First ever Instacart Economic Report quantifies impact
for retailers, brands, shoppers, and customers across N.
America
SAN
FRANCISCO, Dec. 14, 2023 /PRNewswire/ -- Instacart
(NASDAQ: CART), the leading grocery technology company in
North America, today released the
first-ever Instacart Economic Impact Report, quantifying the
company's economic impact across all four sides of the Instacart
marketplace — customers, shoppers, retailers, and brands.
The comprehensive analysis shows that Instacart has added over
231,000 brick-and-mortar grocery jobs and nearly $8 billion in incremental revenue for the U.S.
grocery industry, generated more than $15
billion in earnings for Instacart shoppers, and saved
customers more than 700 million total hours since the company was
founded in 2012. With its growing advertising business, Instacart
has also helped more than 5,500 brand partners reach new customers
and grow their businesses, driving an average of 15% incremental
revenue lift for those companies, the report shows.
"As the leading grocery technology company in North America, we're proud to have helped
generate billions of dollars in shopper earnings and retailer
revenue while giving millions of hours back to families," said
Sarah Fleisch, Senior Director of
Policy Research and Development at Instacart. "In doing so, as this
analysis shows, we're helping power local economies in the
communities we serve. We look forward to continuing to build new
products and technologies that deliver measurable, sustainable
value for every member of the Instacart community."
The report also features new independent analysis on Instacart's
impact on small businesses, which found that the company has helped
small brick-and-mortar grocers add tens of thousands of
brick-and-mortar jobs and generate billions of dollars in
incremental revenue. Specifically, according to the analysis
by Dr. Robert Kulick of National
Economic Research Associates (NERA), Instacart has helped small
grocery stores (1-49 employees) in the U.S. increase their revenue
by more than $2 billion and create
approximately 66,000 new grocery jobs — ranging from cashiers and
store managers to bakers and deli counter workers.
"This research provides further evidence that Instacart has been
an economic catalyst for the U.S. grocery industry — and in
particular, for small grocers," said Dr. Robert Kulick, Associate Director at NERA. "The
analysis shows that, from its inception, Instacart has driven
significant increases in grocery employment and revenue, with a
disproportionately high share of those jobs and sales increases at
small businesses. It's clear that the Instacart Effect — the causal
relationship between Instacart's growth and the growth of the
grocery industry — is a national phenomenon benefitting grocers,
workers, and the economy."
Notably, a disproportionately high percentage of the grocery
jobs Instacart has helped generate have been at small businesses.
More specifically, the 66,000 jobs Instacart has helped create at
small grocery stores represents 29% of the total number of 231,000
jobs the company has generated across the entire grocery industry —
more than double the small business share of all grocery employment
in the United States (14%).
"As a local, fourth generation, family-owned supermarket chain,
our goal is to remain innovative and competitive so that we can
continue to serve our community," said Bob
Rybick, CEO at Geissler's Supermarket with locations in
Connecticut and Massachusetts. "Instacart is helping us access
new technologies that improve our operations, so we can stay
focused on providing access to fresh, local food and the best
possible customer service."
Dr. Kulick's analysis deployed rigorous statistical methods and
analyzed data from across all 50 states and Washington D.C. to better understand the
statistical relationship between Instacart adoption in local
markets and grocery employment and revenue growth in the grocery
industry.
"At Instacart, we've seen firsthand the deeply important role
small, local and independent grocers play in their communities and
in our national economy," Fleisch said. "We're proud to help small
grocers innovate, thrive, and grow — and in the process, as this
new research shows, we're thrilled to help them add billions in
revenue and create thousands more jobs in their local
communities."
About Instacart
Instacart, the leading grocery
technology company in North
America, works with grocers and retailers to transform how
people shop. The company partners with more than
1,400 national, regional, and local retail banners to
facilitate online shopping, delivery and pickup services from more
than 80,000 stores across North
America on the Instacart Marketplace. Instacart makes it
possible for millions of people to get the groceries they need from
the retailers they love, and for approximately 600,000 Instacart
shoppers to earn by picking, packing and delivering orders on their
own flexible schedule. The Instacart Platform offers retailers a
suite of enterprise-grade technology products and services to power
their e-commerce experiences, fulfill orders, digitize
brick-and-mortar stores, provide advertising services, and glean
insights. With Instacart Ads, thousands of CPG brands – from
category leaders to emerging brands – partner with the company to
connect directly with consumers online, right at the point of
purchase. With Instacart Health, the company is providing tools to
increase nutrition security, make healthy choices easier for
consumers, and expand the role that food can play in improving
health outcomes. For more information, visit
www.instacart.com/company, and to start shopping, visit
www.instacart.com.
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SOURCE Instacart