Introducing Self-Serve Ad Solutions for CPG Brands on DoorDash to Reach New Customers During Everyday Shopping Occasions

Rhea-AI Summary

On October 17, 2022, DoorDash (NYSE: DASH) announced new self-serve advertising solutions aimed at Consumer Packaged Goods (CPG) brands. These tools allow CPGs to engage with over 25 million monthly active customers in North America through various advertising methods, including Sponsored Product ads and partnerships with platforms like Pacvue and Flywheel. DoorDash aims to enhance local commerce by expanding self-serve Sponsored Listings to Canada and Australia, contributing to significant revenue growth for merchants, with over $3 billion generated via ads within a year.

Positive

• New self-serve ad solutions enhance marketing options for CPG brands.
• Self-Serve Ads Manager allows CPGs to directly manage and measure their advertising efforts.
• Expansion of self-serve Sponsored Listings into Canada and Australia could increase visibility for local merchants.
• DoorDash generated over $3 billion in sales for merchants through ads in just one year.

Negative

• None.

SAN FRANCISCO, Oct. 17, 2022 /PRNewswire/ -- Today, DoorDash (NYSE: DASH) is introducing new self-serve ad solutions designed to give CPGs more flexibility and options to reach nearly every household in America. We've built the largest local commerce platform in North America, and our goal is to help CPGs tap into DoorDash's 25M+ monthly active customers across our broad network of 75,000+ convenience, grocery, and retail stores, at the point of sale to drive incremental purchases. New self-serve ad products include CPG ads manager, third-party platform partnerships with Pacvue and Flywheel, and API integrations, with self-serve Sponsored Listings expanding to Canada and Australia.

"As we continue to build the ad platform for local, our goal is to connect every store, and brand within each store to every local consumer," said Toby Espinosa, Vice President, DoorDash Ads. "Ads on DoorDash continue to be a trusted way for consumers to discover new businesses and products that are relevant to them for every shopping occasion. With today's news, we're excited to bring digital ads to brands of all sizes with innovative and flexible solutions."

Self-Serve Ads Manager for CPGs
Our self-serve platform for DoorDash Ads Manager empowers CPGs to directly activate, manage, and measure Sponsored Product ads on DoorDash. Sponsored Products are item-level placements throughout the Convenience and Grocery marketplace that connect DoorDash consumers with the brands they love. We're focused on driving incremental revenue for our partners, and on average see that more than 50% of orders generated from ads on DoorDash come from new customers.* This was true for Clorox, who ran a recent campaign with us and saw that half of the customers who ordered products from their ads campaign did so for the first time on DoorDash.**

Third-Party Platform Management with Pacvue and Flywheel
As we build a collaborative and flexible ad platform, CPG brands can also access DoorDash ads through third-party platforms Pacvue—a leading enterprise software solution for brands and DoorDash's first-to-market partner, and Flywheel—a white-glove, full-service digital commerce agency.

"We were excited to be one of the first brands to access DoorDash Ads through Pacvue. The brands we promoted experienced strong sales lift compared to prior months. We'll continue to tap into DoorDash's platform to reach customers at the point of sale to drive incremental purchases." - Jennifer Flemming, Performance Marketing Manager, Reckitt Benckiser

API Integration for In-house Management
We're excited to introduce an option for CPGs to build on DoorDash's API and manage in-house. PepsiCo is one of our first partners to integrate our API into its own proprietary Ads Management Platform.

Multiple Touchpoints for the DoorDash CPG Ads Platform
CPG partners can access and manage DoorDash ads however they choose as they market their products to new and loyal customers. We announced last year a suite of ad products including Banners, Promotions, and Sponsored Listings, and with the introduction of Sponsored Products, we are now enabling CPGs to boost their brands on DoorDash's most visible surfaces:

• Collections help consumers discover products with ads appearing on curated aisles across multiple stores.
• With Categories, brands can boost products at the top of category results like snacks or drinks as consumers are browsing.
• Through Search, brands can capture high-intent consumers searching for products by appearing at the top of DoorDash's search results.

Collections, Categories, and Search allow brands to connect with consumers at every point across their path to purchase, providing the opportunity for both incremental sales and category share growth.

Expanding Self-serve Sponsored Listings Globally
In every market, our goal remains the same: to grow and empower local economies by providing access to opportunity. Today, we're expanding self-serve Sponsored Listings to Canada and Australia, helping local merchants increase their visibility, generate awareness, and find their next customer. On average, global small businesses advertising on DoorDash see a 10% increase in sales.*** Merchants such as Ono Poke in Canada and Seoul Bistro in Australia have seen incremental growth since they began leveraging DoorDash ads.

We work with all of the top 10 CPG manufacturers in the US, and in just one year, we've generated more than $3B in sales for merchants through ads and promotions.**** For consumers, ads on DoorDash are a trusted way to discover businesses and products that are relevant for every occasion. Ads are transparent in-app and will always be a seamlessly integrated shopping experience for consumers.

Brands can learn more about DoorDash's CPG Ads Manager here and Sponsored Listings here.

*Average from January 2022 to June 2022
** May 2-16, 2022
***Q2 2022
****From July 2021 to June 2022

About DoorDash
DoorDash (NYSE: DASH) is a technology company that connects consumers with their favorite local businesses in 27 countries across the globe. Founded in 2013, DoorDash builds products and services to help businesses innovate, grow, and reach more customers. DoorDash is building infrastructure for local commerce, enabling merchants to thrive in the convenience economy, giving consumers access to more of their communities, and providing work that empowers. With DoorDash, there is a neighborhood of good in every order.

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SOURCE DoorDash

FAQ

What is the new advertising solution announced by DoorDash?

DoorDash introduced self-serve advertising solutions for CPG brands to help them reach consumers effectively.

When was DoorDash's new advertising platform launched?

The new advertising platform was announced on October 17, 2022.

How does DoorDash's self-serve Ads Manager benefit CPG brands?

The Ads Manager enables CPG brands to activate, manage, and measure their Sponsored Product ads directly.

What results have brands seen when using DoorDash ads?

Brands have experienced strong sales lifts, with over 50% of orders coming from new customers.

How much revenue has DoorDash generated for merchants through advertising?

DoorDash generated more than $3 billion in sales for merchants from ads within a year.