregon, Texas, Tennessee, Virginia, Washington, and Wyoming.
