If you want to earn extra cash, grocery and food delivery services are probably at the top of your list of potential gigs. The question is, though – which delivery service should I deliver for?
Well, given the number of delivery apps, that’s a valid question. Shipt is definitely one of the more niche options around. It’s not as popular as UberEats or DoorDash, but few apps can compete with these two.
Does it mean Shipt is any worse? Not necessarily. While not as widespread as some other apps, Shipt shoppers can still earn a good amount of money.
How much can Shipt shoppers make? Is Shipt worth giving a go? Let’s find out.
What Is Shipt?
Simply put, Shipt is a grocery delivery app. It works very similarly to Instacart, with app users being able to order groceries and basic household appliances from retail stores and have them delivered to their doorstep.
The company has been around for some time, founded in 2014. In 2017 it was acquired by Target, so you can expect to deliver mainly from Target stores if you become a Shipt delivery driver.
They also cooperate with other retailers (e.g., Petco and CVS), operating in over 250 cities across the U.S., including New York, Boston, San Francisco, and Dallas.
How Does Shipt Work?
Like any other grocery delivery app. Shipt customers use the dedicated Shipt app to place orders that Shipt shoppers then deliver.
To simplify, the process looks as follows:
- The Shipt customer shops online for groceries, places an order, and pays for it.
- The app accepts the payment and notifies an available shopper in the area (which might be you) to pick it up.
- As a personal shopper, you go grocery shopping, select the listed products, and pay for them using the Shipt debit card (pre-loaded with the appropriate amount).
- Once the order is completed, you deliver the order to the customer.
Shipt shoppers work as independent contractors, which gives them a lot of flexibility. Whether you want to work on weekends or looking for a full-time gig, Shipt offers a great opportunity to earn extra money.
How Much Does Shipt Pay?
Depending on numerous factors, a Shipt shopper can earn between $20 and $30 per hour in larger cities. For smaller areas, the average pay would be around $15 per hour with tips.
The problem here is that it’s impossible to estimate the exact Shipt pay. Shipt shoppers don’t receive fixed payment. Instead, they are paid per delivery, with Shipt calculating their drivers require at least an hour to complete one delivery.
In smaller cities, however, that might not always be the case. The demand in certain areas might be lower, which makes it impossible to earn more money on your deliveries.
The rule here is simple, the more deliveries you make, the more money you can earn.
How Are Shipt Pays Calculated?
Shipt used to have a very simple pay structure. Their grocery shoppers earned $5 per order plus 7.5% of the total amount paid by the customer. However, they recently changed their pay model.
In 2022, Shipt introduced the Shipt Earning Standard, which states that shoppers won’t be paid less than $16 per hour. The base pay remains $5, and the rest of the pay is estimated based on delivery time, total items, and driven miles during your one shopping trip.
The problem is that, as stated, some areas are slower than others, and there might be situations where you may not receive enough orders to get that average 16$ an hour.
The previous model was much more preferred by veteran Shipt drivers, who complained about the new structure. They claim it doesn’t allow them to earn as much as they used to. They also complained about it being less transparent.
On the bonus side, you can still keep 100% of your tip amount, and if you play your cards right and provide quality customer service, tips can become a substantial part of your overall Shipt earnings.
How Are Shipt Shoppers Paid?
Shipt grocery shoppers are paid through Weekly Pay. As a grocery shopper for Shipt, you will receive your earnings every Friday for the orders you completed from Monday to Sunday the previous week.
The earnings are then transferred straight into your bank account, but keep in mind that it may take 2-3 business days for the deposit to show in your account.
You can also take advantage of the instant payout feature to receive your money after each day of work. The daily cashout is available five days a week (Monday to Friday), and it involves a $0.50 transaction fee.
What Factors Impact Shipt Pays?
The number of orders, customer tips, delivery window payments, and promo pay offers are all contributing to how much you can expect to get paid. However, when delivering for Shipt, or any other delivery service, you also need to learn about your potential expenses.
The most important ongoing factors you need to consider include the following:
- Vehicle maintenance. The more you drive, the higher the wear and tear on your car. That said, potential repairs are definitely something you should keep in mind when calculating your expenses.
- Gas. While there are numerous ways to save money on gas, it will become your most significant expense when delivering food or groceries.
- Insurance. As an independent contractor, you aren’t eligible for employment benefits, including insurance. Therefore, you will need to add it to your expense list.
You will also need to consider upgrading your phone data plan, as well as investing in some additional equipment to help with your deliveries.
Another important aspect here is your tax. As an independent contractor, you will be responsible for paying your quarterly taxes, submitting your tax return, and reporting your income.
Shipt offers help with taxes, though, providing its shoppers with a discount on the TaxSlayer software. The Shipt app also generates tax forms and provides you with a detailed breakdown of your annual earnings.
How to Become a Shipt Grocery Shopper?
By now, you should have a better understanding of whether becoming a Shipt grocery shopper is the right idea. If yes, you can proceed with your application. Before you do that, though, be sure that Shipt is available in your area and that you meet their basic requirements.
What Are the Shipt Shopper Requirements?
If you’re thinking about delivering for Shipt, you will need to:
- Be at least 18 years old;
- Have a valid driver’s license, a vehicle, and at least a year of driving experience;
- Have access to a reliable vehicle 1997 or newer that is covered by auto insurance;
- Own a smartphone (iPhone with iOS10 or newer/Android smartphone with Android 5.1 or newer);
- Be able to lift at least 30-40 lbs;
- Have an insulated cooler bag.
You will also need to pass the background check by the third-party company, Checkr, which will perform an extensive check on your criminal and driving records.
What Is the Application Process?
The application process is divided into two parts – filling out the online application form and passing a virtual interview.
- Go to the Shipt official website to start your application.
- Fill out the application form. You will be required to provide Shift with your full name, email, address, age, etc.
- Enter additional information on whether you work for Target and what is your t-shirt size (for your Shipt t-shirt).
- Once you successfully submit your application form, Shipt will schedule you for a virtual interview with one of the team members.
- The interview takes about 15 minutes to complete, and it involves performing a few tasks to test your problem-solving and customer service skills.
- After your interview, the company will run the mentioned earlier background check.
- If you pass the background check, you will wait around 3-4 days for an acceptance message. Shipt will also send you an official t-shirt and debit card.
- Download your dedicated Shipt shopper App and start delivering!
What Are the Pros and Cons of Becoming a Shipt Shopper?
While Shipt can be an excellent opportunity to generate some extra income, it’s not the perfect app. If you’re considering it as your gig, you will need to think about both the benefits and downsides of Shipt.
Let’s go through some of the most significant pros and cons associated with Shipt:
- Delivering for Shipt is very flexible. As a shopper, you are responsible for creating your own schedule, and you’re not restricted to a specific number of hours or days you need to drive;
- You get to keep 100% of your tips;
- Shipt offers its shoppers several incentives and benefits, such as subsidized car insurance, discounts from their partners’ stores, special rewards for achieving certain milestones, and a free Shipt membership;
- The Shipt app is very intuitive, providing you with all the order details you need to complete it on time.
- You need to pay for all your vehicle-related expenses;
- Many shoppers struggle to earn money in certain areas as there aren’t enough Shipt orders for them to complete;
- The pay estimate isn’t as transparent as it used to be;
- Delivery orders without a promo pay model can be relatively low.
Is Shipt legitimate?
Of course, why wouldn’t it be? While it isn’t as popular as some other delivery apps, Shipt is still a reputable brand with a loyal customer base. As a Shipt shopper, you work as an independent contractor, and you will be required to pass a background check and meet specific requirements before you get accepted.
How much can I make delivering for Shipt?
That will depend on numerous factors, such as your area and the number of orders you can complete during the day. On average, you can expect to earn approximately $15 per order, although that can vary on the grocery list, mileage, and delivery window.
In theory, you should be able to earn a minimum of $16 per hour (according to Shipt itself). However, as mentioned, that depends on so many variables (such as hours, demand, tips, etc.) that it might not be possible.
In larger cities, you can expect to earn around $20-30 per hour. In areas with lower demand, that amount can decrease to even $12 per hour.
How can I make more money on Shipt deliveries?
As you already know, there are several variables that impact how much you can earn as a Shipt shopper. However, while some of them are beyond your control, there are several strategies experienced shoppers employ to maximize their earnings, such as:
- Prioritizing weekends when creating your schedule;
- Staying alert on incoming orders to maximize the chance of getting lucrative ones;
- Ensuring you bag items appropriately to encourage a customer to leave a tip;
- Being polite and positive when delivering to provide a better customer experience;
- Creating a shopping system to finish your deliveries faster and accept multiple orders.
Can I also deliver for other delivery apps when driving for Shipt?
Of course. While it’s possible to become a full-service shopper for Shipt, you don’t have to make it your full-time gig. If, for example, you have more time to spare or Shipt doesn’t provide you with enough income, you can always try other gigs.
You can even go as far as joining the direct competition and becoming an Instacart shopper. Since delivery drivers work as independent contractors, they are free to decide who they want to work for and how many gigs they want to do simultaneously.
Is Shipt Worth It?
So, is it worth driving for Shipt in 2022? The answer is yes if you’re looking for some extra cash. However, if you’re planning on making it your full-time job, the answer isn’t that straightforward.
If you’re living in a smaller city, the demand for Shipt shoppers is likely much lower than in larger areas. In such zones, you might not be able to complete enough orders to make it a full-time gig, especially considering Shipt shoppers get paid by order.
However, Shipt is definitely worth giving it a go. With the right approach and combining it with another gig, it can prove itself very profitable.