In 2020, I co-authored the book Instacart for CMOs because I believed Instacart was one of the most under-recognized marketing channels available to consumer brands. Fast-forward six years, and Instacart's advertising business has become a major revenue driver. And now, DoorDash is reportedly in advanced talks to acquire the company for around $17 billion. While the headlines will focus on delivery and competition with Amazon and Walmart, I think the real story is what this deal could mean for retail media.

In this episode, I break down three reasons why a combined DoorDash and Instacart could be good for the retail media ecosystem, even if the implications for advertisers are less clear. From creating a stronger challenger to Amazon and Walmart, to bringing on-site and off-site retail media technology together under one roof, there are some compelling opportunities here. But what happens to advertiser leverage, competition, and costs when two major platforms become one? I'd love to hear where you land on this one.

This episode is sponsored by GrowthLoop

Timeline

[00:00] Why Instacart's advertising business is at the center of the potential DoorDash acquisition.
[02:08] Why combining DoorDash and Instacart could create a stronger challenger to Amazon and Walmart in retail media.
[05:45] How Instacart's Carrot Ads and DoorDash's Symbiosis technology could give regional grocers a more complete retail media solution.[07:36] Why retail media standardization and consolidation could be essential for regional grocers.
[08:35] What the potential deal could mean for advertisers, especially smaller and challenger brands.
[09:36] Why established CPG brands may still need both platforms, and how a merger could reduce their negotiating leverage.
[10:15] My overall take on the acquisition and why I'm inviting the industry to weigh in.

Links & Resources

• In 2020, I co-authored a book called Instacart for CMOs. It was the follow-up to Amazon for CMOs.
• Check out Andrew Lipsman's comments about Instacart on LinkedIn
• Check out my LinkedIn poll about the Instacart acquisition
• Read my related articles:
  • ‘I’m a realist’: Gopuff’s head of ads on why it handed its onsite adtech to Instacart (The Drum)
• Check out Basket Case, a project I’m part of with The Drum and QSIC, an irreverent and lively podcast series talking shop: latest episode
• I'm sharing comedy skits on Instagram about retail media! Follow along: @retailmediabreakfastclub
• Subscribe to Retail Media Breakfast Club's daily newsletter
• Follow Kiri Masters on LinkedIn