The Best One Yet - “$140M to Airbnb that Mercedes” — Getaround’s mega-round. FuboTV’s IPO. Amazon’s (Anti) Prime Day.

Episode Date: October 19, 2020

Getaround snags $140M in fresh funding to Piggyback Pop off Airbnb… but for your car. Fubo just IPO’d so we’re looking at the littlest streamer out there. And the winner of Amazon’s epic/delayed Prime Day? Anti-Prime Day.$FUBO $AMZNGot a SnackFact? Tweet it @RobinhoodSnacks @TBOYJack @NickOfNewYorkWant a shoutout on the pod? Fill out this form:https://forms.gle/KhUAo31xmkSdeynD9Learn more about your ad choices. Visit podcastchoices.com/adchoices Hosted on Acast. See acast.com/privacy for more information.

This is Nick. This is Jack. And this is Snacks Daily. Welcome back. It's Monday, October 19. Nick, you don't look that good today, but this pod looks really. Jack, so Thursday's the new Friday, Monday's, Monday's just still Monday, right? Yeah, Mondays or Monday? This is the best one yet. And for our first story, Get Around, the Airbnb of Cars, just raised $140 million.

Snackers were straight up sumoing on Get Around stock until it IPOs, but it's pulling, Jack. What do we call it? Alliteration. A piggyback pot. Double P's second story, Jack. What do we got? You got Hulu, TiVo, Roku, Voodoo, Pluto, love it. And Fubo.

It's a beautiful thing. Fubo TV, just IPOed. So Jack and I are looking at the tiniest video streaming stock there is. For our third and final story, the big winner of last week's Amazon Prime Day, which was really two days. Jack, it's anti-Amazon Prime Day. But Snackers, before we hit those three stories, we mentioned this summer in one of our pods, Greenwood, Oklahoma. That's right. District of Tulsa, Oklahoma, also known as the Black Wall Street.

It was a thriving black community bustling with activity, culture, and success in the early 1900s. Until it was destroyed by an angry, racist mob exactly 99 years ago. Last week, Nick and I noticed that Greenwood is getting a digital tribute by a few entrepreneurs in the app store. Enter rapper Killer Mike, who's launching a digital bank and naming this thing, Greenwood. Killer Mike is the man behind legend has it, Ulala, and Out of Sight. And in the meantime, he's already got tens of thousands of people on the wait list for this app. in less than 24 hours. But here's the key. Greenwood is the first digital bank app focused on black and Latino communities. So snackers, you've got to think of your neighborhood bank, kind of like the

DJ of your community. Because banks lend cash that gets money musically flowing through the whole party. It's a beautiful thing. You get the loan. You spend that money at the restaurant. They pay the waiter who buys gum from the local drug store. Ultimately, it ends up back in your paycheck. That's right. You spend money? It comes back to your paycheck after being in like eight other wallets. Local money multiplies like the perfect playlist on repeat. This is a crazy stat we saw in CNN's coverage of this app last week. Turns out a hundred years ago in Greenwood, Oklahoma, a dollar spent there would circulate around the community 36 times. Today, in a white community in America, a dollar will circulate around the community for 20 days. But in a black community,

money only circulates for just six hours before ending up in some corporate profit at a faraway bank account. Local lenders are like the economic base of a local business community. So Jack and I are listening for this Greenwood app launch coming in January. Let's hit our three stories. You're tuned in the snacks daily. We spoke to the lawyers and we got to get something legal out the way. The snacks about the hair ain't food. It's air candy. They don't reflect the views of the robberhood family. It's all informational just so. You know, we're not recommending any securities. It's not a research report or investment advice. Not an offer or sale of us a For our security mind. Snacks is digestible. Business news for you. Robberhood Financial, LLC, member Fenra slash SIPC.

For our first story, we got our unicorn of the day. Get Around. Just raised $140 million for pulling off the piggyback pop. You're booking more Airbnb's. You want to get there, don't you? I don't you? I don't you're asking me this question or Snackers this question? But there should be a you want to get there, right? Like post page on Airbnb booking. I feel like this is the new ad campaign for Get Around. You need to get there, right? Snagas, if you're living in like one of 100 U.S. cities, you're going to look around and you're going to start noticing

a little lowercase Sansera font on some cars that says, Get Around. Just like those Zipcar stickers except Get Around stickers. And Get Around was founded a year after Airbnb, but think of it as like the Airbnb for cars for 6 million users worldwide. Think about it. Your car is parked 95% of the time doing nothing in the driveway. Just sit in there, it's hanging out, it's waiting for some fun, so you could get paid as someone

else scoots around in your Honda Civic. Nick, I heard you tried out the get-around app just a few moments ago. Jack, I jumped in snack style. Notice in my neighborhood when I looked around, I'm looking at a Ford Fiesta, 466 bucks for the day. A BMWX3, 67 bucks for the day if you want to go mid-tier. But Jack, if you want to get people looking, but also are awkwardly self-conscious, you could splurge $124 for the Tesla Model S. We don't recommend it for a Tinder first date. No, but what fascinates Jack and I about get-around is that we think it's actually the purest example of the sharing economy that's out there. More so than Airbnb is. Way more so. Because maybe you like, if you're an Airbnb host, maybe a buyer, you build a new condo exclusively to rent out for income on Airbnb. But second

homes being Airbnb'd out, that's not the sharing economy. That's just called a hotel. Jack, this is what Molly and I did in Santa Barbara. We were living in someone in its like back house. We felt like the staff in Downton Abbey. You thought it was a nice home you were moving into, but it was really a sterile Airbnb hotel. It's different though when it comes to cars because you wouldn't like buy a second Volkswagen just to toss this thing on Get Around and make a few extra bucks. If someone pitches you a scheme to buy a second car and put it on Get Around, we suggest you avoid it. Jack and I are looking out for you on this one. This is, this is a key. That's like an early takeaway. Now we're looking at the greater tech industry and we noticed it boomed

since the start of the pandemic, except for one part of the tech industry, the sharing economy. Sharing. Now in March, Get Around Bookings plunged 75% when you. It's just a lot of COVID hit and they ended up laying off like 25% of their staff. People were freaked out about getting into somebody else's car. So get around was running out of cash. They filed one of those PPP loans from the government. Desperate. And they put out PR press releases saying, we're actually looking for someone to acquire us. Not trying to be too available, but we're very available right now. Three months later, though, demand had shockingly bounced back for getarounds. And by July, they rehired back all those furloughed workers. And the reason why is maybe

you've been stuck in socially distant San Francisco, so you'll want to pop up for a weekend in Napa. Maybe your favorite East Village bar has been closed for three months, so you want to pop up to a hamlet in the Hudson Valley for a hike. And maybe instead of going to Rome, Italy, you're like, I'll spend that money to just go to Rome, New York. Honeymoon in Athens, Greece. How about a honeymoon in Athens, New York? City folks, we like didn't have cars, but you wanted to get out of the city for a bit, so you were going to get around. Thanks to that kind of COVID business, monthly revenue at get around has doubled to the pre-COVID levels it was at. Don't ask about profitability, because that is TBD. And COVID's able to keep that secret because they're a sumo stock. They're a private

company. If you want to invest in Get Around, you are straight up missing out until they IPO. So, Jack, what's the takeaway for our buddies over at Get Around? This is a piggyback pop. Snackers, the emotional roller coaster that Get Around experienced this year, it is identical to what Airbnb experienced. Airbnb also cut 25% of their staff back in April because bookings plummeted by 90% in certain regions of the world. Airbnb also returned to pre-COVID booking levels by the first week of July. Things were so bad, Airbnb canceled their IPO. But now it's back on since things have returned, and they're probably going to go public by December. So Jack and I are looking at this, and we're thinking that Airbnb's rebound is what's driving Get Around's new bookings.

You booked an A-frame in the Mad River Valley. Classic. But Nick, how are you going to get there? You're going to borrow neighbor Brad's Jeep Wrangler for 48 hours, Jack. Get Around is getting a piggyback pop from Airbnb. Can you give us one? One more, how are you going to get there? For our second story, Fubo TV is the tiniest streaming stock there is, and it just IPOed. It's got one big opportunity and one big risk. Snackers, we're talking about one of the little streaming engines that could over here. And of course, they followed the go-to streaming video name formula. Yeah, they did. Hulu, TiVo, Fubo, consonant vowel, consonant vowel. They were found in 2015, just as Fubo TV realized what a rip-off cable TV was

as cord cutting was getting coined. So they found a... way to offer the same thing as cable TV, but through the internet for way cheaper. So we're talking live TV online, but they took an interesting approach. They completely focused on one vertical of channels, sports. Sports. Now, Fubo doesn't have any original content. They're in the business of bundling. Yeah, they're like deal makers. They signed up Disney to join the Fubo TV bundle. We're talking ABC, Disney, all the ESPNs, one through 40. They also got a bunch of engineers because they need a website, a smartphone app, and a smart TV app that can browse and watch live TV. But Jack and I think that their one big advantage in all this was that they were small and nimble, a one and only company doing one specific thing. Sports.

This company could focus, for example, on 100% skinny bundles to match your specific TV channel taste. So let's say Jack's looking for the sports bundle out there. Theoretically, he could get like the $40 sports bundle. Let's say Nick's looking for sconce inspiration. He can get the home and garden bundle for $30. They are inspiring. say your creepy Uncle Frank's looking for the after dark only bundle for like, I don't know. Price hidden for discretion purposes. Exactly. Now, the big disadvantage, Jack, and I'm thinking here, is that they're competing against Google

and YouTube when they're offering all these bundles. Google is saron to Fubo TV's Frodo Baggon. Jack, it is Regina George to Fubo TV's Katie. Fubo TV is a tiny company that also happens to be nowhere close to profits, but, you know, the IPOed last week anyway. Why not, yeah, everyone's doing it. In the first half of 2020, Fubo TV brought in $52 million from their subscribers, but they lost $130 million in the same period.

An easier way to think about this, for every dollar in revenue they're getting, they've got over $3 in cost. And so if they're not profiting, investors at least want to see growth. Well, turns out Fubo TV's revenues doubled in 2019, and their subscriptions are growing faster, too. They have 286,000 paid subscribers, which is like more blue apron number of subscribers than like anywhere close to Netflix. That's fair to call, Jack. And in the meantime, Jack and I jumped in Snacks style, noticed that the stock IPOed last week at $10 a share, and there were 70 million

shares total. So that means the market cap is only $700 million. That means Fubo TV is worth a fraction of a lift, and it's totally acquireable by one of the big tech companies if they want to get in on live TV. So Jack, what's the takeaway for our buddies over at Fubo TV? We think they made a big COVID mistake by going beyond sports into everything. Snackers, Fubo started at 40 bucks a month offering all the live sports channels with a passion for sports. But by this summer, they were totally freaking out because those sports channels had no live sports to show because of the pandemic. So the biz dev team over at Fubo TV decided to add a whole bunch of channels and now has 43 of the top 50 channels. That doesn't come for free though. They had to jack up the price for Fubo TV

to $65 a month. Now they're offering the exact same thing as YouTube TV, the leading TV for cord cutters. There's no differentiation from YouTube TV anymore. No. So they're head-to-head against Alphabet, a $1 trillion company. So Jack and I are thinking

there's a place in the market for a skinny cheaper bundle just for live sports. We hope Fubo TV goes back to that and offers it again when the sports are back. Or else it'll probably just lose to YouTube TV. You don't want to be head-to-head against Alifference. for our third and final story. Ladies and gentlemen, the winner of Amazon Prime Day is anti-Amazon Prime Day.

All the other retailers beat Amazon on Amazon's own Prime Day. We've got the rare, extremely rare, we are never seen this before, rising Bezos lifting other boats situation. Now remember, Amazon moved their two-day artificial supercharged spending fake holiday from July because in July we had all these summer quarantine fears. Yeah, you were ordering a bunch of stuff. Amazon was overloaded, so they had to kind of push some things. So this year was in October, and it was technically the best Amazon Prime Day ever. Oh, by the way, it's two days, not one day. So Jack and I are looking at this.

We're like, okay, sales roast, 36% compared to last year's Prime Day. Congratulations. $6 billion on two days, that's good, but that's not Amazon good. Oh, no, it's not, because in the previous two Prime Days, we saw jumps of 42% and 65% from the prior year's primes. We're seeing serious slowing growth. Oh, by the way, the Prime Day winner product was the Rumba vacuum by IRobot, whose stock is up 3% in the past couple days. That thing swims around your house like a halibet. But the fascinating number that Jack and I wanted to focus on is 76%.

That's the jump in online sales, not on Amazon, on other websites during Prime Day. No, in fact, we looked into this further. Turns out Amazon's share of the whole e-commerce market actually dipped last week, one who was putting on its biggest sales show of the year. That's because while Amazon was slashing the price of a crockpot to like $4. Walmart said, hey, we're going to take $90 off the Galaxy watch. Amazon's giving away Amazon Prime Dot Echo Alexa things like for free, Oprah style. Yeah, but Jack, Best Buy just caught 30% off the Bose headphones that you actually wanted. Lounge chairs on Amazon are so low.

They're just like, you come pick it up. It's free. Take it away. It's yours. Jack, who wants a lounge chair from Amazon when Target's cutting the Jimmy Buffett Margaritville Blunder price in half? Snackers, we're thinking Amazon shoppers at this point. We're pretty much unfazed by like an extra 10% off on print. Yeah, you got two random days of huge new sales. That's still a big deal for Walmart shoppers, not Amazon shoppers.

So Jack, what's the takeaway for our buddies over at Amazon? Amazon is freaking out about regulation. So all those stats that Jack and I just mentioned, we didn't get those from Amazon. We got those from research firms that stock your online buying with bots. It's real and it's scary. The only number that Amazon actually released was about third-party sellers on Amazon Prime Day. Third-party sellers are mom and pop shops that run their own businesses and they decide to sell on Amazon.com instead of on their own website. And the only numbers that Amazon proudly shared last week was that small and medium businesses sold three and a half billion dollars worth of goods on Amazon.com. They're highlighting that nice story because like the rest of big tech, Amazon is worried about DC scrutiny.

So Amazon is pulling any PR it can to convince you that it's actually good for the little guy. Do you hear what they said on Snacks Daily? A rising Bezos helps other boats. That's their PR too. Jack, can you whip up the takeaways for us over there and let us know how you're going to get there? Foodboat TV just went public. It's the smallest streaming stock that we know. Yet don't take on YouTube TV head-to-head. Differentiate. For a second story, Airbnb's biz is up 75% right now. from the same time last year. But how are you going to get there? You're going to get around.

That's how, Jack. It's getting the piggyback pop. For a third and final story, Amazon wants politicians to believe that small and medium businesses were the real winners of Amazon Prime Day. It was actually other retailers who got the nice sales bump courtesy of Bezos.

Now, time for our snack fact of the day. This one tweeted in by Edge over in Oregon, one name, very simple. Last week was the 26th anniversary of the first ever blog post. Turns out it was created by a software engineer named Dave Winner. I think it's Winer, actually. It probably is.

He also is the guy who invented the first ever podcast. Dave, don't do less, Dave. Dave's really into alternative online mediums of communication. Dave, if you can invent us a podcast referral program for the Snackers to share more of their snacks, we would love that. Hit us up at T-Boy Jack, at Nick of New York, at Robin and Snack. In the meantime, Snackers, share your... snacks, grow the snacks, H-Y-H-Y-S-D. Have you had your snacks daily?

We'll see you tomorrow. If you know, you know. And before we go, big congrats to snacker John Wilhelm, new baby, girl for him over in Las Goddess, California. Happy anniversary to Kaylee and Tyler Van Voorhees in Chicago, Illinois. And congrats to Santiago and Elena, married down in Mexico. And same to Travis and Sarah Bush in Indiana.

Meanwhile, Alex and Madison Lott also got married over in Baltimore. As did Grace Williams and Vincent Yerbarra in Oklahoma. And happy birthday to Gotha. Mathem Shandromali, incredible name over in Seattle, and Justin Zuckon in Toronto, Canada, and Eric Kisminsky in Northfield, Ohio, and Margarita Podgorme in Ben Norton, and John Early in Shelbyville, Kentucky, and Jose Jimenez in Orlando, Florida, and Brianna Hunt in Aurora, Colorado, and Marin, San Diego in Claremont, California, and Ricky Alvarez in Concord, California, and David Kiman in Atlanta, Georgia, and Ben Duke in Potomac, Maryland, and Autumn

James in Stillwater, Oklahoma. This is Jack. I own stock of Amazon and Fubo TV. The Robin Hood Snacks podcast you just heard reflects the opinions of only the hosts who are associated persons of Robin Hood Financial LLC and does not reflect the views of Robin Hood Markets Inc or any of its subsidiaries or affiliates. The podcast is for informational purposes only and is not intended to serve as a recommendation to buy or sell any security and is not an offer or sale of a security. The podcast is also not a research report and is not intended to serve as the basis of any investment decision. Robin Hood Financial LLC, member FINRA, SIPC.