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Instacart Marketplace: Innovation in Personalization 

In today’s hyper-connected digital landscape, consumers are inundated with countless advertisements vying for their attention. Amidst this noise, the ability to deliver tailored, relevant content has emerged as a powerful tool for brands seeking to cut through the clutter and forge meaningful connections with their target audiences. From personalized product recommendations to customized messaging based on individual preferences and behaviors, the era of one-size-fits-all advertising is long gone. 

In this Marketplace piece, we’ll explore how Instacart is taking personalization to new heights, from their AI-powered smart carts to the off-platform expansion with Google Shopping Ads and examine the impact these strategies are having to enhance the shopping experience. 

Caper Carts

Let’s start with an exciting Instacart update: the expansion of its advertising solutions to include the company’s AI-powered smart carts, Caper Carts. This pilot initiative, launched this year, aims to provide personalized and dynamic recommendations to shoppers right in the physical aisles of grocery stores. Ads displayed on Caper Carts will offer customers tailored recommendations and interactive experiences to help them explore new brands and products. This innovative advertising opportunity enables brands and retailers to engage directly with customers as they spend over 30 minutes on average shopping in-store with a Caper Cart.  

What does this mean?  

With these new ad capabilities, CPG brands can now interact with customers in-store in a highly personalized manner, leveraging past purchase behavior or real-time shopping activity. Imagine a shopper grabbing a cart and being greeted with a personalized experience on the Caper Cart home screen, showcasing new products, brands, deals, and seasonal promotions right at the beginning of their shopping journey. For instance, a customer might encounter a creative banner featuring specific snacks or beverages tailored for the upcoming Super Bowl event. 

While in the store, customers will receive personalized product recommendations based on their real-time shopping behaviors or cart contents. For instance, if a customer adds ice cream to their cart, they might receive an item recommendation such as sprinkles or chocolate sauce, enhancing their shopping experience and potentially increasing basket size. 

Implementing impulse-driven ads during the shopping journey is a game-changer for brands. It opens up new in-store opportunities to target consumers with deals on items that capture their attention while they navigate the aisles. This approach effectively recreates the point of sale in traditional brick-and-mortar stores, offering innovative ways to engage shoppers and drive sales. 

Carrot Ads

Brands advertising on Caper Carts can enhance their revenue through a revenue-sharing model while driving higher consumer engagement in-store. This advancement extends Instacart’s Carrot Ads technology, allowing retailers to develop and expand their retail media networks on owned and operated websites and apps using Instacart Ads technology. Through Carrot Ads, retail partners leverage Instacart’s top-tier technology, products, engineering, sales expertise, and data insights to maximize advertising effectiveness and revenue growth. 

What does this mean? 

Carrot Ads empowers both small and large grocers to expand their retail media networks on owned websites and apps, unlocking new revenue streams. This feature allows grocers to offer display ads alongside Instacart’s sponsored product solution, facilitating connections between CPG brands and consumers on their e-commerce platforms. Display ads enable CPG brands to deploy engaging, targeted banners that boost product awareness and consideration, ultimately driving larger baskets for grocers. Additionally, Carrot Ads provides grocers and CPG brands with closed-loop measurement and insights, enabling them to identify the most effective strategies for driving business value. 

Google Shopping Ads

Leveraging Instacart’s first-party retail media data and closed-loop insights, brands can now reach high-intent consumers searching on Google and get their products out faster. Google Shopping ads, now accessible to CPG brands, can scale to consumers who are shopping across Google more than a billion times a day. Those consumers will be able to see ads for participating brands’ products as they search and click to complete their shopping journey on Instacart with the convenience of getting their products delivered that same day.  

What does this mean? 

The collaboration with Google will allow brands to layer the rich retail media data from Instacart over Google Shopping ads’ capabilities to enhance audience signals for brands on Instacart. The expanded powers of Instacart Ads off-platform are enabling brand partners to reach the right audiences while they search on Google and drive them to purchase on Instacart. Whether brands are utilizing search, social media, CTV, or streaming, Instacart is giving brands more measurable outcomes through its retail media data.  


Instacart is transforming the grocery shopping experience through innovative advertising solutions and personalized features. With the introduction of ads on Caper Carts, brands have a new avenue to engage with customers in-store and online, driving increased consumer engagement and revenue growth. The Carrot Ads technology further empowers grocers to establish and expand their retail media networks, offering display ads to connect CPG brands with consumers on their e-commerce platforms. The expansion into Google Shopping ads unlocks new ways for brands to engage with customers, drive them to purchase, and provide close-loop measurements to demonstrate results. These advancements underscore Instacart’s commitment to enhancing convenience and personalization in the grocery shopping journey, while also providing valuable insights and opportunities for brands and retailers to optimize their marketing strategies. 

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Contact us today to unlock the potential of the Pacvue Platform and leverage our expertise to expand your brand across multiple retailers. With exclusive features and integrations with platforms like Instacart, we’re poised to elevate your success in today’s competitive market. 


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