Instacart operator Maplebear (CART) wants to attract Generation Z with its new Fizz app. This app runs on the same basic principle as Instacart—quick and easy ordering of food and beverages at a low delivery price. However, it’s focused on streamlining party planning instead of taking the hassle out of weekly grocery trips.
With Fizz, users can collaborate and plan orders for parties, such as alcohol and snacks, and then split the cost between them. This payment-splitting feature could be a huge draw, as it allows everyone to easily chip in to cover the expense of a party without having to dig out their wallets or purses. Users won’t even have to pick up the goods themselves, as Fizz will deliver them for a flat $5 fee.
To make things even easier, Fizz has partnered with Partiful, an event planning and management app. This integration helps provide updates to users who don’t have Fizz, all while allowing the party host to maintain control of the event for smoother planning.
What This Means for CART Stock
If Fizz can capture the attention of Gen Z, it opens Instacart up to a huge audience that is just turning 21, or will be in a few years. That’s a massive number of potential users who will want to experiment with alcohol and enjoy their youth, provided they have the funds to do so.
With party snacks and drinks as its main focus, Fizz could could struggle in the current economy. Instacart’s grocery service meets an essential need, but pretzels and booze on the weekend fall into discretionary spending, which typically declines in times of economic uncertainty. Considering the ongoing trade war and recession risks, now might not be the best time to try to cash in on luxury spending.
Is CART Stock a Buy, Sell, or Hold?
Turning to Wall Street, the analysts’ consensus rating for Maplebear is Moderate Buy, based on 15 Buy and nine Hold ratings over the last three months. With that comes an average CART price target of $51.82, representing a potential 13.34% upside for the shares.
