Instacart Competitors and Alternatives Analysis

Instacart is a grocery delivery service that operates through an online platform. Customers can select groceries from a store’s online inventory and deliver them to their doorstep within an hour or two. 

Instacart also offers same-day delivery for orders placed before a certain time. The company has partnerships with several major retailers, including Walmart, Costco, and Kroger.

Instacart is an online food delivery company based in San Francisco, California. It allows customers to order food and receive it at their doorsteps within 24 hours. Instacart was founded in 2012 by Indian resident Apoorva Mehta. It has since expanded to Chicago, Boston, Atlanta, Miami, and Washington, DC.

Several retail partners have partnered with Instantcart, including Walmart, Aldi, Staples, Food Market, Kroger, Sams Club, and Costco. More than 5,500 cities in the United States where Instacart delivers groceries.

In March 2021, Instacart raised $265 million from investors, valuing the company at $39 billion. Over 300,000 personal shoppers have joined Instacart in the last year and now have over 500,000 registered users.

Instacart plans to build automated fulfillment centers that handle thousands of orders every day with the help of hundreds of robots. Every fulfillment center of Instacart will have more than 150 robots to handle over 700 orders daily. 

The robots at Instacart fulfillment centers will also cut costs and help Instacart stand out among big competitors like Shipt, Amazon Fresh, and Walmart. Several grocery delivery services offer the same or similar services, but Instacart is not the only one. 

In recent years, the shopping market has exploded, and there are now more and more shopping options available than ever. Many big national companies offer online grocery delivery services, but many local stores also offer the service.

Each option works differently, so it’s important to know what to look for when choosing.

Here are top Instacart Competitors and alternatives that allow you to order your groceries online and have them delivered to your home.

Top Instacart Competitors and Alternatives

1. Amazon Fresh

Amazon Fresh is an online grocery store operated by Amazon. It offers grocery delivery for free in most cities. Amazon has over 2 million sellers in its U.S. third-party stores, making it the world’s biggest e-commerce company. 

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A similar service to Instacart, Amazon Fresh allows customers to order groceries online and have them delivered for free. The Amazon Fresh service allows consumers to purchase fresh produce, meat, seafood, and other products from Whole Foods 365 online.

With Amazon Fresh, you can get groceries delivered free to your door, just like Instacart. You can order groceries from Amazon Fresh for free. The free delivery service is available only to Amazon Prime members.

Before using Amazon Fresh, you must be an Amazon Prime member, but you can use the service on a free Prime trial. Amazon Fresh is available in 2,000 major cities in the U.S., including New York City. You can order groceries from Amazon Fresh in as little as an hour.

You’ll need an Amazon Prime membership to shop at Fresh. It will cost you $14.99/month for a membership that includes all of Amazon’s Prime benefits. You can get Prime for about half that and Amazon Fresh for free.

Depending on your location, one-hour grocery delivery may cost you a small delivery fee. You can get free shipping on orders over $50 (only $35 in some locations). Ordering groceries from Whole Foods Market on Amazon will cost you $9.95 for one-hour or two-hour delivery.

If you are already an Amazon Prime customer, why not get free delivery every two hours and excellent customer service? You will get free 2-day delivery on eligible Amazon Prime products and all other Prime benefits.

Amazon Fresh stores are located in some major cities, whereas Instacart does not. It makes it a convenient alternative to your local grocery store.

2. Walmart Grocery

The largest retailer in the world, Walmart has 11,500 stores in 27 countries and employs 2.2 million people. Customers can order groceries online and have them delivered or picked up free of charge with Walmart Grocery. 

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Walmart has a robust e-commerce platform that delivers grocery items to homes quickly. Customers can order groceries online and get them delivered on the same day. In 2020, Walmart will generate $524.4 billion in revenue.

Walmart has been trying to break into the grocery and food delivery market for a long time but is finally seeing some success. Walmart now offers a membership service called Walmart+ with free home delivery for 98 dollars a year or $12.95 a month.

Walmart now offers its shoppers a premium membership for just $98/year or $12.95/month, which includes many benefits. Walmart+ is a premium subscription service that offers unlimited deliveries on all orders.

Walmart+ offers free groceries delivered to homes in 16,00 cities, while Instacart caters to more than 5,500 cities. There are more than 70,000 buyers on Walmart Marketplace every day. Walmart’s e-commerce channel sales in 2020 are expected to reach $64.6 billion, nearly twice the amount from Instacart.

Customers can order food and other items online and deliver them the next day. Walmart+ members can scan products on their smartphones and check out with the help of their smartphone and bypass the checkout counter if necessary.

Walmart also offers grocery deliveries through its grocery store app, Walmart Grocery. Walmart’s grocery store is similar to the food delivery service Instacart. 

Walmart Grocery requires customers to be a member to get free grocery deliveries. Walmart isn’t as cheap as Instacart, but its services are still cheaper than Instacart. 

Walmart is becoming a formidable competitor to Instacart with its new subscription-based grocery delivery service. Walmart+ offers free home deliveries on all orders over $35.

Walmart+ offers members free delivery on all orders — with no minimum order required. If you order less than $35, a small delivery fee of $5.99 will apply. Walmart+ gives its customers a free 30-day trial for all purchases, which is longer than Instacart’s 14-day trial.

3. DoorDash

DoorDash is the largest food delivery service in the U.S. It orders food online and delivers it to customers’ homes within an hour. DoorDash controls about 45% to 60% of the U.S. food delivery market. DoorDash is a leading app for restaurant delivery. It delivers food to your home in under 15 minutes.

You can now order groceries and other grocery items via DoorDash, which will be delivered to your door in just a few minutes. DoorDash had 3,886 employees in 2020 and generated revenue of $2.886 billion.

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DoorDash signed a deal with Albertsons Cos. in June 2021 to provide an on-demand grocery delivery service. Customers can order groceries online and have them delivered to their homes immediately. 

With its partnership with Albertsons, DoorDash now offers on-demand grocery delivery to its customers. DoorDash will deliver groceries to more than 2,000 Albertsons grocery stores. This includes Vons, Safeway, and Jewel-Osco.

DoorDash will compete with Instacart and other online grocery stores. DoorDash’s leading marketplace allows customers to order groceries and have them delivered within an hour from over 40,000 Albertsons stores.

After the announcement, it was announced that DoorDash Inc. and supermarket chain Albertsons Inc.’s shares would increase by 3.51% and 2.87%, respectively. There is a surge in demand for the service, which indicates that consumers are pleased with it and willing to pay a premium. 

DoorDash is the largest food delivery service in the U.S. It’s one of the top competitors of Instacart. DoorDash is often referred to as an alternative to Uber Eats, but it’s a fantastic alternative to Instacart.

DoorDash doesn’t have as many grocery stores as Instacart, but the service is growing and attracting new businesses. Some grocery and convenience stores are available on DoorDash, including Target and 7-11, though prices and availability may vary depending on your location.

You can schedule your delivery on DoorDash in advance or receive your food immediately after placing your order. DoorDash drivers will pick up your groceries from the store, or your Dasher will do the shopping for you.

DoorDash has a free service that allows you to order food online and doesn’t charge a membership fee for delivering groceries. You’ll have to pay more than the cost of the item(s) you’re ordering, plus a small fee when a surge of customers orders more items than they can deliver.

DashPass is available in some country areas and costs $9.99/month. You will get free delivery on all orders of $12 or more; the same applies to fast food and restaurant orders.

DashPass is a fantastic alternative to Instacart Express, especially if you also want to enjoy free delivery on restaurant orders. You can get free delivery if you order food online for $12 or more, which makes smaller grocery stores better than Instacart.

4. Uber Eats

Uber Eats is a food delivery business owned by the travel giant Uber. UberEats was originally named UberFRESH, and the service became UberEats a year later. Uber started its service during the peak of the Ebola epidemic in July 2020.

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While Uber Eats has struggled financially and legally, it remains among the top food delivery services in the world. Uber Eats currently delivers groceries in more than 6,000 cities in 45 countries.

Uber Eats is expanding its grocery delivery service to hundreds of cities across the country from its test locations in Miami and Dallas. Uber Eats has partnered with Albertsons, bringing its grocery delivery service to more than 400 cities in the United States.

The value of Uber Eats in 2021 was $8.3 billion. Undoubtedly, Uber Eats is the leader in U.S. food delivery, and this Market is one of the strongest in the world. It delivers more than half of all meals across the country, trailing only DoorDash. 

Uber Eats works with more than 600,000 restaurants. Uber does not disclose how much it makes from delivering groceries.

5. Peapod

Peapod is a delivery service that delivers groceries to customers on the East Coast. Peapod delivers groceries online, including produce, meats, frozen foods, alcohol, and ready-to-eat meals. 

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Peapod has been in the grocery delivery industry for more than 30 years, so it knows what it is doing better than Instacart. Peapod has 3,000 employees and makes over $97 million in revenue annually.

Peapod was founded in 1989 and was one of the first grocery delivery services. The company provides a wide variety of products and has been around for nearly 30 years. 

Peapod was founded in 1989 and started offering grocery delivery in 1996. Some big changes are currently underway at the company. Peapod was founded in 1989 and launched its website in 1996. It is one of the first delivery services to offer groceries to customers in the U.S.

Peapod was one of the first internet startups to appear in the dot com bubble in early 2000. Dutch company Ahold Delhaize owns Peapod and FreshDirect. Peapod is not like FreshDirect, because it has reduced its service area. 

Peapod will close its operations in the Midwest in February 2020, focusing only on the east coast. Peapod survived until 2022 but has shut down its independent delivery service. The company’s website is currently under maintenance.

Peapod is part of the same Dutch-based company that owns Stop & Shop. Stop & Shop is now integrating Peapod into its app and allowing customers to select pickup or delivery times via the Stop & Shop app.

Stop & Shop has released its mobile app that is free to use. Delivery services cost $9.95, but deliveries for orders over $100 will only cost $6.95. Peapod accepts orders of $60 and over.

PodPass is now G.O. Pass, costing only $12.95/month or $119/year. You get free delivery on all orders over $100, although there is an extra charge for orders less than $100.

Stop & Shop offers a large variety of groceries and can deliver your goods on the same day. Customers can also select a time for delivery from as early as 6 AM to as late as 10 PM.

Stop & Shop Delivery is great because you will get free delivery within the first 60 days. Peapod Digital Labs is staying in Chicago. Overall, Peapod is one of the best Instacart alternatives for consumers on the East Coast.

6. Shipt

Shipt is a leading platform that delivers groceries the same day to stores like Instacart. Target Inc. bought Shipt for $550 million in Dec 2017. Target Inc. acquired Shipt for $550 million. 

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Shipt is probably the main competitor of Instacart. It has excellent coverage in the United States. Shipt is primarily a subscription-based service, but it is very easy to use.

Shipt generated around $1.5 billion in revenue every year before its acquisition by Target. Shipt has helped Target increase its same-day delivery services by 273% in 2020.

Shipt is a great alternative to Instacart because it offers both personal shopping and free delivery on groceries orders over $35. Instacart and Shipt have partnered to expand their services. 

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Shipt is similar to Instacart. It offers access to over 130 retailers via its app. Shipt allows you to order groceries from reputable retailers like Target and Costco. Shipt provides same-day delivery on groceries.

In February 2020, Shipt partnered with GNC to offer healthy and beauty products that can be delivered on the same day. Shipt delivers to 6,000 stores nationwide. In the past few days, Instacart has partnered with Family Dollar to deliver to 6,000 stores. 

Shipt is available to U.S. customers for $99 per year. Shippers can get free food delivery on orders that are over $35. Everything below will cost you $7. You can also purchase Shipt memberships, called Shipt Passes, to pay for individual Shipt orders. Passes cost around $8, and you can buy several of them to save money.

Purchasing a Shipt Pass costs $10 per month, but if you order as many as five Passes, the price drops to as low as $8 per Pass. Shipt and Instacart enable you to order goods from top-quality retailers. In terms of coverage, Instacart and Shipt are evenly matched. Shipt is the perfect Instacart alternative. It delivers grocery orders on the same day.

Shipt offers grocery delivery to more than 5,000 cities. It supports around 130 retail stores. Shipt is the closest competitor to Instacart in terms of service and retailers’ support. It is easy to use and offers excellent customer service. Shipt provides excellent customer service and an intuitive app for customers to use.

7. Grubhub

Grubhub is one of the oldest and best-known delivery services on this list. It started as a place where restaurants could post their menus and get delivery services from other places. 

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Grubhub listed restaurants to allow them to list their delivery services, and then the restaurants would manage the delivery themselves. In 2015, after DoorDash and Uber Eat put pressure on their business, Grubhub entered the food delivery market. It also expanded its delivery service into grocery delivery.

And if that wasn’t enough, it has recently expanded to include grocery delivery. In early 2022, Grubhub expanded its partnership with 7-Eleven to offer customers convenient delivery from more than 3,000 stores across the country. In addition, it added grocery delivery services to its offerings.

Grubhub is now partnering with Russian grocery delivery service Buyk to deliver groceries in New York and Chicago. But, after sanctions against Russia, Buyk was forced to end their partnership. 

Buyk and Grubhub partnered in May 2016, but due to sanctions imposed by the Trump administration, the company was forced to end the partnership and close down the Shop.

Grubhub went public in 2014, raising a whopping $192.5 million on top of the $84.1 million it received in equity funding. Grubhub decided to sell itself to takeaway giant Just Eat Takeaway to remain competitive. The company will receive $7.3 billion from the deal in June 2020.

Grubhub is the largest U.S. food delivery service, having a market share of 14 percent. Just Eat Takeaway said that food deliveries to consumers would total $2.67 billion by the end of 2021. That includes Grubhub.

Grubhub is a food delivery company that employs 6,000 people, including over 2 million chefs. Grubhub has around 320,000 restaurants as partners and delivers to more than 4,000 cities across the United States. The Grubhub app was downloaded more than 3.5 million times last year alone.

8. Cornershop

Cornershop is a company that offers on-demand food and grocery delivery services. Uber bought more than 50% of the company in a stock deal. Uber bought more than half of the company, mostly through an all-stock transaction in January of this year. 

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In July of that year, Uber acquired the rest of the company. In July 2020, Uber bought the remaining 47% of Cornershop. Uber Eats has invested in Cornershop, allowing the company to capitalize on the growing demand for food deliveries.

Instacart sued Cornershop on July 16, 2020, accusing them of stealing thousands of its images and the rights to use them. Instacart has spent nearly $17 million since 2015 creating and maintaining its catalog.

Cornershop is one of the newest players in the industry, but it threatens Instacart on several levels. With Uber’s experience and network, the company can compete with various other companies in the industry. 

Cornershop offered Uber Eats an entry into the food delivery market, similar to its existing service. Cornershop is a startup company that focuses mainly on the world outside of the U.S. and is looking to establish itself as a big player in the industry.

Cornershop may be a young company, but it is already Instacart’s archnemesis. Cornershop could easily seize Instacart’s market share and profits with Uber Eats’ experience and large network.

9. Google Shopping

Google Shopping is a service that allows shoppers to search for and buy online products. Users can compare prices and find the best deal for a product on different shopping sites and retailers. 

Users can search for items on Google Shopping and compare prices offered by online shopping sites, vendors, and stores. Google Shopping gives the tech giant a competitive advantage by offering a search engine to help people find products for their needs.

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Google searches for curbside pickup jumped by 9,900% between March 2020 and March 2021. Google Shopping uses search results from Google Search combined with Google Maps to help consumers shop better.

Google announced in April 2021 that it is adding shopping information to stores’ profiles on Google Maps and Search. Google will give e-grocers information about stores and brands they sell online, including nearly 20 brands in more than 2,250 stores nationwide.

Google has signed a multi-year deal with retail giant Albertsons to bring interactive market maps, e-commerce tools that help customers find stores that sell their products, and Predictive Lists that allow consumers to build their grocery lists. 

Google Shopping will have a competitive advantage over competing e-commerce retailers like Instacart.

10. FreshDirect

FreshDirect is a US-based service that delivers groceries online. FreshDirect has more than 3000 employees and generates more than $600 million in revenue annually. 

FreshDirect was founded in New York City, but it has since expanded to New Jersey and Pennsylvania. FreshDirect also delivers food to New York City and other big cities like Philadelphia and Washington, D.C.

FreshDirect lets you buy groceries and ready-made meals, delivering the products quickly. Food is delivered fresh from a truck, as with Instacart.

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Ahold Delhaize and Centerbridge Partners bought FreshDirect in Jan 2021, giving them control of 80% and 20% of the online grocery store. FreshDirect will launch an Express Delivery Service in 2020 to deliver food quickly to customers. 

Customers can pay extra for meals delivered quickly (60 minutes). These delivery options may entice customers to change their shopping habits with Instacart. You don’t need a membership to shop on FreshDirect, but you will have to pay a delivery fee to get your food.

However, you can skip the delivery fee by signing up for a delivery pass, which starts at just $6.50/month. The midweek delivery pass, free delivery from Tuesday to Thursday, is cheaper. Ahold Delhaize plans to build micro-fulfillment centers (MFCs) for FreshDirect on the East Coast. 

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These MFCs will expand FreshDirect’s market presence nationwide and increase its competitive edge over Instacart. FreshDirect uses lean manufacturing practices to get your orders out quickly.

FreshDirect is a direct competitor of Instacart for ready-made meals, and its delivery pass options offer more flexibility than Instacart Express, with a minimum order of only $30.

11. Dumpling

Dumpling is a startup that provides grocery delivery services that allow shoppers to start their businesses by paying a small monthly fee to store their orders online and then pick them up at grocery stores. 

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Dumpling gives shoppers all the resources they need to move away from Instacart and start their businesses. Shoppers pay a one-time $10 setup fee and then continue to pay $39 a month for their account and the $5 per order fee for booked jobs. 

Dumpling order volume spiked 200% in the year 2016–2017. The company also raised $6.5 million in Series A funding to expand its services and meet the growing demand. 

The company raised $6 million in its Series A funding round to expand its capabilities and meet the increasing demand. Dumpling works with shoppers to provide a convenient and pleasant experience for all shoppers. 

Dumpling’s services are similar to those of Uber or Lyft. However, it works with more than 200 grocery stores and provides customers with a shared shopping experience. Dumpling allows service providers to pick up orders from different grocery stores and deliver them quickly. 

Dumpling believes that creating a stronger connection between online and real-life shoppers helps them achieve their goals. Dumpling offers shoppers a great alternative to Instacart.

More than 2,000 personal shoppers in 50 states have joined Dumpling and started their online business. This model allows shoppers to earn around $33 per order, which is three times more than what Instacart users earn. Instacart shoppers are only charged $7-$10 per order.

Dumpling lets shoppers choose from a huge selection of personal shoppers, and unlike Instacart, they can select a shopper from the same retailer again and again. Dumpling is the best alternative to Instacart for shopping online.

12. Thrive Market

Thrive Market is an online grocery store specializing in organic and natural products. Thrive Market specializes in healthy, organic, and non-GMO groceries. Thrive Market members can enjoy discounts of up to 25% to 50%. They pay a subscription fee of $60 each year or $10 every month to access their benefits.

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Thrive Market is an online grocery retailer offering customers a free membership. Through this, members can shop for healthy and organic groceries. The company specializes in providing healthy and organic food products. 

Thrive Market was founded in 2014 to streamline the supply chain for its products. It offers free shipping on orders above $49 for customers who sign up for its membership program. 

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Thrive Market aims to eliminate the markups that traditional grocery stores apply. Thrive Market has a membership model that allows consumers to enjoy discounts and other benefits.

Thrive Market is very competitive because of its huge inventory. It offers a wide variety of healthy and organic foods. Thrive Market sells over 6,000 healthy products in hundreds of different categories. 

Thrive Market members get free shipping on orders of $49 or more, which is more than the $35 limit. It is a better alternative to Instacart to purchase healthy, organic food through Thrive Market.

Some of these healthy food items are organic and non-GMO. Thrive Market focuses on selling healthy, organic, and non-GMO products. It also tries hard to earn customers through ethical business practices. Thrive Market allows customers to sort and search through more than 70 lifestyle and diet choices. 

Thrive Market offers free delivery for its customers’ products. It is a good alternative to Instacart for shopping online.

Final Words on Instacart Competitors and Alternatives Analysis

In conclusion, it is clear that Instacart has many competitors in the grocery delivery market. While some may argue that this is a negative thing, it provides consumers with more choice and competition, ultimately benefiting everyone. So if you’re looking for an affordable, convenient, and reliable grocery delivery service, check out Instacart’s competitors.

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