Unicorn Analysis #1: Instacart

Unicorn Analysis: Instacart

Instacart is an SF based E-commerce startup, which provides groceries and other items on its online platform. The startup is promising same-day delivery of such goods from local grocery stores and delivering them to homes nearby. As of November 2015, this unicorn has 0 published patents or applications and has raised over 250 million in 6 rounds from 18 investors [1]. 

Current Portfolio Analysis

In terms of their current portfolio, Instacart will need to utilize IP to compete and differentiate itself in the marketplace. An article from 2013 mentioning Amazon's efforts into the delivery space mentioned that it "won a broad patent on technology that lets customers schedule product deliveries to their doorstep or mailboxes on a recurring basis, without needing to submit a new order every time." [2] Such patents proving a unique and non-obvious addition to their delivery process can be crucial as Instacart grows. 

Market Competitors

For Instacard, the competitors are twofold: their E-commerce competitors such as Amazon Prime Fresh, Postmates (providing on demand food/groceries), and traditional brick and mortar grocers entering independently into the grocery delivery space such as Safeway. Risks of not patenting or allowing competitors to patent before Instacart make the firm vulnerable to cloning its unique abilities or drawing investors to raise capital for the other entrants into the E-commerce delivery industry.

Strategies:

For Instacart, acquiring or patenting portions of their delivery service in the real-time, scheduled delivery, recommended items, or application UI can be a critical business asset as it competes with companies of much larger size and more established supplier relations. 


Sources: 

[1] https://www.crunchbase.com/organization/instacart#/entity

[2] http://www.geekwire.com/2013/amazon-patents-milkman-recurring-deliveries/