INFLATION DRIVES THE GIG ECONOMY
An update on all things Autotech
Summer 2022
|
|
As we all know, the pandemic transformed the global economy in countless ways. One change that’s here to stay: the gig economy. Since 2020, customers have become accustomed to on-demand services, including grocery, restaurant, and e-commerce delivery — and they have no plans to go back to the way things were.
Given the growing demand for everything on-demand — plus the realities of consumer behavior, rising inflation and the tightening of household budgets — the number of gig workers hired in transportation-based services is estimated to reach 31 million by 2023. And it’s not just new workers entering the gig economy: a recent report from Branch x Marqeta Gig Payments found that over the past six months, 45 percent of gig workers have increased their hours/shifts or are looking for additional jobs.
Now we see a demand for technology to help the growing legions of gig workers operate efficiently, track time correctly, bill clients accurately, and communicate and collaborate with their employers and customers remotely. This is a massive investment opportunity — and we’re jumping on it.
We recently invested in the Series A round for Gridwise, an app that helps gig drivers maximize their earnings across apps. And in prior years, we invested in other startups associated with the gig economy: we’ve invested in Pickup, a tech-enabled last-mile delivery service for large and bulky items, as well as three bus-services companies that leverage gig economy talent: Swvl (NASDAQ: SWVL), BusUp, and Bus.com.
As the world evolves and embraces new approaches to moving people and goods, we’re always looking at technology to help employees, employers, and end-users.
|
|
|
NEW INVESTMENTS
|
|
 Gridwise, our most recent investment, is the leading business app for gig drivers, empowering more than 150K drivers across the U.S. each month. Seventy-five percent of gig drivers use multiple apps simultaneously for various gig services and need a platform-agnostic source of truth for managing work across them all. The Gridwise app helps maximize driver earnings across more than 60 U.S. rideshare and delivery services such as Uber, Lyft, DoorDash, Instacart, Gopuff and Grubhub.
Gridwise also helps gig drivers track their business performance through unique demand insights, earnings and expense tracking, tax management, performance reporting, and a marketplace of gig-worker benefits. Growing one of the largest gig-driver networks in the mobility industry has enabled Gridwise to amass the most comprehensive gig-mobility dataset in the industry and capitalize on a $50B data-as-a-service opportunity through Gridwise Analytics.
Gridwise is on its way to becoming the de facto operating platform for gig drivers and offers solutions that empower the entire ecosystem to improve the way people and goods move.
|
|
|
Digital Motors, an automotive retail and financial technology platform, was acquired by TrueCar, Inc. (NASDAQ: TRUE) on June 6, 2022.
|
|
|
SHIFTING INTO HIGH GEAR – PORTFOLIO MOVES
|
|
In late May, we hosted our annual Autotech Fund Forum, connecting senior executives from our portfolio companies and investment executives from our LPs. This was a chance for our guests to network over great Napa wine, discuss the latest trends and developments in the mobility sector, and connect during 1:1 time to discuss potential partnerships.
Industry visionaries also shared their personal perspectives and experiences in the development of electric vehicles, mobility policies, and the shared-mobility marketplace. Attendees heard from Anthony Foxx, former U.S. Secretary of Transportation; Andy Palmer, executive vice chairman & CEO of Switch Mobility; Cheng Lu, former CEO of TuSimple (NASDAQ: TSP); and Logan Green, co-founder and CEO of Lyft (NASDAQ: LYFT).
We wrapped up three jam-packed days with a fast and furious afternoon at the Sonoma Raceway.
|
|
- Alexei Andreev, Autotech Ventures managing director, will speak at Move London on June 15-16 in London.
- Kellie Lindsay, Autotech Ventures director of strategic partnerships, will speak at the OESA Accelerate Innovation event on July 13 in Troy, Michigan.
- Quin Garcia, Autotech Ventures managing director, will speak at Move America on Sept. 27-28 in Austin, Texas.
|
|
|
|
|
