The one retail media platform we are (extremely) bullish on since last year’s shift to online grocery shopping is Instacart. They recently launched a self-service advertising platform that can help you promote your products. Want to know if Instacart is right for you? Join this session to discover how brands can succeed with the leader in online grocery.
3. Today’s Logistics
Analicia Santaella
Partner Marketing Manager
Recording & slides will be sent
by end of week
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Log back anytime with same link
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7. Poll Question
What did you do for Superbowl game
day eats this year?
● There was a Superbowl?
● Ordered from Instacart
● Ordered pickup/curbside
● Went into the store
9. Instacart | Confidential
Instacart | Confidential
INSTACART PLATFORM
We are still seeing unprecedented growth
500% YOY
Since the start of the pandemic,
we've seen customer order volume
surge by as much as 500% YoY.
5 YEARS
We saw 5 years of growth in 5
weeks, and today our business has
a new resting heart rate.
300% YOY
We’re still growing with transaction
volume - what we call GTV - up
300% year-over-year in December.
10. Instacart | Confidential
INSTACART PLATFORM
We’ve added Meijer,
Family Dollar, and
Walgreens
and continue to
be the “Go-to” Delivery
Service
Instacart has continued to partner with new retailers and expand over
the course of the last year. Since the start of 2020, Instacart has
partnered with more than 150 new retailers and welcomed more than
15,000 new store locations to the marketplace.
We’re incredibly proud of these new and expanded partnerships,
which include:
Takeaway
Our focus is grocery, but we are
continuing to add more non-food
selection for consumers across
the marketplace.
...as well as dozens of local grocers
across America.
11. Instacart | Confidential
INSTACART PLATFORM
Our marketplace and our reach is bigger than
ever before
Fast delivery + ability to build the full basket
600+
Retail
Partners
85%+
Available to US
Households
45k
Stores
500k
Dedicated
Shoppers
5.5k+
Cities
70%+
Available to
Canada Households
24
States w/alcohol
delivery
12. Instacart | Confidential
INDUSTRY TRENDS
Forecasted Growth and Size of Online Grocery
Continues to Increase
30% of all food & bev sales by 2025
2019
4%-5%
2025
Up to 30%
2020
9-10%
2021 - 2024
Online grocery
growth 15X faster
than brick & mortar
$143 B
FMI / Nielsen
forecast
Source: JPMorgan Online Grocery Landscape Report, FMI & Nielsen Study
13. Instacart | Confidential
● IC $66M
● Advertiser X $17M
● IC $365M
● Advertiser X $92M
Conversion Opportunity Buy Rate Opportunity
INDUSTRY TRENDS
Within Instacart Universe alone, we recognize a
tremendous opportunity
Instacart | Confidential
B&M IC
Cat Conv $/Customer Trips
100%
75%
50%
25%
0%
50
40
30
20
10
0
8
6
4
2
0
Advertiser X’s opportunity
to drive conversion and buy
rate is 45x a single share
point gain
14. Instacart | Confidential
JANUARY YOY SEARCHES
Searches for home cooking seeing highest growth
among top volume searches
Top 25 Search Categories by Search Volume
15. Instacart | Confidential
JANUARY YOY SEARCHES
COVID, personal care, baking, and Valentine’s Day
related searches growing the fastest YoY
Jan’21 Top 25 Search Categories by YoY Growth
16. Instacart | Confidential
While it isn’t as big as last year, we are still seeing customers lean into non-alcoholic beverages in January
Alcohol $ Share of total
Beverages
(‘Share of Stomach”)
37%
Dec 2020
30%
Jan 2021
28%
Jan 2020
DRY JANUARY
Dry January is still a thing despite COVID lock downs
17. Instacart | Confidential
Instacart | Confidential
Note: Alcohol declined -26% month over month Note: Alcohol grew 250% vs. last Jan
Healthier categories growing vs. last month
Probiotics, Smoothies (especially Green Blends), Sports
Drinks, Chai Tea, Fruit/Veg Blends (with Strawberry very
popular), and Coconut Water
Compared to January 2020, customers increasingly
drinking more unique replacements for Alcohol:
Apple Cider, Tonic Water, Lemon/Limeade
DRY JANUARY
Customers trading in alcohol for healthier options
18. Instacart | Confidential
SUPERBOWL REGIONAL RECAP
Tampa Bay fans hydrated with healthy beverages
while Kansas City fans focused on snacks
Category
% Basket Penetration
Index to Total US Basket
Penetration
Dips/Spreads: Dips 14.7% 149
Salty Snacks: Tortilla
Chips 16.8% 145
Prepared Foods:
Potatoes 12.4% 128
Beverages: Soft Drinks 21.0% 123
Salty Snacks: Tortilla
Chips 16.8% 145
Salty Snacks: Potato
Chips 13.6% 120
Category % Basket Penetration
Index to Total US Basket
Penetration
Beverages: Ready to
Drink Tea 6.4% 147
Prepared Foods: Sides 5.5% 120
Dips/Spreads: Dips 11.7% 119
Beverages: Water 12.7% 117
Prepared Foods:
Potatoes 10.9% 113
Salty Snacks: Potato
Chips 11.9% 105
Salty Snacks: Tortilla
Chips 11.7% 101
Data reflects key categories sorted by index to Total US basket penetration with basket penetration >1%, for 1/31/20 - 2/5/20
VS
21. Content on Instacart
What if a product isn’t
showing up on Instacart at
a retailer that it should be?
The product might not be
listed in the file that the
retailer is sending to
Instacart.
First best step is to connect
with your retailer POC on
what the included
assortment is.
What if my content is
outdated?
Images: Start with your
Instacart Account Manager
to understand if your CSP is
one of the preferred CSPs
Instacart works with.
If not, contact your retailer
point of contact and ask for
a correction.
Or manually submit correct
images via Jotform so
Instacart can hide the
outdated content.
What if my item has no
image associated with it on
Instacart?
Your products are not
eligible for featured product
placements without an
image. As much as we all
like a good mystery, it’s
really a poor user
experience.
Where does Instacart
content come from?
Content Service Providers
(CSPs)
Retailer provided inventory
files delivered to Instacart
daily.
Jotform submission
process - you’ll need an
Instacart Account
Executive for this one.
23. The Opportunity Today
● Volume. Volume. VOLUME.
● Pre-qualification of the user
● Demand level is literally off the
charts
● Effective, second price, CPC
auction
● Powerful habit building repeat
users (Express), repeat
purchasers
24. Things to Consider Before Getting Started
● The Everything Catalog
● Walk the store
● Prioritizing SKUs and
information, imagery
● Number of retailers: mass or
specialty
● Number of stores
● Remember - physical items
sitting on a shelf
● Items are available,
consistently
● Number of items available
across retailers/stores
Content Distribution Catalog Size
29. Featured Products Details
● Second price auction - similar to Amazon and Google, meaning you pay .01 more than the next highest bid
● Able to bid on different child SKUs (sizes, flavor variants)
● Exact match keywords only today
● 14 day click attribution, tied to the last clicked UPC
● All UPCs have a history across the Instacart network, 24-48 hrs after campaign creation, organic search terms will auto
populate in the account, cutting down on initial test and learn time
● Each UPC has its own quality score - so the more popular variants will appear more often (for example a 16 oz size
instead of a 32 oz size)
30. Paced Spending
● Uses the campaign end date to determine a daily
budget and serves accordingly
● Can run out earlier in the day as a result (most
Instacart shoppers place orders later in the day)
● Daily missed impressions report from Instacart
Balancing the Budget
Max Impressions
● Budget that serves impressions continuously until
the lifetime budget amount is hit.
No minimum budget required, but recommend at reviewing how many SKUs you have (including variations), how many store
locations and what your historical sales have been via Instacart without advertising and applying how much you’d like to grow that.
Rule of thumb - $500/SKU/month at minimum.
31. Campaign Structure & Bidding
● A granular campaign structure is best
○ Campaign - Ad Group - Product(s) -
Keywords
○ Group by category at the campaign level
○ Ad group by product (can be a single
SKU) with variations (like sizes, flavors)
○ Bid at the keyword and/or ad group level
● Bid strength - at the ad group and keyword levels
○ Default or Override
○ Strong or weak (green, yellow, red)
○ Suggested maximum bid
32. Keywords
● Exact match only
○ Head and long tail terms (yes including plurals)
○ Your brand terms
○ Competitor brand name terms
● Set Up
○ Campaign (based on budget needs)
○ Ad groups
■ Competitor terms separated out
■ Control at ad group bid level
■ Ad group bid influences placements that are not search (browse, personalized)