(Image source: Instacart)
E-commerce grocery provider, Instacart, has announced the acquisition of the smart cart maker and checkout technology company Caper AI in a $350 million deal.
“As we look ahead, we’re focused on creating even more ways for retailers to develop unified commerce offerings that help address consumer needs across both online and in-store shopping,” according to Instacart CEO Fidji Simo.
Thanks to the AI-powered cameras, weight sensors, and touch-enabled screens, Caper offers an affordable contact-free self-checkout solution, together with basket-based recommendations. Their smart carts were the first to be approved by the federal government in selling weight-and-measure-based products accurately. The company is also going to add smart location sensors to guide customers to specific items in store.
This acquisition is a win-win solution for both Instacart and Caper AI, which will benefit both buyers and retailers. By integrating the technology into its app and its retail partners’ e-commerce sites, Instacart succeeds in creating a unique experience of combining offline and online shopping experiences. Customers and Instacart’s workers will process orders faster and easier while retailers can have the average basket sizes increase.
The data of buyers’ purchases also help significantly in customizing suggested deals for them and providing visibility on consumers’ shopping journey. Caper’s workers and their hardware expertise are other valuable additions to Instacart’s workforce, product and technology knowledge. On the other hand, the acquisition allows Caper to be more exposed to the public and expand its business in the future.
As for Instacart, this is their fifth acquisition in total and the second one this year, after its purchase of catering software company FoodStorm. The company is striving to boost its e-commerce with technological solutions throughout purchases.