Instacart – Cartograph Capabilities Overview

Overview

We’re excited to share more about Instacart Advertising! Since 2020, we have seen advertising through Instacart  drive differentiating performance at a high-ROI for B&M. Our team has partnered with the Perpetua who has built an  industry-first bid optimization tool to provide full-scale advertising management and analytics within the Instacart  Advertising platform. Below is an outline of how Instacart Ads could be a great move to grow your business!

Why work with Cartograph?

Cartograph manages the full platform of Instacart Advertising end-to-end and has a proven track record of  driving significant and category-leading growth in B&M grocery.

We delivered significant growth for our clients in 2021, growing total revenue on the platform by 2-3x vs.  2020. With relatively few sophisticated and aggressive players on the platform, we believe there is a unique opportunity  to drive outsize return and capture very sticky market share.

Instacart has captured a significant and outsized share of online grocery shopping and delivery over the past few  years. The platform is being scaled rapidly and quickly, and there is a unique opportunity to grab market share.

Please contact us to learn more about our pricing and engagement model for the channel. We structure  engagements similar to Amazon.com engagements, which is full service, with fees as a % of sales, where our  incentives are directly aligned with your success. We frequently bundle management of the different platforms into a  single agreement.

Some of our capabilities include:

• Optimize content on Instacart listings including images, titles, and description fields • Market research and competitor landscape analysis using the Instacart website to build robust targeting sets  • Manage Full-Funnel Advertising on the Instacart Advertising platform (PPC and Display)  • Work with Instacart Account Executive for additional reporting and driving strategy  • Staying on top of frequent platform updates for first-access testing of new features

How it Works

If your brand is in brick-and-mortar retail doors, you are likely already being shopped on Instacart by customers  using the app or website to have groceries delivered to their door. Instacart Advertising allows brands to bid for the  highest product listing placement through keyword targeting (Sponsored Products) and custom display banners targeting  keyword search or audiences.

Strategy Components

Advertising

• Sponsored Product Advertising (PPC)

• Launched and managed through Perpetua, we implement an advanced campaign structure for every  retail SKU – this includes campaigns that defend you branded space, target competitors, and reach  customers at the point of consideration

• Learn in real-time how customers engage with your product through search and further define your  target core grocery consumer

• Display Advertising (CPM)

• Working within the Instacart Advertising console, display campaigns target keyword search or specified  audiences with custom banners for full-funnel marketing, from awareness to consideration to purchase  • Upcoming Features

• Upcoming features in 2022 we are excited to test include Brand Stores and shoppable display banners  Key Performance Indicators

• Total and Attributed Revenue

• Our aim is to incrementally scale total and ad attributed sales month-over-month, while continuing to  drive trial and retaining loyal customers

• ROAS

• As brands build momentum on the platform, we typically see a ROAS of 3-5x

• Category Share

• Driving conversions within your category on Instacart allows for increased share of voice in the market • Impressions

• By frequently testing new keywords in sponsored ads and display targeting a wide range of audiences,  we increase reach by scaling impression share

• New to Brand Sales

• Available in higher tier ICIP reports (see below), NTB purchases average 45-60% of total sales! • Using NTB and repeat purchase data, our objective is to drive strategy from a CAC/LTV perspective

Instacart Customer Intelligence Platform (ICIP)

• Instacart Advertising offers data insights through ICIP, which works on a tiered investment structure (brands  qualify beginning at $10,000 in quarterly spend, with more reporting available at higher spend tiers) • Reports available to higher investors include monthly summaries UPC view, primary aisle performance, out  of stock rates, sales decomposition, new customer conversion, and basket penetration (note: at this time  Instacart does not offer retail level performance data)

Contacts

• We maintain strong relationships with internal Instacart Advertising representatives, including your assigned  Account Executive

Content

• Managed through the Instacart Advertising console’s Library feature, brands can optimize content including  images (hero, product sides, labels, one lifestyle), title, and product descriptors

Promotions

• Currently, Instacart does not offer couponing for emerging brands

FAQ about Advertising on Instacart

1. Does Instacart Advertising cost?

Using the Instacart ad platform is free! You just pay for what you spend on ads

2. How do I send products into Instacart?

In a way, you already have when you stock retail shelves. Customers using the app place grocery orders and  Instacart “Shoppers” deliver them. Instacart Advertising does offer data on the quantities of units sold at the  UPC level, allowing us to forecast units sold in retail for inventory planning purposes

3. What retailers’ partner with Instacart?

There are 600+ retail partners totaling over 55,000 stores, including Kroger, Publix, Sprouts, Costco and many  more (for a full list, check out https://www.instacart.com/retailers)

4. Do I have access to retailer level sales performance?

At this time, Instacart does not offer retailer level data or control over what retailers are targeted. Ad  campaigns are launched at the UPC level, meaning they cover all B&M stores where available. However, if a  UPC is unique to a retailer we can structure a campaign specific to that SKU and gather data insights on  performance within that retailer. This has been incredibly successful for club SKUs (Costco and Sam’s Club)

5. How much should we budget for spend on Instacart Advertising?

We recommend allocating a budget of $5000/month to reach Tier 3 ICIP reporting. Our first goal is to start  spending and build momentum for your brand that incrementally drives higher returns and more revenue for  your business. With ICIP reporting, we gather valuable insights into customer behavior on the platform that  we use to drive strategy

6. How do I sign up for Instacart Advertising?

Easy! Just go to https://ads.instacart.com/signup

Chris Moe and Jonathan Willbanks

Co-founders, Cartograph