The move comes as grocery retailers continue to face challenges with online orders, where inaccurate stock information can lead to missing items, substitutions and cancellations. Instacart said better access to real-time shelf data could help workers complete orders more efficiently while improving the shopping experience.
Instacart already partners with more than 1,400 retailers across the United States, including Costco, Sam’s Club and Aldi. The company said Arpalus’ technology will be connected to the tools used by workers preparing online grocery orders, giving them updated information through their smartphones.
According to Instacart, the system developed by Arpalus can identify shelf item availability with 95% accuracy. The company said the technology will provide a more complete view of products available inside stores and help improve inventory information used by retailers, shoppers and brands.
Instacart Targets Inventory Problems Affecting Online Grocery Orders
Online grocery shopping often depends on accurate store inventory information, but missing data can create problems during order fulfillment. Instacart said undetected out-of-stock items and gaps in product catalogs remain among the main causes of customer frustration.
“The accuracy of online orders is only as good as the underlying inventory data – undetected out-of-stocks and catalog gaps are among the most persistent sources of customer dissatisfaction in online grocery, driving substitutions, cancellations, and eroded trust,” Instacart said.
The company said the Arpalus acquisition will improve its ability to provide retailers with more detailed information about products available on shelves. According to Instacart, the technology will support more accurate fulfillment and help create ai-powered shopping experiences based on better inventory data.
Cameras and Smart Carts Will Capture Shelf Information
Arpalus’ software uses artificial intelligence to record images of products on store shelves and convert them into real-time inventory information. The data will be sent back to workers through the smartphone app they already use when completing online orders.
Instacart said the technology will also be integrated into its Caper Cart smart carts. The carts’ cameras will capture images of products as shoppers move through store aisles, allowing the system to collect additional information about shelf availability.
The company said this approach will give retailers a clearer picture of product levels inside stores and provide additional in-store capabilities connected to inventory management.
Acquisition Expands Instacart’s Retail Technology Tools
Instacart said acquiring Arpalus strengthens its ability to support consumers, shoppers, retailers and brands with improved product availability data. The company described accurate shelf information as a key element for improving online grocery services.
According to Instacart, better inventory information could help workers complete orders more efficiently while allowing stores and suppliers to benefit from more precise product data. The company also said improved efficiency could increase workers’ potential income.
The acquisition adds another artificial intelligence-based tool to Instacart’s retail technology platform, with the goal of improving how grocery stores track products and manage online orders.
