Instacart is going to have a tremendous database of Whole Foods, Fairway's etc delivery customers containing millions of users and billions in revenue. I bet Amazon Fresh would like to buy, and Instacart would be eager to sell it to them once Instacart comes to the realization that no matter how they try to change their model they can't find profit. First, they will burn through their funding at an alarming rate trying to scale and then they will try to squeeze more % from their grocer partners. But they won't be able to squeeze enough from them or they risk gaining access to the inventory they need to sell. They will try to go back to the 30-40% mark up but articles like this one will show them to be not competitive. Its a much smaller market, those who will pay an extra $40 to get a delivery in two hours. Then they are outsourcing their delivery to Postmates and Task Rabbit? So, let me get this straight: they don't have physical stores or can any inventory. They outsource their deliveries to third parties. They have an app. But no way to profitability. Their only out is to sell their DB to Amazon Fresh when the sh..t starts hitting the fan and no more investor money is forthcoming. That is going to leave a lot of bandwagon retailers without a delivery service. Who gets to fill that vacuum? Amazon Fresh of course.