Instacart presents a host of challenges for consumer brands:

🔴 Brands can't easily create a P&L for it

🔴 Growth lagged in '23 resulting in sub-par ad performance

🔴 Retailers don't give credit for advertising spent on Instacart

🔴 It doesn't provide retail-level level insight outside of some beta tests

But, that doesn't mean brands are walking away from it. Why? The tailwinds of grocery shoppers buying more online...

🟢 Omni-enablers like Instacart will grow 2x+ faster than the grocery market (both in-store and online combined)

🟢 51% of CPG brands in our research characterize Instacart as "very important" to their future growth

🟢 A net 27% of CPG brands are ramping up the % of their sales spend on Instacart ads

The biggest challenge for Instacart? Getting product prices on its app (controlled by its retail partners) more competitive to in-store pricing.

🤔 Let's see what '24 brings on that front. But in the meantime, make sure your Instacart product content and retail media strategy are on point this year.

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