Hy-Vee RedMedia partners with Instacart to further retail media capabilities

Instacart and Hy-Vee Inc., an employee-owned supermarket chain operating more than 570 business units across nine Midwestern states, say that Hy-Vee RedMedia will enhance its advertising capabilities by using Instacart Carrot Ads, creating a more personalized experience across Hy-Vee.com.

Instacart’s Carrot Ads solution will deliver advertiser demand from more than 7,000 brands, helping Hy-Vee create even more relevant experiences that drive personalized recommendations and product discovery for their customers, according to a news release. The new integration will give Hy-Vee RedMedia access to Instacart’s ad technology and extensive CPG advertising ecosystem. Advertisers will soon be able to seamlessly extend their Instacart campaigns to Hy-Vee’s e-commerce platform through expanded ad inventory, the release said.

“As an innovator in the retail media space, Hy-Vee has largely been ahead of the curve in its commitment to building and growing its retail media capabilities,” said Alice Luong, senior director of e-commerce and retail media for Instacart. “We’re creating an even more attractive offering for advertisers to easily stay connected with customers wherever they choose to shop among Instacart’s growing network of retail sites powered by Carrot Ads, which will now include one of the Midwest’s largest grocers. This will also simultaneously improve the customer shopping experience through ad tech capabilities that drive ad personalization and make product discovery easier.”

“Retail media is a critical driver of the grocery ecosystem, and since launching Hy-Vee RedMedia, we’ve been committed to strengthening our capabilities in this area,” said Kathryn Mazza, president of Hy-Vee RedMedia and chief marketing officer of Hy-Vee. “Our partnership with Instacart through their Carrot Ads solution exemplifies how we’re continuing to enhance our offerings by expanding the value we bring to advertisers.”

Carrot Ads extends Instacart’s ad technology to support retail partners in growing their own retail media networks on their websites and apps. Today, more than 220 retailer banners use Carrot Ads to power their retail media business and offer ads on their e-commerce site, the release said.

Hy-Vee and Instacart first partnered in 2018 when they introduced same-day delivery to Hy-Vee customers for the first time through the Instacart app. In 2023, Hy-Vee and Instacart expanded its omnichannel partnership by adding Instacart’s Fulfillment Services, integrating Instacart’s fulfillment capabilities for same-day delivery into its owned and operated websites and apps. The partnership further expanded in 2024 with the addition of pickup services, the release said.

Carrot Ads capabilities on Hy-Vee RedMedia will be available to advertisers later this year.