SoftBank Invests $940 Million in Nuro for Driverless Deliveries
SoftBank Group Corporation, a giant tech fund, is investing nearly $1 billion in a robotic-delivery vehicle set up. Nuro Inc. raised $940 million from SoftBank's nearly $100 billion tech-focused Vision Fund. This particular start up has plotted a different path in the development of
driver-less vehicles from its competitors, focused on creating its own electric vehicles specially made for in-town deliveries rather than robot taxis or long-haul trucking. Nuro's vehicle is about half as wide as a compact sedan and shorter than most compact cars. The boxy vehicle has no side windows or room inside for people; instead, the two side doors open to reveal special compartments for groceries and other items. To move from location to location, the vehicle is equipped with Nuro's software as well as sensors and lasers. About six of these vehicles have been created so far, however, with the influx of money, Nuro plans to create many more. In doing so, the company is also testing software and hardware on about 50 standard cars on the roads in California, Texas and Arizona with safety operators behind the wheel by the end of this quarter. In June, Kroger Co. , the largest U.S. supermarket chain by sales and stores, said it would work with Nuro to test a driver-less grocery delivery service. Nuro is charging $5.95 for deliveries in the Scottsdale, Ariz., area for groceries from Kroger’s Fry’s Food. A survey last year of 4,504 adults found that almost a third of shoppers said they did not order groceries online because of costs including delivery charges. Although people do have this belief, Nuro and SoftBank are both confident in this invention, as other competitors such as May Mobility and Optimus Ride, have raised far less money and are focusing on using less-costly, slow-moving vehicles to deploy as shuttles in confined areas, such as ferrying riders from the office to their parking lots.
This article relates to the target marketing mix because it discusses how a company (Nuro) is planning to reshape the way groceries are delivered via a new technological creation. This new creation also includes aspects of the four P's. Product focuses on the actual vehicle, while Price relates to the charge customers will have to pay when they use the device. Place relates to the states this new technology is being used in and Promotion is represented through the money and advertising SoftBank has provided to Nuro in order to make the technology known to the public and successful. In order for this new technology to be successful, the promotion aspect will have to been significantly addressed. Although many feel this new technology will be beneficial and will make life easier for shoppers, especially those with large families, in the survey discussed above, many have a concern with the cost perspective of this technology. Customers enjoy having the convenience of getting their groceries delivered, however, many do not want to pay a fee. Although some will, due to the convenience, Nuro and SoftBank, along with Kroger, will have to come together and create incentives for customers to use the delivery service, otherwise, the success for this technology could be very minimal.
I chose this article because I enjoy reading about new technology that is offered to not only me but also to everyone else. We live in a society today that is almost completely based on technology, so I find it exciting when new technology comes out that can not only make our lives easier, but can also offer new developments for our country. This article was very interesting to me and I look forward to seeing this new technology in the Houston area soon.
No comments:
Post a Comment