During the COVID-19 lockdown, Instacart became an essential service for millions of Americans trapped at home. Even as early as February, Instacart started noticing unusual demand for items such as toilet paper, canned vegetables and long-life milk.
The next few months accelerated the growth of Instacart, which in 2019 was losing $25 million every month. It recorded its first monthly profit in April 2020, netting $10 million, and CEO Apoorva Mehta said the company had passed its 2022 goals.
While Instacart doesn’t publish usage statistics, it added 300,000 more ‘shoppers’, riders responsible for picking up and delivery groceries, in the first half of 2020. It had a headcount of 350,000 by the end of 2020, with $35 billion in grocery sales.
Instacart was one of 20 businesses started by Mehta in the early 2010s, in a wave of entrepreneurial spirit in which he created a social network for lawyers and an ad network for gaming companies. Using his experience as a supply chain engineer for Amazon, Mehta built the system which took aim at his old boss.
It wasn’t long before Amazon shot back. In August 2017, it acquired Whole Foods for $13.7 billion. At the time, Whole Foods was responsible for 10 percent of Instacart sales, and some investors worried that Amazon would end the partnership.
Instead of slowing down the upstart, the Whole Foods acquisition scared the rest of the retail world, which quickly penned agreements with Instacart. What was considered an extension of the Whole Foods brand became a marketplace for all types of retailers, which were more accommodating to Instacart out of fear of the Amazon machine.
The rise of a food delivery app would not be complete without several controversies. Like DoorDash, Instacart has been accused (and taken to court) for withholding tips and paying workers less than minimum wage. In 2019, Instacart workers set up a union and during the COVID pandemic, many walked out in protest of the lack of protective equipment.
It has struggled over the past two years to keep the momentum from the pandemic, however, it has increased revenues and usage each year. Plans for an IPO have been delayed, while Instacart works on building out its advertising and commercial platform.
We have collected data and statistics on Instacart. Read on below to find out more.
Instacart key statistics
- Instacart reportedly generated $2.5 billion revenue in 2022
- In 2022, Instacart made a net profit of $428 million
- Instacart had an estimated 13.7 million active users in 2022
- Instacart valuation has dropped twice from a $39 billion high in 2021 to $9.3 billion in 2023
Food Delivery App Report 2023
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Instacart overview
Title | Title 2 |
---|---|
Launch date | 1 July 2012 |
HQ | San Francisco, California |
People | Fidji Simo (CEO), Apoorva Mehta (co-founder) |
Business type | Private |
Industry | Grocery delivery |
Instacart revenue
Instacart made $2.5 billion revenue in 2022, a 38% increase on the year prior. In 2020, its revenues increased by 104% to $1.5 billion.
Instacart annual revenue 2013 to 2022 ($mm)
Year | Revenue ($mm) |
---|---|
2013 | 10 |
2014 | 75 |
2015 | 120 |
2016 | 185 |
2017 | 300 |
2018 | 525 |
2019 | 735 |
2020 | 1500 |
2021 | 1800 |
2022 | 2500 |
Sources: Edison Trends, Forbes, The Information, WSJ
Instacart profit
Instacart reached an annual profit of $428 million in 2022, reversing a decline of $71 million in 2021.
Instacart annual profit/loss 2019 to 2022 ($mm)
Year | Profit ($mm) |
---|---|
2019 | |
2020 | |
2021 | |
2022 |
Sources: Forbes, The Information
Instacart users
Instacart had 13.7 million active users in 2022, which bought items off the app more than once a month.
Instacart annual users 2017 to 2022 (mm)
Year | Users (mm) |
---|---|
2017 | 3.3 |
2018 | 4.3 |
2019 | 5.5 |
2020 | 9.6 |
2021 | 11.1 |
2022 | 13.7 |
Sources: App Figures, Progressive Grocer
Instacart shoppers
Over 600,000 people work for Instacart as ‘shoppers’, who pick up items from stores and deliver them to customers.
Instacart shoppers 2014 to 2021
Year | Shoppers |
---|---|
2014 | 5,000 |
2016 | 20,000 |
2018 | 70,000 |
2019 | 130,000 |
2020 | 500,000 |
2021 | 600,000 |
Sources: Company data, Huffpost, Vox
Instacart partners
Instacart is partnered with 1,100 retail and grocery companies, which allow shoppers to bag and deliver their items.
Instacart partnered retail and grocery companies 2017 to 2022
Year | Partners |
---|---|
2017 | 165 |
2018 | 210 |
2019 | 300 |
2020 | 600 |
2021 | 750 |
2022 | 1,100 |
Note: Partners refers to retail and grocery companies that operate on Instacart.
Sources: Forbes, Instacart
Instacart valuation
Instacart is reportedly looking at a $9.3 billion valuation for its IPO, set for sometime later in 2023.
Instacart valuation 2016 to 2023 ($bn)
Year | Valuation ($bn) |
---|---|
2016 | 2 |
2017 | 3.4 |
2018 | 7.6 |
2020 | 13.7 |
2021 | 39 |
2022 | 24 |
2023 | 9.3 |
Sources: Fortune, TechCrunch
Instacart cities
Instacart is available in 14,000 cities in the United States and Canada.
Instacart cities available 2016 to 2022
Year | Cities available |
---|---|
2016 | 25 |
2018 | 4,000 |
2020 | 5,500 |
2022 | 14,000 |
Source: CB Insights
Instacart FAQ
What is Instacart’s gross merchandise volume?
It processed $29 billion in grocery sales in 2022 (WSJ)
How much does the average Instacart Express customer spend?
Instacart Express customers spend on average $5,000 per year and at double the frequency
Does Instacart benefit towns?
A study found Instacart generates $620 million in incremental state revenue (Supermarket News)
What is an Instacart users average spend?
Instacart annual user spend is $512 (Rakuten Intelligence)
How many products are available on Instacart?
Over 500 million products are listed on Instacart
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