How to Research, Analyze, and Compare them.
How is the starting pay?
What’s the efficiency curve?
Is there growth potential?
The objective here is to prove the promising income opportunity will produce the incomebefore we plunge headlong into it !
This post of the Side Hustles series features Delivery Services. We want to say thank you for all the reader inputs. Our next posts will feature Tutoring and Consultancy.
An apples-to-oranges analytics comparison of income and growth for two side hustles or gigs may be accomplished using appropriate multiplier or factors for 2 or 3 or 4 separate metrics. We will feature Food and Grocery Delivery Service first in this Side Hustles series.
Compare before Turning
The trouble is many of us wouldn’t know how to draw an apples-to-apples comparison if our life depended on it, especially when the two things are apples to oranges. So, why try, right? Just dive in and hope the income winds up enough. No. No…. No! We can derive a way. Analytics is about finding a way to make that apples-to-oranges comparison. We do that here.
Sources
Our review of side hustles for best value and growth potential demanded more analysis than we thought. Ultimately, we researched and derived factors, and compared them using those factors. Using ZipRecruiter, Glassdoor, Indeed, and AI fact research, we derived starting incomes, efficiency ramp-up factors, and 1-year growth potentials. Please do your own due diligence. This was ours. The idea here is to lay out a few examples using one strong method.
Our research focused on starting income. Ramp-up or Efficiency factors were derived to reach the average-high income levels. Business growth rates and potentials were accessed using AI fact research, Glassdoor, Indeed, and various direct sources.
Consultancy
We will devote a bit more attention in this Side Hustles series to a discussion on Writing for a Living because the process of growing a writing business mirrors the process of other professional start-ups or service gigs.
A well-designed blog in many respects isconsultancy — a mechanism to impart, instruct, consult, cogently argue, report, invent, or create for a client. Therefore, writing answers a lot of questions in terms of how a person might employ their knowledge or expertise to help a reader or guide a client. — Charlie Whooph
Whooph Metrics
Starting Income (SI) — Starting income is based on the low end of reported hourly.
Efficiency Factor (EF) captures the learning or ramp-up curve. Earnings for a business should naturally increase as a business operator learns company systems, strategies, and bonus structures, and efficiency increases. Likewise, productivity improves as an operator develops marketing skills and business savvy, practices customer service, and improves time management. For example, grocery delivery operator efficiency is said to increase by 30 percent from day one. So, an Efficiency Factor, EF factor is 1.3 is applied to help determine a ramp-up potential.
Growth Potential (GP) is based on the long learning curve for some endeavors such as building a product or service affiliate business, building a tutoring business or developing a Blog site. Growth Potential kicks in for a tutor as student parents see marked improvement, word gets around, and demand for tutor services increases. The Year GP is further set for 1 year.
Starting Income (SI), $/mo
Efficiency Factor (EF)
Year Growth Potential (GP)
Whooph Formula:
SI * EF * GP
Whooph’s Side Hustles:
The objective here is to settle on an income opportunity that produces adequate income and proves to be a worthwhile venture over a one year. An operator may want to compare one gig to another. Again, the trouble is many folks don’t know how to draw an apples-to-apples comparison, especially when the two things are apples to oranges. The following featured side hustle analysis is just one example in our attempt to show how. We will demonstrate one method of analytics which a business operator may apply to other gigs using slightly different factors.
1 — Food & Grocery Delivery
SI: $600/mo, 60 hrs
EF = 30%, EF factor = 1.3
GP = 0%, GP factor = 1.0
$600 * 1.3 * 1.0 = $780/mo
Food and grocery delivery largely depend on the efficiency and productivity of the operator. Efficiency is the driving factor in delivery services’ income production. An operator will spend the first couple of months learning company systems, bonus allocation, and strategies. An operator needs to forge self-discipline and focus on delivering excellent service during the first several months.
Ultimately, it is Efficiency and work ethic that facilitates increased productivity and earnings. Payment varies with location and order complexity.
Yes, there are a few delivery operators raking in $1,400 per week, paying the bills, and still improving the golf handicap. But these are the outliers with the help of peak seasonal factors.
We’re citing current stats, factors, and incomes you are likely to hit.
Unless an operator develops an independent delivery service, there is no substantial Growth Potential beyond working harder and smarter, which we have relegated to the Efficiency Factor. So the Growth Potential is assigned a 1.0 factor giving no increase to income.
Instacart — $10–15/hour. Varies with tips, bonuses, and orders per timeframe. Work fills a great need and involves the delivery of groceries and shopping for others.
Uber Eats — $10–15/hour. Drivers are typically paid based on a combination of a base fare, a per-mile rate, and a per-minute rate. Fluctuates based on tips, surge pricing, and deliveries per specific time frame.
DoorDash — $10–15/hour. Paid by base rate per delivery which varies by complexity. Currently, the fastest platform, expanding in many cities. Check out the DoorDash review here.
Conclusion
An apples-to-oranges analytics comparison of income and growth for two side hustles or gigs may be accomplished using appropriate multiplier or factors for 2 or 3 or 4 separate metrics. We used Efficiency and Growth Potential and explained their scope for this particular gig, Delivery Service. Our next two featured side hustles in this series titled Side Hustles involves student and adult Tutoring and then Consulting in your area of expertise or passion. We should be issuing Side Hustles – Tutoring within the next couple of days.
