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Digital Transformation Roku Future of TV

Roku teams with Instacart to bring grocery ordering insights to CPG brands

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By Kendra Barnett, Associate Editor

April 26, 2023 | 4 min read

Device maker Roku is working with grocery delivery company Instacart to provide brands with new measurement insights that tell them when their streaming ads yield product purchases.

Instacart app

CPG brands advertising on Roku’s platform will gain new insights about when consumers order their products via Instacart / Adobe Stock

Digital media device giant Roku today announced it’s partnering with grocery delivery platform Instacart to bring new insights to consumer packaged goods (CPG) brands that link ad impressions to e-commerce purchases.

The deal ties Roku’s proprietary viewership data to Instacart’s sales data (across over 1,100 retail banners and 80,000+ stores in North America) in a privacy-safe way to provide advertisers with new insights about whether viewers purchase products on Instacart after seeing an ad for a CPG brand on the Roku platform. In essence, the partnership aims to enable advertisers to more easily quantify the impact of their streaming buys on product sales.

“Our goal is to help marketers get more of what they love in TV,” said Roku’s Alison Levin, vice-president of ad revenue and marketing solutions, in a statement. “Our partnership with Instacart makes it easier to measure actual return on advertising spend in e-commerce and meet consumers where they are – streaming TV.”

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Roku and Instacart hope the partnership will drive more ad spend to streaming and to retail media – two rapidly growing categories within advertising. In fact, connected television (CTV) ad spend in the US is expected to jump a whopping $24.2bn, recent data from Insider Intelligence’s eMarketer.

The deal also aims to contribute to the growth of online grocery delivery, which has spiked in popularity since the onset of the Covid-19 pandemic in 2020. Digital sales of groceries saw a lift of 2.9% – from $10.4bn to $10.7bn – from January 2022 to January 2023, according to research from market research firm Grocery Doppio.

And the new deal between Roku and Instacart has seen promising early results for advertisers. In a pilot of the program with an undisclosed personal care brand, 60% of streamers who purchased a product from the brand after being exposed to its campaign via Roku were new to the brand. Another unnamed beverage brand that piloted the program found that viewers who saw its Roku campaign and were new buyers had a 70% higher repeat rate than the average new-to-the-brand buyer on Instacart.

“With Instacart Ads, we’re committed to providing CPG brands with the ad products, automation, insights and measurement they need to help them meet their objectives and prove the impact of their investment,” Ali Miller, vice-president of ads product at Instacart, said in a statement. She said the deal represents an ongoing area of focus for the company. “As we look ahead, we’ll continue investing in integrations and insights across every touchpoint of the consumer journey to help CPGs drive and measure results.”

The program rolls out across the US market beginning today. It builds on Roku's far-reaching work with top retailers to deliver innovative solutions to advertisers and improve accountability in streaming measurement. Other Roku partners include Best Buy, Cox Automotive, DoorDash, Kroger and Walmart.

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Digital Transformation Roku Future of TV

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