In the fiercely competitive realm of grocery e-commerce, Instacart stands tall, reaching 85% of households in the USA and boasting over 8 million individual orders every month. For brand owners seeking velocity growth tactics with measurable results and full control of budget, turning to Instacart’s advertising engine unlocks immense potential.

But in a market saturated with vying products, how can your brand rise above the digital shelves and land directly in eager shoppers’ carts? Fear not, fellow brand builder! This guide equips you with the fundamental strategies and insights to dominate Instacart Ads in 2024.

Brand new to Instacart? Start by optimizing your product listings before investing any budget in ads. In this LinkedIn post I highlight the process in 5-easy steps. Next you’ll want to familiarize yourself with Instacart’s campaigns via their intro guide… If all of this sounds daunting and overwhelming, no worries, I’ve been there, shoot me a LinkedIn DM)

MASTERING THE FUNDAMENTALS

• Campaign Clarity:

Identify your goals upfront. Are you aiming for brand awareness, driving specific product velocity, or boosting market share? Clearly defined objectives will allow you to pick the right ad formats and set proper expectations of results. Example: brand awareness campaigns such as ‘Display Ads’ (banners) will typically net a lower ROAS than search/keyword campaigns such as ‘Sponsored Product Ads’ that are served further down the purchase funnel.

• Target with Precision:

Sponsored Product (SP) Ads. If you have access to historical keyword (KW) reports from other advertising platforms like Google Ads or Amazon, that’s great news – use them to find the best performing KWs & add those KWs to a “Manual” SP campaign. If you do not have historical data – use Instacart’s “Optimized, maximize sales” option for your SP campaigns instead.

Shoppable Display (SD) & Shoppable Video (SV) Ads. A great way to build velocity/sales AND brand awareness. Expect ROAS to land somewhere between SP & Display Ads.

Display Ads. Great for brand awareness, targeting category shoppers or competitors. Best left for larger budgets.

• Quality Creative. I Repeat, Quality Creative:

If you’re going to invest ANY marketing dollars into display ads (SP, SD, etc.), you best have invested in quality content first. Use drool-worthy, scroll stopping product photos & videos that showcases any/all of: a usage occasion, a recipe idea, product benefits, selling features, etc.

Seasonal & themed content. If you are a mashed potato brand (talk about a sleepy category), it’s worth running a Thanksgiving themed SD/SV campaign with creatives that include a happy family eating a Thanksgiving feast (cheesy concept, but effective nonetheless).

Copy & CTAs. I’ve found that simple & direct headlines like “don’t forget the mashed potatoes” or “Soda, without the sugar” works well as a CTA. If you are launching a display campaign remember to throw a CTA on the banner such as “Shop Now”.

Brand & Landing Pages. Banner clickthrough (SV/SD/Display ads) are redirected to Brand Pages. You just paid for that click on your ad, so maximize your ROI by ensuring you have a thoughtfully designed page, like Poppi’s, and if you are running a seasonal campaign, best to have a seasonal landing page to match. The Brand Page also gets its own Instacart URL that you can use to share via social media, email/SMS, etc.

OPTIMIZING FOR SUCCESS

• Let Your Budget Be Your Guide: If you are starting with a small budget ($50-$150/day), place all your eggs in the Sponsored Product basket and try to focus on your 2-3 main products. For a medium budget ($200- $400) add in some Shoppable (SD/SV) campaigns. Once you get these set up and you are happy with the ROAS, you’re free to add in some Display campaigns.
• Bid, or no Bid: Master the art of bidding strategies. Fixed bids offer control, while automated bidding leverages Instacart’s algorithms to maximize reach and conversions. A/B testing different strategies helps you find the sweet spot.
• Promotional Prowess: After you’ve mastered the basics of campaign setup and optimization, don’t be shy to test out a promotion. Utilize coupons, discounts, and special offers to incentivize purchases and stand out from the competition. Track performance and adjust accordingly.
• Data-Driven Decisions: Leverage Instacart’s rich reporting suite. Analyze impressions, clicks, conversions, and ROAS to understand what’s working and what needs improvement. Optimize your campaigns based on data insights.

Remember: Succeeding on Instacart Ads requires a strategic approach, data-driven decisions, and consistent optimization. By implementing these tips and staying ahead of the curve, you can turn your brand into a click-worthy champion on the Instacart battlefield and land your products directly in the hearts (and carts) of millions of eager shoppers.

Have a specific question or prefer to have a seasoned marketer execute your Instacart strategy?

My name is Wian and I founded Exciting Growth Opportunities (EGO) to fill in the gap between founder and digital growth. I have 10+ years of CPG experience as an exited-founder and brand builder & I guide brands like yours to digital marketing success by leveraging data analytics, customer insights, and some good ol’ fashion intuition.