Instacart starts serving ads on Good Food Holdings shopping carts

Shoppers in-store will receive ads featuring new products and personalized recommendations.

Instacart is set to start serving ads on Caper Carts in Good Food Holdings banner stores.

Customers using the AI-powered smart carts will soon be greeted by ads on the trolley’s home screen, featuring launch partners such as Del Monte Foods, Dreyer’s Grand Ice Cream, and General Mills

Why we care. Instacart’s latest advertising solution presents a strategic avenue to engage with high-value customers at a pivotal moment in the shopping journey, increasing the likelihood of sales and return on investment.

New features. Customers using Casper Carts will soon experience two new features:

• Ads for new products and brands: This means you’ll find special offers and seasonal promotions right when you start shopping on the Caper Cart home screen. For example, you might see a fun banner showing limited-edition Chocolate Strawberry Cheerios from General Mills for Valentine’s Day.
• Personalized product recommendations: These ads will show up based on what the customer is doing while shopping, like what’s in their cart or how they’re browsing (see image below). For instance, if a customer adds ice cream cones, they might get a suggestion for a matching item, such as Dreyer’s ice cream.

Store locations. During the initial phase of the pilot scheme, ads will exclusively appear on carts at Good Food Holdings’ Bristol Farms stores in Southern California. However, Instacart has assured the inclusion of additional retailers in the upcoming months. The ambitious plan aims to deploy thousands of Caper Carts by the end of 2024.

Incentive for participating retailers. Instacart aims to incentivize stores to display ads on Caper Carts by offering a revenue-sharing model and the chance for enhanced in-store customer engagement.

What Instacart is saying. Neil Stern, Chief Executive Officer of Good Food Holdings, said in a statement:

• “Since deploying Caper Carts last year, we’ve been incredibly excited to provide our customers with a greater personalized experience while driving value as they shop.”
• “With the introduction of ads on Caper Carts, we’ll soon be able to unlock a new, incremental revenue stream while offering customers valuable suggestions and promotions from our brand partners.”

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Deep dive. Read Instacart’s announcement in full for more information.