Instacart shares first-ever economic impact report
Delivery service Instacart has added nearly $8 billion in incremental revenue for the U.S. grocery industry since its launch in 2012, according to a first-of-its-kind report.
According to its inaugural Instacart Economic Impact Report, Instacart delivered from more than 80,000 retail stores across the U.S. and Canada in 2023. Instacart says it has helped add over 231,000 grocery jobs and approximately $8 billion in revenue to the U.S. grocery industry, including 66,000 jobs and approximately $2 billion in added revenue for small grocery stores with fewer than 50 employees.
The report, which cites data from the 2023 NERA Economic Consulting study, found that Instacart customers have saved over 700 million hours using the platform since its launch, with the company's shoppers having earned over $15 billion in the past nine years. Through the platform, more than 5,500 brand partners have reached new customers and grown their businesses, driving an average of 15% incremental sales lift.
"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,” said Dr. Robert Kulick, Associate Director at NERA. “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."
Approximately 600,000 people are Instacart shoppers in the U.S. and Canada. About 66% of them are women, 60% are younger than 34-years-old, and approximately half of them are parents.
When asked why they shop with Instacart, 80% said they like the independence it provides, with more than two-thirds of them (68%) having multiple income streams. On average, shoppers work less than 10 hours a week, fitting Instacart in around their schedules.
Since 2012, more than 900 million orders have been placed on the platform, and 7.7 million people are monthly active users. Instacart says through its expansions, it can now reach more than 93% of households in “low-income, low-access” areas. Earlier this year, Instacart became the first online grocery marketplace to accept EBT SNAP benefits in all 50 states.
"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."