We saw this week a flood of announcements from Instacart retailers.
Speaker AKohl's in Australia to small regional grocers like Bowman's Market and Queen's Price Chopper are reportedly rolling out its caper cart.
Speaker ABut the announcement I particularly want to key in on today has to do with its carrot tags.
Speaker AAccording to an Instagram press release, Aldi Gelson's and Hornbachers are now leveraging Instacart's carrot tags.
Speaker AAnd for those keeping score at home, or for those who may be listening to Omnitalk for the first time, Carrot tags is the name of Instacart software solution that seamlessly integrates into a retailer's electronic shelf labels or ESL hardware to enable incremental functionality, including pick to light capabilities.
Speaker AChris, I have to know, what do you make of this bevy of announcements from Instacart this week?
Speaker BYes, and I think I would call it a deluge.
Speaker BIt's a deluge of announcements overall.
Speaker ADonegals and deluge.
Speaker AThe theme of deluge.
Speaker BYes, great alliteration too.
Speaker BAnd well, whenever I see a deluge of announcements like this, I'm always a little skeptical.
Speaker BRight.
Speaker BAnd because you have to ask yourself, like, why so many, like why is Instacart trying to position itself in this manner?
Speaker BThat's the question that came to my head first and foremost.
Speaker BAnd to that question, I honestly have no idea.
Speaker BBut something is likely driving it and I think it's a good question to ask.
Speaker BNow to the two announcements in question, smart carts and carrot tags.
Speaker BI think first of all, there's no surprise coming out of Grocery Shop one month ago to see the interest in the smart cart, right?
Speaker BAnd these implementations still seem very small scale because I couldn't find anything, but I couldn't find any references to the store counts that are, you know, piloting these smart cards, which is typical of the caper card announcements if you look back in history.
Speaker BBut now the carrot tags and this one I think is really interesting.
Speaker BOn the one hand, I love that you're seeing more grocers find value in electronic shelf labels, but I do take some umbrage with what Instacart is calling their API call to that tag as a carrot tag because it's not a tag.
Speaker BSo in a way, you know, it's not.
Speaker BIt's just a software that works with the tag.
Speaker BSo in a way it feels like Instacart is trying to take credit for ESL expansions across the industry.
Speaker AOh my God.
Speaker BIn reality, it's just providing the software for those that want to use their software to coordinate picking with their esl.
Speaker BSo maybe a small nitpick and maybe, but I think calling something a tag when it really isn't a tag is a little bit misleading.
Speaker BAnd that's.
Speaker AI was.
Speaker BYou think the same thing?
Speaker BLike, I think, and I think when you read the headline of the press release, new grocers adopting Instacarts carrot tags, that if you're not really, you know, skilled or fluent in how this stuff works, that's what you're going to think.
Speaker BSo that's why I don't like it.
Speaker BI think I gotta call it out.
Speaker AYeah, I totally agree.
Speaker AWhen I read this headline, I was like, these ESLs, in the majority of cases, one of the main reasons that grocers are adopting them is because they come equipped with pick to light functionality.
Speaker ALike that's the selling point and you don't want to be limited for that pick to light just for Instacart shoppers or just for, you know, your consumers in store, like, it's, it's gotta be available to everybody.
Speaker ASo yes, Instacart you are tying into that.
Speaker AAnd if I'm an Instacart shopper using a Capricart walking through, or I'm a consumer using a Capricorn walking through, like, yes, they're talking to each other, that's great.
Speaker AHowever, that's not the only way to shop this.
Speaker AAnd I totally agree.
Speaker AI was like, this is a lot of, a lot of news coming out of Instacart taking credit for a lot of things that I'm not quite sure that they should, I don't know that they should be owning.
Speaker ABut it does show that more in, more grocers are getting on board with Instacart.
Speaker AAnd that's the thing.
Speaker ARegardless of what the arrangement looks like.
Speaker AYes, that's the key thing to point out here.
Speaker AThat became very apparent to me for sure during grocery shop.
Speaker AAnd I think you too is like, how, how much groceries are relying on Instacart and the potential that Instacart has to further penetrate.
Speaker APenetrate grocery in ways that I didn't, I, you know, I have to admit I didn't, I didn't think grocers would be all in.
Speaker AOnto this level.
Speaker ABut, but yes, the carrot tags, let's go easy, easy there.
Speaker BI mean, I think it just needs a rebrand, honestly, like if you're going to keep doing this, you got to rebrand.
Speaker BYou can't call it a tag.
Speaker BLike, you know, even, even, even, even the release says, like, Schnooks has our carrot tags.
Speaker BThey don't have your tags.
Speaker BThey have the user API call.
Speaker BLike, that's just a different thing.
Speaker BSo I don't know, maybe they'll rebrand it.
Speaker BMaybe they listen to our show and they'll be like, yeah, Chris and Anne, they know what they're talking about.
Speaker BWe should change their names.
Speaker BDon't you?
Speaker BDon't question.
Speaker ADon't you question, though.
Speaker ALike, I wonder, as an instacart, like, sales person, like, are you even going in there and can you go into a grocer and are you leading with, like, carrot tags?
Speaker AI want our carrot tags.
Speaker BOr do you want our pick to light functionality?
Speaker BRight.
Speaker AI know, right?
Speaker BYeah.
Speaker AI just have a hard time believing that.