With Connected Stores, Instacart Doubles Down on Omnichannel Grocery

Instacart is pushing further into omnichannel grocery shopping with the launch of Connected Stores, a bundle of technologies that promises to “help grocers build a unified, seamless, personalized experience both online and in-store”—as well as to remain competitive in the evolving grocery space. The first implementation of the technology will go live at an Irvine, Calif. grocery store “in the coming months.” The Connected Stores bundle includes: A new Caper Cart This AI-powered smart cart “uses state-of-the-art computer vision technology, weight sensors, scales and touchscreens to help customers navigate the store without manually scanning items.” That means, much like Amazon’s Dash Carts, shoppers can check out directly from their carts. Scan and Pay As the name implies, this Instacart feature allows shoppers to pay for items from their mobile devices. It also identifies EBT SNAP-eligible products when they are scanned, which the platform said will make it easier for shoppers to find approved products. Lists This tool allows shoppers to sync shopping lists from apps to their smart carts by scanning a QR code. The cart then helps consumers locate the products they are looking for—and checks them off as they are added. Carrot Tags Instacart said these smart shelf labels also help make finding in-store products easier, which includes lighting up the tag to identify a specific product on a shelf. Carrot Tags also display information such as whether a product is gluten-free, organic, kosher or EBT SNAP eligible. They also allow shoppers to save a recipe to their online profiles, David McIntosh, vp of Connected Stores at Instacart, wrote in a blog post. FoodStorm Department Orders This order management system allows in-store departments like the deli and bakery to coordinate so items from both are ready at the same time. In addition to eliminating lines at the counter, McIntosh wrote, “This is good for retailers, too, since fresh, custom items and prepared foods also tend to drive high margins.” Out-of-Stock Insights This API helps retailers keep tabs on products that are running low or out-of-stock. “Until now, we’ve shared data from our shoppers with retailers on a daily basis to let them know which items need to be replenished,” McIntosh wrote. “Now with Out-of-Stock Insights, the same information will be available to retailers in real time so they can alert associates as soon as an item is running low or out of stock.” That, of course, means fewer missed sales for retailers and a better chance of customers finding what they want, he added. The goal is to create a better grocery shopping experience for customers and more efficiency for retailers. Grocers in the U.S. and Canada have piloted these technologies, including Wakefern Food Corp., Schnucks and Joseph’s Classic Market. “As customers have adopted delivery and pickup over the past year, we’ve found it increasingly important to evolve our business with omnichannel customers at the forefront,” said Neil Stern, CEO at Good Food Holdings, which operates the first store to implement the technology. “As we look to the next decade of grocery, we want to make sure that we’re providing an inspirational shopping trip for our customers—and this starts by building a Connected Store.” Automatic for the People: How Robots Are Reshaping Retail