Instacart is scaling the reach of its retail media technology, Carrot Ads, to give advertisers access to the multibillion-dollar foodservice industry through a new partnership with the B2B ecommerce ordering platform Cut+Dry.
Cut+Dry — which serves independent foodservice distributors and manufacturers such as restaurants and catering services — will integrate Carrot Ads technology across its platform over the next few quarters, offering CPG brands direct access to buyers and unlocking new revenue opportunities for food distributors and operators.
“Food manufacturers have long struggled to connect with end buyers and influence purchasing decisions at the point of sale,” said Mani Kulasooriya, Co-founder and CEO of Cut+Dry in a statement. “Without a platform to share their brand story and product benefits, brands have been limited in their reach. Meanwhile, foodservice distributors have been left out of the rapidly growing digital advertising space. By integrating Instacart’s market-leading advertising capabilities with Cut+Dry’s scale and influence in foodservice distribution and digital commerce, we’re creating one of the largest digital advertising opportunities in the industry. This partnership empowers brands to connect directly with buyers and drive unmatched sales growth, all while unlocking new revenue streams for our trusted distributor partners.”
“Our partnership will not only open up new opportunities for our brand partners advertising on Instacart, but also deliver value to stakeholders across the foodservice industry, including operators, distributors and food manufacturers,” added Andrew Nodes, VP and General Manager of Instacart Business and Supply Chain in a statement. “Operators will get access to detailed product information, recipes and menu ideas to make informed choices. Distributors will have the opportunity to unlock additional revenue through digital advertising opportunities. Food manufacturers will gain unmatched reach to operators nationwide, boosting brand visibility and influence in foodservice sales.”
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Nearly 220 retailer banners currently utilize Carrot Ads, which launched in 2022, to power their retail media business and offer ads on their ecommerce sites, including Sprouts, Thrive Market and the Save Mart Companies.
