Shipt Review (2023): Scam or Legit?

The gig economy has become an integral part of our modern work landscape, offering opportunities for individuals to supplement their income with flexible side hustles. One such option is Shipt, an on-demand grocery delivery service that promises to provide a convenient way for people to make extra money. However, as with any income-generating opportunity, it’s crucial to separate fact from fiction and determine whether Shipt is a legitimate avenue for bolstering your finances or a potential scam. 

In this comprehensive review, we’ll delve into the world of Shipt, examining how it works, how to make money with it, its earning potential, and the pros and cons associated with becoming a Shipt shopper.

What is Shipt?

Shipt is an on-demand grocery delivery service that was founded by Bill Smith in 2014. Headquartered in Birmingham, Alabama, it started as an independent company but was later acquired by retail giant Target in 2017. Today, Shipt operates as a subsidiary of Target and provides a range of services beyond grocery deliveries, including the delivery of select electronics and home products. With a presence in 47 different markets across the United States, Shipt aims to make people’s lives easier and more convenient by bringing essential items right to their doorstep.

Is Shipt a Scam?


Recommendation: Here’s The Best Alternative

How Does Shipt Work?

At its core, Shipt offers a simple and efficient way for customers to order groceries and other household items online and have them delivered to their homes. The process is as follows:

  1. Customer Places an Order: Customers use the Shipt mobile app or website to place their orders, selecting the items they need from their preferred grocery store’s inventory.
  2. Order Sent to Personal Shopper: Once the order is placed, it is sent to a personal shopper, who acts as an intermediary between the customer and the store.
  3. Shopper Picks Up Items: The personal shopper receives the order details and proceeds to the selected grocery store to pick up the requested items.
  4. Groceries Delivered to Customer: After collecting all the items on the shopping list, the shopper delivers the groceries directly to the customer’s doorstep, ensuring a seamless and convenient experience.

It’s important to note that Shipt relies heavily on its mobile app to facilitate this process. The app not only connects customers with shoppers but also allows shoppers to manage product selections, schedule order pickups, specify quantities, compare prices, and choose the stores from which they will collect the groceries.

Recommendation: Here’s The Best Alternative

How to Make Money with Shipt?

Now that we understand the fundamentals of how Shipt operates, let’s dive into the details of how individuals can become Shipt shoppers and start earning money. Becoming a Shipt shopper involves meeting certain requirements and going through an application process. Here’s a step-by-step breakdown:

Step 1: Meet Basic Requirements 

Before you can join Shipt as a shopper, you need to ensure that you meet the following basic requirements:

  • Be at least 18 years old.
  • Possess a valid U.S. driver’s license and have car insurance.
  • Own a reliable vehicle to use for deliveries.
  • Have knowledge of selecting grocery products.
  • Keep insulated cooler bags prepared for transporting perishable items.
  • Be able to lift up to 40 pounds.
  • Own a smartphone, as the Shipt app is integral to the process.

Step 2: Pay the Annual Membership Fee 

To initiate the application process, you must pay an annual membership fee of $99. This fee is a requirement for becoming a Shipt shopper and gaining access to the platform.

Step 3: Complete the Application Process 

Once you’ve paid the membership fee, you can proceed to complete the application process. This process typically involves answering situational questions related to customer service. Your responses will be reviewed by Shipt as they assess your suitability for the role.

Step 4: Background Check 

Shipt conducts a background check, specifically focusing on your car insurance. This is a standard procedure to ensure the safety of both shoppers and customers.

Step 5: Training and Testing 

Upon successful approval, Shipt will provide you with training and may require you to take a test to ensure you understand the platform’s operations. You will also receive a Shipt t-shirt and a debit card, which you will use to make purchases on behalf of customers.

Step 6: Start Shopping and Earning 

Once you’ve completed these steps, you’re ready to start working as a Shipt shopper. Your primary responsibilities will include picking up groceries from local stores, using the Shipt app to pay for the items, and delivering them to customers in a timely and efficient manner.

Learn more: legit ways to make money online.

Recommendation: Here’s The Best Alternative

How Much Can You Earn with Shipt?

Now that you know how to become a Shipt shopper, let’s discuss the crucial aspect of earnings. Shipt offers different compensation plans based on order volume, and it’s important to understand how much you can potentially earn.

Shipt’s Compensation Structure

Shipt shoppers are compensated through a combination of a base pay and a commission. The current commission structure is as follows:

  • Base Pay: $5 per order
  • Commission: 7.5% of the order’s total value

To put this into perspective, if you were to complete an order with a total value of $100, your earnings for that order would break down as follows:

  • Base Pay: $5
  • Commission: $7.50

This means that for this particular order, you would earn a total of $12.50. It’s worth noting that Shipt pays shoppers on a weekly basis, providing a predictable income schedule.

The Role of Tips

While the commission and base pay structure might seem modest, the real game-changer for Shipt shoppers is tips. Many Shipt customers are appreciative of the convenience the service offers, particularly busy parents or individuals with disabilities. These customers are often inclined to tip their shoppers generously.

Shoppers who provide outstanding customer service can significantly boost their earnings through tips. For example, sending a text to customers when you reach the store to ask if they want to add any extra items to their order can increase your commission. Additionally, when substitutions are necessary due to item unavailability, sending pictures of the substituted items to customers can help ensure their satisfaction and potentially lead to more substantial tips.

Based on feedback from Shipt shoppers, tips have the potential to bring your average hourly wage to $15 or even higher. As you gain experience and become more efficient at completing multiple orders simultaneously, you can potentially earn around $25 per hour or more.

Recommendation: Here’s The Best Alternative

Tips for Maximizing Earnings with Shipt 

To truly maximize your income potential as a Shipt shopper, it’s important to adopt strategies that make the most of your time and efforts. Here are some tips and tricks to help you make the most of your Shipt gig:

1. Offer Exceptional Customer Service

Since tips play a significant role in your compensation, prioritize providing outstanding customer service. Send a text message to customers when you arrive at the store, introducing yourself and asking if they’d like to add any additional items to their order. This not only boosts your commission but also helps scatterbrained customers remember items they may have forgotten.

2. Manage Substitutions Effectively

Many orders include substitutions, as some items may be out of stock. Use your best judgment when selecting substitutes, but also consider sending pictures of substituted items to customers for their approval. This can lead to increased satisfaction and higher tips.

3. Prioritize Sundays and Mondays

Sundays and Mondays tend to be high-demand days for Shipt, as many customers are restocking their groceries for the week ahead. Schedule yourself to work during these days to maximize your ability to claim orders. When you have the opportunity, claim multiple orders at once to boost your earnings.

4. Don’t Overlook Small Orders

While small orders may offer lower commissions (typically $6-$7), they can add up quickly when you factor in tips. Additionally, small orders are more manageable when shopping for multiple customers simultaneously, which can increase your overall earnings.

5. Check for Bounties

Even if you’re not officially scheduled for a Shipt shift, it’s a good practice to log into the app from time to time. Occasionally, orders in certain areas go unclaimed, and Shipt offers “bounties” on these orders. The closer you are to the delivery time, the higher the bounty. This can be an excellent way to earn extra cash during your free time.

6. Track Your Mileage

As an independent contractor, you have the opportunity to deduct your mileage from your income when filing taxes. To make this process easier, consider using a mileage tracking app like Everlance to keep a record of your business-related mileage.

7. Invest in a Car Charger

If you’re going to be actively participating in the gig economy, having a reliable car charger for your smartphone is essential. These apps can be battery-intensive, and a dead battery can disrupt your earnings potential.

Now that we’ve covered the ins and outs of becoming a Shipt shopper and maximizing your earnings, let’s address the burning question: Is Shipt a scam or a legitimate way to make money?

Recommendation: Here’s The Best Alternative

Is Shipt a Scam or Legit?

Given the multitude of online opportunities and side gigs, it’s natural to be cautious and wonder whether Shipt is a legitimate platform or a potential scam. To provide a clear answer, let’s examine the facts.

First and foremost, it’s important to emphasize that Shipt is not a scam. It is a well-established and reputable company that offers a legitimate way for people to earn extra income. Moreover, Shipt’s affiliation with Target, a major player in the retail industry, adds a significant level of trust and credibility to the platform. The company has been in operation for years and has a large user base of both shoppers and customers.

While Shipt is unquestionably a legitimate opportunity, whether or not it’s the right side hustle for you depends on your specific goals and preferences. 

Pros of Shipt

  • Flexible Working Hours: Shipt offers flexibility in terms of when you work, allowing you to choose shifts that align with your schedule.
  • Opportunity for Tips: The potential to earn tips on top of your commissions can significantly boost your income, especially if you provide excellent customer service.
  • Higher Earning Potential in Larger Cities: Shipt tends to be more lucrative in larger cities with higher population densities, as there are more potential customers and orders.

Cons of Shipt

  • Steep Learning Curve: Maximizing your earnings with Shipt can be challenging and requires a good understanding of the platform and customer preferences.
  • Membership Fee: To join Shipt as a shopper, you must pay an annual membership fee of $99. While this fee grants you access to the platform, it’s an upfront cost to consider.
  • Relatively Low Commission Rates: The commission structure of $5 plus 7.5% of the order value may appear modest, given the time and effort involved in the role.
  • Not All Customers Tip: While tips can significantly increase your earnings, not all customers choose to tip, which can lead to variability in your income.
  • No Reimbursement for Travel Expenses: Shipt shoppers are responsible for their travel expenses, including fuel and vehicle maintenance, which can eat into their earnings.
  • Earning Potential Is Time-Limited: Perhaps the most critical consideration is that your earning potential with Shipt is directly tied to the amount of time you invest. It’s not a source of passive income, meaning you can only earn money while actively working.

Recommendation: Here’s The Best Alternative

Final Verdict: Shipt Review

In conclusion, Shipt is undeniably a legitimate way for individuals to make extra money, and it provides a valuable service to customers who appreciate the convenience of home deliveries. However, whether or not Shipt is the right side hustle for you depends on your specific circumstances and preferences.

If you’re seeking a flexible way to earn extra income, are comfortable with active income generation, and are willing to invest time and effort into providing exceptional customer service, Shipt can be a viable option. The potential to earn tips can make it a financially rewarding venture, especially in high-demand areas.

On the other hand, if you’re looking for a passive income source or are deterred by the upfront membership fee and the time constraints associated with actively delivering orders, Shipt may not align with your goals.

Ultimately, Shipt is a legitimate and reputable platform that can provide financial opportunities for motivated individuals. It’s essential to weigh the pros and cons, understand the earnings potential, and assess whether it suits your lifestyle and income objectives. Whether you choose to embark on this journey as a Shipt shopper or explore alternative income avenues, the key is to make informed decisions that align with your financial goals and preferences.

Recommendation: Here’s The Best Alternative

Leave a Comment