Instacart Becomes the First Online Grocery Platform to Launch a SNAP Eligibility Screener to Educate Consumers and Streamline Access to Benefits Nationwide

Rhea-AI Summary

Instacart (NASDAQ: CART) has launched the first-ever SNAP eligibility screener on an online grocery platform, powered by Advocatia Solutions. The tool allows users to anonymously check SNAP benefit eligibility in under 60 seconds and access state enrollment resources. Instacart currently connects over 98% of households with online SNAP-accepting retailers, including 95% of food desert areas, through nearly 180 retail banners and 30,000+ stores nationwide.

The initiative aims to address food insecurity affecting more than one in eight Americans. Eligible SNAP households can receive approximately $350 monthly in food assistance. The company offers SNAP recipients a 50% discounted Instacart+ membership with $0 delivery fees on orders over $35, and has helped customers save over $1.1 billion through deals and discounts in the past year.

Positive

• First online grocery platform to offer SNAP eligibility screening tool
• Extensive coverage reaching 98% of SNAP households and 95% of food desert areas
• Partnership with 180 retail banners and 30,000+ stores for SNAP acceptance
• 50% discount on Instacart+ membership for SNAP recipients
• Generated $1.1 billion in customer savings through deals and discounts last year

Negative

• None.

Insights

Market Research Analyst

The launch of Instacart's SNAP eligibility screener represents a significant strategic expansion in the $122 billion food assistance market. With 42 million Americans receiving SNAP benefits, this initiative positions Instacart to capture a larger share of this substantial market segment.

The tool addresses a critical market inefficiency where eligible families leave benefits unused. By streamlining access to SNAP benefits and offering discounted Instacart+ memberships, the company is building a strong moat in the food assistance space. The 98% household coverage and partnerships with major retailers create significant competitive advantages.

Key revenue drivers include increased order frequency from SNAP beneficiaries and potential growth in Instacart+ subscriptions. The initiative also strengthens relationships with healthcare providers and government stakeholders, opening additional revenue streams through institutional partnerships.

Healthcare Policy Analyst

This initiative represents a significant advancement in addressing social determinants of health through technology. The partnership with the National Association of Community Health Centers, serving 32.5 million patients, creates a powerful distribution channel for reaching food-insecure populations.

The integration of healthcare providers into the SNAP screening process could reduce administrative barriers and improve health outcomes for vulnerable populations. The tool's ability to provide immediate eligibility information and connect users with state resources aligns with broader healthcare policy goals of improving access to nutrition assistance programs.

New tool designed to help reduce barriers to access, expands the SNAP resources available on Instacart

SAN FRANCISCO, Nov. 21, 2024 /PRNewswire/ -- Instacart (NASDAQ: CART), the leading online grocery delivery platform in North America, today announced a new Supplemental Nutrition Access Program (SNAP) eligibility screener available on Instacart's EBT SNAP information page. The new tool, powered by Advocatia Solutions, Inc., lets people nationwide quickly and anonymously check whether they may be eligible for SNAP benefits in less than 60 seconds and easily find relevant state resources to streamline enrollment. The launch marks the first time an online grocery platform has offered a SNAP screening tool to consumers, making it easier than ever for people to check their eligibility and immediately find the resources they need to enroll.

Millions of people across the country have used their SNAP benefits to shop from the nearly 180 trusted national, regional and local retail banners and more than 30,000 stores that accept SNAP online through Instacart. From local favorites like Northgate Gonzalez Market in Southern California and regional grocers like Publix in the Southeast and Schnucks in the Midwest, to national brands like Costco, Kroger and Sprouts, Instacart offers the best selection of SNAP retailers available online, anywhere. Today, Instacart can connect more than 98% of households – including 95% of those in food deserts – with trusted grocers online.

Each year, families who are eligible for SNAP leave government aid for essentials like groceries unused, and eligible households may receive on average $350 per month in financial assistance for food, depending on factors such as household size and income.¹ Research by No Kid Hungry, the University of Kentucky, and Instacart has shown that online grocery shopping helps low-income families, including SNAP households, stretch their food budgets, save time, reduce stress, and purchase more produce without increasing their total grocery spend.² In 2023, Instacart became the first online grocery marketplace to expand online SNAP acceptance to all 50 states and Washington, D.C.

"Everyone deserves access to fresh, nutritious food, and we're committed to using the power of Instacart to break down barriers that too often stand in the way," said Dani Dudeck, Chief Corporate Affairs Officer at Instacart. "With food insecurity at an all-time high in the U.S., affecting more than one in every eight people, it's more important than ever to raise awareness of critical assistance programs like SNAP that can help families meet their needs. By introducing our SNAP eligibility screener, we're making it simpler for families to find out if they qualify and take the first steps toward putting more food on their tables."

Through Instacart Health, the company's initiative to increase access to nutritious food, make healthy choices easier and expand the role that food can play in improving health outcomes, healthcare leaders like the National Association of Community Health Centers (NACHC) can now recommend and use Instacart's SNAP eligibility tool to support patients who have been identified as nutrition insecure.

"As the nation's largest primary care network serving over 32.5 million or 1 in 10 people nationwide, Community Health Centers reach beyond the walls of the exam room to foster health and wellness by addressing the social drivers of health, especially food insecurity," said Kyu Rhee, MD, MPP, NACHC President and CEO. "More than 775,000 health center patients screened in 2023 reported experiencing food insecurity and more than 1.2 million patients screened reported experiencing financial strain. We believe it is essential to advance innovative technology solutions or 'TechQuity' for the people we serve.³ Instacart's new SNAP eligibility tool will further advance 'TechQuity' by helping health center clinicians and patients connect to actionable state resources to combat food insecurity. Access to nutritious food is essential and should transcend geographic and socioeconomic barriers, and we're proud to partner with Instacart through its Health initiative to help ensure underserved communities can access this impactful tool."

"D.C. is committed to promoting health and wellness while addressing the social determinants of health," said Councilmember Christina Henderson of the District of Columbia and Chairperson of the Council's Committee on Health. "This new tool introduced by Instacart is not only a valuable resource for students, seniors, and low-income families who often face barriers that can make getting nutritious food a challenge, it's designed to help people across the country gain access to critical information about SNAP benefits as quickly as possible. By streamlining the eligibility and enrollment process, Instacart is helping ensure that more individuals and families have access to the fresh, healthy food they need."

Instacart first launched online SNAP acceptance in 2020. As a retail enablement platform, the company spearheaded the retailer onboarding process with the U.S. Department of Agriculture (USDA) Food and Nutrition Service (FNS) and today offers online SNAP acceptance nationwide, reaching nearly 98% of households enrolled in SNAP. Instacart offers SNAP recipients a discounted Instacart+ membership (50% off) with $0 delivery fees in as fast as 30-minutes on all orders over $35. Instacart is dedicated to offering the most affordable experience possible, and alongside online SNAP acceptance, the company has built in-app features like personalized weekly flyers, which help all Instacart customers save on their weekly grocery orders. In the past year, Instacart has helped customers save more than $1.1 billion through the Instacart Marketplace with deals, discounts, and loyalty savings.

About Instacart
Instacart, the leading grocery technology company in North America, works with grocers and retailers to transform how people shop. The company partners with more than 1,500 national, regional, and local retail banners to facilitate online shopping, delivery and pickup services from more than 85,000 stores across North America on the Instacart Marketplace. Instacart makes it possible for millions of people to get the groceries they need from the retailers they love, and for approximately 600,000 Instacart shoppers to earn by picking, packing and delivering orders on their own flexible schedule. The Instacart Platform offers retailers a suite of enterprise-grade technology products and services to power their e-commerce experiences, fulfill orders, digitize brick-and-mortar stores, provide advertising services, and glean insights. With Instacart Ads, thousands of CPG brands – from category leaders to emerging brands – partner with the company to connect directly with consumers online, right at the point of purchase. With Instacart Health, the company is providing tools to increase nutrition security, make healthy choices easier for consumers, and expand the role that food can play in improving health outcomes. For more information, visit www.instacart.com/company, and to start shopping, visit www.instacart.com. Maplebear Inc. is the registered corporate name of Instacart.

¹ U.S. Department of Agriculture, Food and Nutrition Service. (2024, October). Supplemental Nutrition Assistance Program (SNAP) monthly data – Fiscal year 2024. Retrieved from https://fns-prod.azureedge.us/sites/default/files/resource-files/snap-4fymonthly-10.pdf
² No Kid Hungry. (2022, September). Online grocery shopping and SNAP: A study on access and opportunity. Retrieved from https://www.nokidhungry.org/sites/default/files/2022-09/NKH-Instacart-Online-Shopping-Micro-Report-v2.pdf
³ Rhee, K., Dankwa-Mullan, I., Brennan, V., & Clark, C. (2021). "What is TechQuity?" Journal of Health Care for the Poor and Underserved, vol. 32, no. 2, May Supplement. Johns Hopkins University Press. Accessed November 14, 2024. Available at https://muse.jhu.edu/article/789652 and https://pmc.ncbi.nlm.nih.gov/articles/PMC8363781/.

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SOURCE Maplebear Inc. dba Instacart

FAQ

What is Instacart's (CART) new SNAP eligibility screening tool?

Instacart's SNAP eligibility screener is a tool powered by Advocatia Solutions that allows users to anonymously check their SNAP benefit eligibility in under 60 seconds and access state enrollment resources.

How many stores accept SNAP through Instacart (CART)?

Instacart partners with nearly 180 retail banners and more than 30,000 stores nationwide that accept SNAP benefits online.

What discounts does Instacart (CART) offer SNAP recipients?

Instacart offers SNAP recipients a 50% discount on Instacart+ membership with $0 delivery fees on orders over $35 delivered in as fast as 30 minutes.

What percentage of households can access Instacart's (CART) SNAP services?

Instacart connects more than 98% of households, including 95% of those in food deserts, with trusted grocers that accept SNAP online.