It’s hard work to make ordering groceries online so easy
nytimes.com
nytimes.com
At Amazon scale, though, that approach works.
To me these all sound like predecessors to Facebook, Amazon, and Uber
Also : internet wasn't this good. Wasn't this widespread. Did not have the minimum usage levels for such endeavours to pickup.
No. The market size expanded exponentially for each of these opportunities - changing the economics of the business models and making them viable at scale.
The internet was nothing in the 90s. A place for mostly nerds in first world countries.
Today we've connect 4 billion+ humans around the world.
It is an absolutely massive accomplishment that has many many far reaching positive effects that far outweigh the negatives.
Don't let cynicism be your only guide.
Maybe. Labor in China and the Chinese market absorbing inflation also helped.
My expectation is grocery delivery just barely missed the boat, because of import malfeasance crackdowns since April that is affecting everything.
Mobile phones and data didn’t hurt.
I still want an internet butler.
Amazon ended up owning and operating Webvan.com.[1] The people who developed Webvan went on to develop Amazon Fresh.[2] The founder of Kiva Robotics, which was acquired by Amazon, was from Webvan. Amazon's grocery business is directly descended from Webvan.
[1] https://web.archive.org/web/20160303194049/http://www.webvan...
[2] https://www.reuters.com/article/net-us-amazon-webvan-idUSBRE...
Webvan and Kozmo.com were also brilliant.
Every large NY grocery store consistently seems to have either poor-quality or extremely expensive produce, which was drastically exacerbated last April: if you don’t go soon after they stock, people pick over, scratch and generally take all the edible-looking choices. Whole Foods was terrible for delivery: the pickers seemed to just choose what was available, which inevitably tends to be what in store shoppers left over. I’d much rather on average get an average apple or onion, without having to spend time figuring out whether it’s “good”: average is almost always good enough.
My total time spent grocery shopping went down, while the quality of the food went up. Their website does a really good job of focusing me on what’s fresh, in season, and otherwise likely to be good this week, and it seems like there’s a lot less waste in this model. I can also order more than I can walk home myself, which is pretty valuable when you don’t own a car.
Although, I do have to say grocery stores in London and Toronto were much nicer than NYC in my experience, so it may be a cultural/customer demand thing too.
Their site and app are glacially slow, though. Not sure what's going on there. And for a while they've had some text-entry glitch that reverses text every now and then. But that's just griping.
Also, with kids it's nice having the weekly 3-4 gallons of milk just show up rather than schlepping them home from the bowels of Whole Foods.
Compare this to where I live in a London, which is a similar PT distance to central London as Greenpoint. We do all our shopping at a brilliant greengrocer just the round the corner, there's specialty delis and such in walking distance. There's also a number of Sainsbury's and Tesco locals. Then, about 25 min walk away, there's two major supermarkets (a Waitrose and a Morrisons). I guess people in NY don't cook?
So misery either way.
What you experienced are the fruits of gentrification in NYC. Greenpoint is an overpriced neighborhood which used to be a Polish enclave (still is to a degree but on life support from what I see). People down there shopped at local ethnic markets, many of which are gone due to gentrification which drove real estate prices through the roof.
Showed up at the Walmart thinking I could just pick it up right away. Turned into a huge big thing. The staff only goes around 1-2 times a day to fulfill these sorts of orders so I would have ended up waiting.
I ended up buying the last one on the shelf, which was mine anyway, and cancelling the online order. I wonder what would have happened if someone else bought it first.
I see this more as iterating on an idea to provide this service, and what I experienced, is the MVP.
Source: worked in a few Walmart back rooms picking and binning among other things. The was about 8 years ago so things are likely a little bit different. Hopefully better since shelf max counts were always way off or we'd get flooded with freight and lose stuff in the bins.
I actually order online for pickup to ensure no one else buys it if there is only a few of the item in stock.
For grocery fulfillment, I don't think they are better at scale. Because they are for from the customers, they are not everywhere. Existing stores, so, are there. They use established replenishment from existing warehouses. Which means you have to use existing staff and store processes (and software) to fulfill orders. Which is hard. So it's either expensive or hard to do (which could expensive in itself). Over simplified.
The semi-automated ones have different issues. Only Amazon really has the tech fully figured out to a degree where issues are resolved almost instantly. Amazon can also use less but larger scale fulfillment centers because they deliver mostly small objects at an arbitrary time, whereas you can't leave 6 bags of groceries at a front door.
Warehouse trumps Supermarket for efficiency by multiple factors easy.
Just as an example imagine the 50 most ordered items. I can put these in a tiny area closest to my packers in a warehouse. How far to you think you'd need to push a cart between those 50 points in an average Walmart?
In short, a distribution centre gives you:
* improved pick efficiency (depending on the level of automation), offset somewhat by maintenance costs and the cost of capital.
* increased delivery/transport costs (stores are generally closer to the customer than the cross dock point / outbase, vehicles are already going to the store for the main delivery)
\ flowing more product through existing retail points reduces waste (expiring products).
* increased property cost (you have to pay for a distribution centre at c£9 per square foot incl rates etc, while in retail the space is more expensive but you are already* renting it).
The one thing a fulfilment centre does give you is better service though. You can hold more range, better track dates/batches so you can give your customers the expiry dates on the website and increase availability.
So the honest answer is that delivery from a central point isn’t a slam dunk, and can definitely work but probably won’t be cheaper.
All this basically sums up to “it depends”!
And does this mean someone will probably build a parcel locker network for groceries?
One of our team members was an alpha tester, and one delivery he got was a pallet of salad cream instead of just one bottle.
I always want a lump / knob / finger / whatever of ginger, and without fail forget that the unit of measure is a kilogram, which would take me months to get through.
However, any retailer with existing stores wants to operate click-and-collect from those, as if you realise you forgot something on your order you'll go into the store.
In the case of a pair of socks which are standardized, they may not care as much to physically pick up stuff.
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I have always thought that the disruption to costco would be an online warehouse, that could gather the customer's preferences ( patterns of buying - and consolidate them and send them to localized centers ). Customers can then pick them up or have them delivered. Discovery will purely be through the web.
People on strict budgets typically also need to stretch that budget as far as they can; they likely can't absorb the markups on each item that pays for the in-store shopper to collect them.
If a shopper wants milk, bread and scented candles, and you don't sell scented candles when your competitor does, they'll go to your competitor for candles and pick up their milk and bread at the same time.
So if you want to get a customer's main weekly shop, you can't cut your range too far.
Of course, there's a space in the market for gas station convenience stores with a smaller range, higher prices, great convenience and no aspiration to get the customer's main weekly shop.
TJs apparently does not want to do it. It makes no sense to package items to be placed on shelves and then have people go pick the items off consumer shelves and deliver. There is so much vertical optimization that could be done.
Instacart has a bunch of fees, I'm pretty sure Publix has a fee on top (although I'm not certain), you have to tip the driver, and you'll get it hours after you order vs just running to the store and getting whatever it is you need and driving home. And the prices are inflated slightly. Even if I was super busy (or getting paid more money than I knew what to do with), that's a lot of money vs just stopping in on the way home from work or running once on the weekend.
1. Order online, with lots of features that make re-ordering a breeze
2. Use coupons, b/c it's point-and-click, not clip-and-collect
3. Plan around grocery pickup, as opposed to rushing to the grocery store whenever you have time
4. Sit in the car for 10m and read your kids a book or listen to Mr Rogers songs until a nice person fills your trunk with your groceries
https://www.reddit.com/r/instacart/comments/i1uw2o/massive_m...
> The AVERAGE markup of items in my order is 35%
> The highest markup of an item was 733%. To put this in perspective, if that item had been $10, I would have been charged $83.30 for it.
> Another item was marked up 220%. This item cost $4.68, I was charged $14.99 for it, and if I look in the Wegmans website that item is listed for $8.04. How can they arbitrarily charge more than the actual listing on the website? How can they charge almost 3 times more than the actual cost?
https://www.wegmans.com/service/faq/online-grocery-ordering/
> When you shop online with us, you’ll find our prices are about 15% above in store, which includes the cost of shopping your order.
I live on the East coast in an apartment building, and from talking to neighbors and seeing the trash room, I'd say it's not just an HN thing (Whole Foods/Amazon Prime, Drizly, UberEats, Postmates, FreshDirect, Peapod, etc.).
that's a lot of money vs just stopping in on the way home from work or running once on the weekend.
If you don't have a car/license (or access to a car like Zipcar), it can be hard to get to a grocery store in person.
> Whole Foods/Amazon Prime
Does Prime make the fees for grocery delivery get much smaller/go away? There's a Whole Foods in my area but it's 20 minutes from my house so I didn't even think to look there.
If you have a Prime membership the Whole Foods delivery is free, though it's nice to tip the delivery person.
Originally we started using it because grocery shopping on the weekend with our son was a terrible experience for us. Trading the extra time and hassle for paying $5 to just pull into a parking spot after work and have it delivered to my trunk was well worth it for us. Prices match exactly what is in store (they ring it through the same system,) and tipping isn't allowed.
If it were just my wife and I, or if I was single, I don't think I'd use the service, but for my current situation it's great. They also offer delivery for an additional cost, I don't know how much it is, but I do know some people who have mobility issues who enthusiastically use it.
A number of years back when I was on crutches for multiple months, I got grocery delivery which was a mixed bag. I'd probably have used pickup if it were available. I could actually get around a grocery store fine on crutches. I just couldn't easily buy more than would fit in a shoulder bag.
My question is, are people really order this stuff for pickup or even delivery and expecting someone to immediately run out of a back room and start filling the cart? I don't see the benefit to the store in offering "speedy" grocery delivery. Running out of food at home is rarely a surprise, and we're at a time now where it's no longer unsafe to go into the store even in urban areas. I'm not going to order from a different grocery store because they can have my order ready for pickup an hour sooner than a better and/or closer one.
It's pretty cheap actually if you live in an urban area where there are a lot of customers.
Edit: Kroger owns a lot of chains; some of the chains might mark up prices on delivery items a bit, but the stores I have used do not.
On the coasts, housing dominates by so much that +/- 30% on groceries is just not a big deal.
Got COVID recently so I was forced to use it and had the best experience so far. 5 minutes to place an order. I gladly tip $10 to someone who needs it (keep in mind the minimum wage in Mexico is like 4 dollars per day). And I save 1 or 2 hours of my time that I could read, work, exercise, practice an instrument etc.
That's a pretty judgmental view for the service. Try these for B:
- a mother with limited transport options
- a disabled person
- a covid isolating person, or generally a person not feeling well and not wanting to infect others
- someone with surprise visitors coming next day, trying to fit in shopping, organising the house, other tasks
- or simply people like me who make a choice between spending an hour a week doing grocery shopping, or spending that time with family. (Although I get an option for pickup rather than delivery so I'm going with that)
Grocery delivery is done with trucks fully loaded with orders and an optimized route for fuel efficiency.
It is actually much more energy efficient to package 40 ppl grocery orders in _one_ 4.3 tonne 10' truck, and make an efficient delivery route, than to have 40 people drive to their grocery store in an empty 3 tonne vehicle.
I am not sure what the situation in the US is but realistically in Europe if you have a big enough family online grocery shopping is a no-brainer.
I only shop physically for very specific perishables like bread, fruit, cheeses. Have been doing it every since our family grew and our time, mental bandwith, and lower backs decayed.
During the pandemic, we have done a lot of pick-up orders. Let's just say that the selections are not always what I would have made.
I don't blame the store workers or anything. Usually even things are mostly fine (e.g., not bruised, over/under ripe, etc). But sometimes ...
Put it in another way, if I wanted to buy apples of X variety and I got to the supermarket and those apples looked crap I just wouldn't buy them, I would buy some other fruit or come back another day.
However online, if I ordered x and they have in stock then they have to fulfil that order, even if the apples look like crap.
I am not really sure you could improve this unless you had some form of back and forth comms between you and the warehouse.
Cheap brands might have lower standards than premium brands. The company makes sure the stores uphold the quality standards, and stop selling through stores that hurt their brand.
Hmm, apart from the "but sometimes...", your comment did make me realise that this might be a reason why it's more viable: produce that is fine but would get left behind in the supermarket (e.g. curved cucumbers, the last crop of lettuce, ...) would no longer have to be thrown away but actually gets bought.
If you're in the US, and within 15 minutes of a Costco or other similar wholesale store, I cannot imagine paying someone to do that legwork would be cheap enough to be worth it for anyone who is mobile and has a car. My kids also love going to the grocery store and interacting with people. But mostly, labor is very expensive, and if I am doing grocery shopping for fruits and vegetables and dairy (which I want to pick myself), then the rest of grocery is 100 feet away so I might as well do that too and not pay someone else to do it.
Recently in larger cities in EU there's been a sudden rise of "10 minutes delivery"-style apps like Gorillas, Flink or Getis. These companies are more like food delivery.
We're a family of four, and we do get home-delivered groceries weekly now after a year of Covid and really trying to minimize time spent in stores. Doing the order is easily an hour's worth of clicking, checking fridge/freezer/pantry/elsewhere for what we need, trying to remember if we missed something or if there is some non-food item that we can get delivered at the same time (think diapers, paper towels, toothpaste, whatever) and so on.
Fast food delivery we never do, it's way too expensive for the value-add, and just way more rare as a thing (buying fast food, that is). When we buy pre-made food (WFH lunches when kids are at preschool), we always to go and get it ourselves.
I don't see why it has to be viewed in terms of such extremes. It's just a simple calculation of B's time versus their money. B is probably an actual human being too, so would need to drive to the store and back themselves. Maybe they prefer not to. The entire economy works this way.
It can mean I am lazy, or I can use that time to do some other work I enjoy. Doesn't matter, because I don't really care if someone random judges me as lazy.
I also order in all my food and hire a cleaner for my home once a month. I don't own a car, I either rent a car using apps or order a taxi.
All of this has won me so much money and time. Some of the most valuable things for me besides other elements like health.
So for me it is astounding how someone can't see value in those things. I am so thankful for these things and services existing, every day. They have given me so much time to do whatever I want.
Here, warehouse stores do them - meaning someone doesn't run around the store looking for products. The same person might get 15 boxes of cereal for 15 different orders and put one in each bag - rather than one person pick the entire order. The stores are profitable and tonnes of people do this. Anecdotally 100% of the people I know rely on this, with maybe 10% of those people being in tech.
We also have an entire industry of two grocery chains where people do their own shopping, take full carts (unpaid) to the back and then have the items delivered later, which allows people to take public transit, amongst other things.
I have been using this heavily because we moved during the pandemic, and IKEA only offered such a pick up service (called "Click&Collect" in Germany). A supermarket here also offers such a service. It is extremely convenient and time-saving. Previously, a trip to IKEA usually took an entire afternoon, which is tiring especially if you have children. With "Click&Collect", you spend 30-60 minutes on your couch, reading product reviews, and you can directly measure whether some piece of furniture fits into your apartment. Pickup then usually took 5-10 minutes, everything is already on carts, you just have to load it into your car.
Especially for groceries where you presumably don’t have your own refrigerated van.
Groceries are just another commodity sold online. And the "value added" is not exactly tiny.
Your assumption that home delivery does not add much value compared to driving to a mall and carrying your purchased stuff back home rests on a lot of assumptions:
a) you can drive and have a working car at your disposal,
b) you have no other duties, such as caring for young kids or a bedridden person, or you can afford paid help,
c) you are fit enough to carry the stuff you bought,
d) you are not contagious, or you trust your immune system enough to interact with contagious strangers; this is not just a covid thing, even a "good" flu season has some mortality,
e) there even is a suitable mall in your proximity.
And another perspective: maybe driving to a mall and back is virtuous in your book, but it almost certainly isn't as eco-friendly as home delivery. A small truck carrying groceries for 20 families does not burn anywhere as much gas as 20 families driving their sedans to the mall and back home. Its route will be more efficient and only one living person, the driver, is being carried around by the car, not 20+.
Also, there are so many grocery stores (where I live at least, and in all suburban US areas I've been in), that you must be driving by one at some point in the week. The transportation costs are nil, so the only difference is the time you spend in the grocery store. Which is also very low if you're familiar with the store.
Therefore, the only missing variable is how much you trust the worker that is walking around picking things up, and for me, that is very little, especially if there is a price premium with picking up a grocery order.
This, in Austin, TX, or all places. The HEB “Tech Hub” is here, so we should be the first place to roll out a service like that.
It's limited zip codes, at present.
H-E-B's headquarters is actually in San Antonio, where I live, so they may have more options available here. They don't advertise it a ton, but they actually hire a bunch of developers here in SA as well. I don't have the numbers, but it wouldn't surprise me if it was a 50/50 split between the two cities. My husband works as a developer there at their HQ in San Antonio.
But on the whole of just works. Even at the start of the pandemic when demand was high, regular customers like me were prioritised. The impression I get is this isn’t the case in the US?
I wonder if the US is better or worse for using middleman start-up services where as picking nad delivery here is traditionally done in house.
Also, call me a frugal jerk, but I spent about 2 years adding dots to my Gmail address to get £15 off as a new customer offer every time. It got a bit awkward when the same delivery driver had to give me the 'new customer' spiel and said he was sure he'd been here before.
As a non-American who is disproportionately aware of US culture and issues even though I've only been there a couple of times, I think it's part of a general pattern.
My pet theory is that the combination of the USA's size, relative geographical isolation, historically strong economy, and youngish history have led to a critical mass of its population being completely unaware that there are certain things that can be done differently and arguably better, as they are done elsewhere.
Most of the developed World is composed of either small neighbouring countries between which ideas are more easily shared, countries with long histories and limited resources that have had the need to improve their efficiencies and learned from their pasts, or countries who had to make concerted efforts to either become develop or recover after catastrophic war. Meanwhile, the population of the USA (and to a lesser extent Canada, and maybe Australia and NZ) has had little exposure to alternative ways of doing things, and no motivation to do so—everything is fine.
Off the top of my head, I can think of the following things that are done better outside the US but most Americans are unaware that alternatives are even possible: e-payment methods and cheap bank transfers, home insulation, vote counting, prices including sales tax, intersections (roundabouts vs 4-way STOPs), electrical plugs, kick-resistant front doors, punch-resistant interior walls, toilets that don't need a plunger handy, SSNs not being a de-facto immutable password, etc.
I've sometimes been tempted to compile a detailed list of articles on each of these things on a blog, but not being American I feel it would be very unfair and would seem gratuitously condescending on my part. I hope this doesn't come across as dismissive or an attempt at a flame-war, it's just my observation. I have nothing against the USA, and I am absolutely not implying that no good ideas come from the USA! Many great ideas were born in the USA, and are then adopted or adapted by other countries. The difference is that the flow doesn't seem to go the other way.
Public transport isn’t amazing between Boston/Montreal to Philadelphia/NYC to DC. However i still get a bit shocked when I go to places outside cities in parts of America where even buses are scant. Forget any other type of public transportation. Even Amtrak barely has any routes.
Nyc is the only city in the world with proper 24/7 subways. I have had the opposite experience of being surprised how bad the times are for subways in major cities across the world. 24/7 isn’t needed, but it’s surprising how cities stop public transport [relatively] early. My experience may be out dated now. East Asia was the worst when it came to this so maybe Europe isn’t so bad in this reheard.
From a former line of work, many US friends used to punch their walls from time to time. None of my EU friends ever even tried or came close to.
Another example. I don’t believe I’ve seen a gun in my life (at most one time) except in the holster of cops. I will sometimes come across conversations where people call out others as frauds etc if they don’t know or understands guns. As if that’s something all Americans are familiar with.
Back at the start, I used to get all sorts of bizarre substitutions, but now I can't even remember the last time I got anything random.
My only real beef is that the grocery pickers don't always pick the best perishable items - for example, sometimes I'll get herbs that are already starting to rot, or ginger with mould on it. It's rare enough that it's not a big issue, especially given the benefit of not having to spend time doing the shopping in person.
Oh, my other beef, with Tesco specifically is how CRAP and primitive their website is. It's so embarrassingly slow - every.single.action takes multiple seconds to complete. Thankfully the Android app is much better, and very recently they have finally started to improve the UX a bit.
I worked in a DC for one of the supermarkets and the pick rate is closer to 200 cartons per hour. Cartons contain multiple units and can be pretty heavy depending on the product. It's not for everyone, even with incentive paid on top of a healthy union wage, most people would quit after a few months. The good pickers made it look easy. Some had been working there 10, 20 years.
Plus, I always check to ensure I pickup the longest expiration date possible... pickers I would imagine would do the opposite (i.e. get rid of the store's oldest stock first).
Maybe if they worked for the store, but why would they do that if they worked for an independent service with ratings and customer support?
Personally, my experience even with first-party shoppers is that they seem to select for good quality. I've never gotten unpleasant produce or near-expired items. I'm sure it happens, but I'm also sure it produces plenty of support calls.
All that to say the allowed timeline might be longer than you expect (or desire)!
Just like with grocery delivery apps, people were dismissive of the reality where such low effort would be involved and yet in some areas there are only food delivery shoppers anywhere to be seen. this will also be a hit
Recipe blogs can allow the users to auto populate their carts on Amazon or other common grocery delivery apps that interface with their local area
The nutrition bloggers can just share their entire shopping list for one-click replication
People that dont find the discovery aspect of shopping entertaining at all can still have all of the upside without resorting to those prepackaged-meal-but-pretend-to-be-a-chef startups
Ask and ye shall receive. Buzzfeed's Tasty and Walmart have an integration that sounds like what you are looking for. Build a grocery list manually as well as from recipes in the Tasty app. Then when you "checkout" in the Tasty app it'll pre populate your grocery list in the Walmart app. You also select which Walmart you are shopping at so it shifts some of the items around to match like substitutes for what the recipe calls for.
https://corporate.walmart.com/newsroom/2019/08/19/walmart-an...
It seems, uh, unlikely that the stores would try to build a system where the worker gets paid for the time that the customers save.
Then you get to play the "how and why was it wrong" game. Was the image online wrong? Did the pick the wrong item? Did the UPC code mis-scan?
In my case, it seems like the manufacturer was sloppy and put two different incompatible versions in the same bag. The one I got wasn't even sold by that company. Possibly in a production line change switchover.
Just yesterday I wanted something from a Danish equivalent (Silvan). The website said the nearest store to me had 8 in stock, so there's little chance they'll be gone by the time I get there.
Many larger (and some smaller) shops have this.
https://www.silvan.dk/kram-spaendeskiver-rustfri-a2-m6-12-10... (click "Click and Collect" and it shows the stock levels. You can deny location access.)
The biggest issue for most people would probably be that the selection isn’t on par with a regular supermarket. It’s still a wide selection, but by the very high American standards of having 600 different kinds of cereal it isn’t up to snuff. Since I mostly buy unprocessed food it’s not an issue for me but it could be for others.
Sometimes I go on the Amazon FC subreddit just to get a window into what working in Amazon is really like. A lot of people seem to actually prefer picking for Fresh as long as they don’t have to pick in the freezer. I don’t see a lot of complaints about throughput. It just feels like a much more sensible model than to pay third parties to run through crowded stores picking things - plus as someone who really hates substitutions, knowing they have Amazon’s warehouse software keeping track of their stock is nice.
It’s a good hustle and I don’t really begrudge them at all, but it’s diametrically opposed to the goals of efficiently fulfilling e-commerce orders.
The method by which grocery stores layout items can have a lot of per location variation or in other works per location knowledge.
Sure most store changes have it figured out for normal items but like the arrival notes, seasonal and temporary items often have incorrect information.
Even worse is when the normal stock location e.g cold beer in the beer isle is limited in capacity so overstock(?) is put in other locations that differ day to day, location to location. Good luck knowing that the overstock location for beer is the soda isle but also sometimes the seasonal area during any holiday or sporting event.
The other side of the decision process, are the companies doing these apps which optimize for every variable, make every picker 100% replaceable. It would be interesting if they could incentivize pickers to learn a handful of stores inside and out.
Other standalone supermarkets recieve orders through whatsapp, and deliver to doorstep. This is convenient when you know what you need. If needed they call you back to clarify .
When I order food online it gets picked like an amazon order in a large warehouse fulfilment center. An online-only groceries store doesn't need parking, signs, price tags, nicely stocked shelves and a lot of other things that drive up cost. They just need a huge selection and they can sit in an industrial area.
Obviously no one will just magically create these warehouses but his is a business that has existed at scale for a decade or more, the pandemic didn't exactly come as a surprise.
I usually have at least 24h advance on the services I use (not even in the same city) and the delivery isn’t free until you reach around $70 so I usually do a week’s shopping which is around $200. The prices are also ~20% over store prices. But this business model is wildly successful it seems. Unsure if it would work in the US where customers are more used to cheap services though.
It’s TOO easy…
Many of these companies are "traditional" brick-and-mortar stores and although they have lots of I.T skills, it seems there is very little digital-product skills. Like Solr/ElasticSearch/App-Dev etc..
their salary is a shame
If you offer to pay 10x the price but the company is still able to find someone at the same pay, the company or management will take the extra.
Another tongue in cheek way of responding to GP would be that we should pay JavaScript developers $12.50 an hour with no benefits.