Diapers With Crypto, 500k Cars From A Single Factory, Trucker Salary Bump

April 8, 2022
We’re troublemaking our way into Friday with stories orbiting the Retail Automotive ecosystem. Starting with an easier way to use crypto for regular purchases, moving on to the opening of the GigaFactory in Austin, TX, and rounding the corner to talk about Wal Mart’s new wage for high-demand truck drivers. Guess what, if you are in Retail Automotive (or retail in general) these stories apply to YOU.
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Paying for diapers in crypto is one step closer thanks to a new partnership between mobile payment app, Strike, and Shopify

  • “"It's a new, innovative, superior payments rail that is finally embedded and distributed into our lives," Strike CEO Jack Mallers explained to a packed crowd at a Miami Bitcoin conference yesterday”
  • Showed a video of him paying w crypto at a Chicago grocery store
  • “Mallers showed a list of major U.S. companies that he says would be able to accept payments this way, including McDonald's, CVS, Walgreens, Whole Foods and Wal-Mart, in addition to several other grocery stores and restaurants.”
  • According to Mallers' presentation, Blackhawk Network is integrated with 400,000 storefronts and has 37,000 partners

Giga Texas rode wild with event in Austin Tesla factory

  • 1000 attendees and factory tours
  • Announced a 2023 cybertruck launch and up to 500,000 vehicles produced next year. Mostly Modely Ys
  • “Half a millions units a year in a single factory of one product is the biggest dang thing in the world. This will be the highest volume car factory in America.” -Musk
  •  In total the facility is 338 million cubic feet, or 15 city blocks, Musk said. “It’s equivalent to three Pentagons.”
  •  All manufacturing on one site, including battery packs
  • Also announced a new robotaxi and large van to come

Walmart starting pay for truck drivers raised to between $95-110k

  • Driver shortage and increased demand to move freight cited for the increase
  • Average long haul driver in the US is only $56k
  • “Walmart said it's coming off a record year for hiring truck drivers with over 4,500 hired and that it plans "keep hiring aggressively to meet customer demand."
  • What will autonomous driving do to this number? A university of michigan study says it could eliminate 500k jobs

Paul Daly  0:25  

Friday, if you only knew what it takes to do a show every single morning, you wouldn't do your own guarantee it. Kyle's night sleep last night. Let me give you a little insight on a Friday morning.

Kyle Mountsier  0:44  

This is how we go.

Paul Daly  0:45  

already knows where I'm going with this. We have not said two words to each other this morning. Because Kyle had a bit of a night last night. And when we're like, Hey, we're doing the show. And we kind of drop into our morning call at different times we build out the show on a community Google Doc. So it's kind of working in the process, then Isaac comes in in the morning starts putting together the stream yard from the dock that we built that morning early, right about the articles and the things we want to talk about. And then we kind of just roll around this 8:40 Eastern time, we're kind of know we're kind of cycling in, we'll drop into the Google meet at like  8:38 point depending. And today it was like 8:43. And I was like, I hope Kyle's alive. And then he drops it and I was like, hey, having that day is like, had that night.

Kyle Mountsier  1:30  

So So immediately, I'm pulling the Google doc starting to scan. I'm like hit the live stream, we I've got 20 seconds to prepare y'all 20 seconds to prepare. Let's go.

Paul Daly  1:41  

Okay, we will put some ground balls in today. First of all, we want to say thank you for an awesome week of troublemaking, it has been a lot of fun on social media, if you don't follow our social profiles, a lot of fun happens there, you know, the regular email, you can sign up at a soda.com That's our regular drip that comes but we also are getting very involved on social media primarily, you know, like LinkedIn, Instagram, also a rock and Facebook and tick tock now, trying to get some Instagram reels out there. And we also have a YouTube channel. If you haven't subscribed to the YouTube channel, we bought a really fancy domain for it. It's, uh, so tube, a s o, u dot, B, E,

Kyle Mountsier  2:18  

boom. we fancy, we fancy we Okay,

Paul Daly  2:21  

so hit there. Because once we get to 500 subscribers there, we can have some more community features, which then we can interact with you a little bit more. But today, it's Friday. We've had a long week of troublemaking, Kyle, it's not over yet.

Kyle Mountsier  2:33  

We've had a lot either what I feel like, and this is good, this is good energy. I feel like I get to the end of every single day. And I'm just like, what happened? How did that happen? And what what do I do tomorrow to recap yesterday and keep moving forward? And that like last night, Amanda, I was sitting at the dinner table just looking at her on yourself, literally drooling on myself. And she's like, what happened? I was like, I don't know. But I know. I know. It was good. There were things that happened today that are going to change director of automotive. I don't know what they were, but they were good.

Paul Daly  3:10  

But I'm sure we can map back to it. You know, I probably a lot of people can relate to this, where you get to the end of the day, and you're sitting with you know, a significant other or somebody meaningful to you. And they're like what happened? Right? Like that conversation would you do today? And you're like, everything? And I can't remember a single thing? I know I did. I don't know if I don't know if that's a good or bad sign. But the one positive thing I'm going to pull out of it is that I can guarantee you we left it all on the field.

Kyle Mountsier  3:38  

Absolutely, Paul, yes. I didn't even we're gonna chat real quick. Okay, everyone who's with us just hang tight. Yesterday, I met a guy who is building web 3.0 experiences that you can literally walk around nine models, he has every single year make model trim built out for nine vehicle OEMs for every single one of their cars, and it is it is probably the most immersive VR experience that I have that I've seen to date period was going to be nuts. Yeah. Is

Paul Daly  4:14  

it a company? Or is this just some dude that's like, Hey, I

Kyle Mountsier  4:16  

could do this. It's a dude in a company, but I'm going to keep them on the Down low because he's not going to be ready. We've he and I have known each

Paul Daly  4:22  

other for about we'll talk offline. This is how it usually happens in the troublemaking community, right. Like when the announcement actually comes to everybody. It's like, we're typically not that surprised. But hey, I think that's a great way to get into our first article. I'm not gonna segue it. But um, today we're talking about three things that really are surrounding the retail environment. And, you know, we're gonna get through because we have a lot to do today. You have a lot to do today. But these are three things we think you should be paying attention. Number one, we talked earlier this week about the Bitcoin 2022. That's happening in Miami. And yesterday, a new announcement announcement of a new partnership between the mobile payment app strike strike. I've heard of strike and Shopify, I've heard of shopify right. So basically this will allow you to buy us crypto to buy a whole lot of things like Miami was saying they want to make crypto available tender just about everywhere. And so CEO Jack Mahler says its new innovative superior payments rail that is finally embedded and distributed into our lives. I said to a packed crowd at Miami Bitcoin conference yesterday, he showed a video of him paying for crypto at a Chicago grocery store and listed a whole bunch of retailers for you're going to be able to do this soon. So McDonald's, CVS, Walgreens, Whole Foods, Walmart, right, so like,

Kyle Mountsier  5:32  

all it takes is a gateway. And once you hire a gateway, it's just like any payment processor. It's literally square. But

Paul Daly  5:39  

for crypto, it's you can use crypto to done. And so it's like buying diapers with crypto is one step closer to being a reality

Kyle Mountsier  5:47  

buying crypto like okay, so that that is I'm gonna do it. Because you got to do it today, or you have to look, I've only got a couple of years to figure that out. And then we're no more diapers. So we're gonna figure this out in that timeline. You think?

Paul Daly  6:00  

Yeah, I thought that I thought that should watch your watch your mouth to let my wife hear you say that. I'm so so thinking of that, right? So retail payments are changing, right? We've been talking about, you know, our friends that sign on digital, what they're doing to bring crypto payments into the automotive space and partnerships with other automotive vendors. So this is just an indicator, a leading indicator, right? That it's that much closer to being inside your dealership. So if you haven't been paying attention, pay attention, because it's coming. And the more you know about it is, the more you can respond to it. Next article comes out of Austin, Texas, something else that we were talking about a while ago and is now the opening party at the giga factory in Texas. It was called a rodeo. I don't know, it was like a rodeo event where they kind of open it Elon Musk opened up the factory to about 1000 people that could walk to your little rock concert like and gave a I thought some some impressive details about what the plans are for that factory. And I think some hints at where manufacturing is going, you know, in the industry, okay, so they say next year, they're gonna produce 500,000 vehicles from this factory, single factory, half a million and they said they're gonna ramp up to a million. Now to one factor.

Kyle Mountsier  7:11  

That's nuts. I mean, it's a massive factory. Right.

Paul Daly  7:15  

But they said it's the size of what Musk says it's equivalent to three Pentagon's.

Kyle Mountsier  7:22  

He's like, I see you Pentagon done, right, triple

Paul Daly  7:28  

338 million cubic feet. Here's the thing that that interested me most. I mean, they're gonna like, you know, there's some like fanfare stuff, they're gonna be developing the humanoid robot there and stuff like that. But here's the thing, all the manufacturing for the entire vehicle is under one roof. All of it, including including the battery packs. So, I mean, when you think of that happening,

Kyle Mountsier  7:53  

that's how you get speed. That's the only way right you're not you're not you know, if that's where you couldn't do the exercise. It's like half the vehicles assembled here, half of its assembled there, right? And then you've got to get supply chains into multiple different places. Yeah. And so now it's like all assembled here, including many of the parts are assembled here as well. And that's a management and

Paul Daly  8:16  

you couldn't do that with an internal combustion engine. Because it's so complex. Imagine all the parts you'd have to manufacture in house to make an internal combustion engine. Right? There's 1000s of parts that go in that thing. No, battery pack, motor, boom, done. So you know, that's, you think about what's happening in manufacturing. So retail, right, we have the manufacturing lane, we have the payments, and it's kind of the beginning and the end, right there. Yep. Let's talk about speaking of the manufacturing chain, what's in the middle stuff?

Kyle Mountsier  8:44  

Oh,

Paul Daly  8:46  

oh, I just got a messed up my segway.

Kyle Mountsier  8:48  

Oh, my goodness. I still have flying today. Ya'll hang with us. We're gonna be here stop segue time we're talking. Wait. First of all, the fact that we're talking about Walmart is is definitely surprising. But I think super, it's it's not surprising in the fact that they are like pressing in. I saw this article, I'm glad you included it. But the fact that they are moving the average wages from from 87 for truckers in 10,000. A year to 95k to 110k. Right, I think is the number which here's the thing, couple things supply and demand of people. Boom, gotta pay them higher to get them. There's a there's an inventory shortage of truck drivers. And if an inventory shortage of truck drivers has to do with an inventory shortage of things on the shelf, then you better go find the inventory and that's people and you need people to deliver things.

Paul Daly  9:47  

So the so the average truck driver gets paid long haul truck drivers $56,000 A year is actually the average wage. So Walmart is almost doubling that. And I have noticed that when you see Walmart trucks on the road, like Those are professional drivers. No doubt, you know, I mean, everybody else might be a professional because they're getting paid to do it. But Walmart drivers, right, there's a different level, it's like going to Chick fil A, it's like those are professional, fast food, you know, team members, right? They're not just a fry guy. And so and so here's what I think why this is important for automotive. Being willing to spend the money on the quality person is an important thing. If you want to deliver an exceptional customer experience. Walmart understands that reliability, that having the best people that having the most professional, like they've realized that that affects everything else in their business. And right now, with all the high demand for moving freight around, right, like we've been hearing about in the news, they realized that, yes, maybe they're spending disproportionately more for the drivers. But they understand that that's going to give them a competitive advantage. They're not looking at it as a sunk cost, right, as a cost of doing business. I think that they're looking at it as an investment in their supply chain. So what I say

Kyle Mountsier  10:59  

absolutely are you are you're absolutely right. It's not just the materials, it's the people that are a part of everything that goes into your business, invest in your people, and they'll invest in your business.

Paul Daly  11:09  

Do you think that there's a line of people waiting to get that job apps

Kyle Mountsier  11:13  

there as far as the travel is,

Paul Daly  11:15  

which means they can be very picky, which means they can be very picky, which means that if you have that job, guess what, not only did you qualify and you got through the application process and got there, but you really don't want to lose it either. You're gonna be sticky. It's showing up to work. You're being upbeat, right? You're getting the job done. And so whatever it is that you're doing today, we hope that you're getting the job done. Because retail is not stopping the world is not stopping. We have a couple of days left to make some trouble this week. Thanks for spending some time with us here. We will see you around the internet really, really soon. Like in three minutes.

Transcribed by https://otter.ai