Pros and Cons of Instacart’s Growing Advertising Business

• Instacart has big ambitions to grow its advertising business from $300 million to $1 billion.
• They said Instacart is benefitting from the boom in e-commerce ad budgets more than Amazon or Walmart.
• But Instacart needs stronger relationships with brands to turn advertising into a long-term bet.
• See more stories on Insider’s business page.

Instacart faces tough competition from Amazon and retailers like Walmart, Target, Walgreens as it tries to build an ad business that will hit $1 billion by 2022.

Advertisers laid out the advantages and challenges it faces as it tries to get a bigger piece of their budgets.

When advertisers buy campaigns from retailers they rely on for distribution, like Walmart, Target, and Amazon, those ad budgets are typically baked into large contracts that include distribution…

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