DoorDash's $17B Instacart Deal Would Unite Two Memberships

advertising bundling doordash ftc instacart memberships mergers & acquisitions pricing Nov 02, 2026

The proposed acquisition would let DashPass and Instacart+ members pay one fee instead of two while combining two major delivery, retail technology and advertising businesses. Both companies are also part of a separate FTC inquiry into pricing practices.

DoorDash has agreed to buy Instacart for approximately $17 billion, a deal that could eventually let customers use both delivery services without paying two membership fees. It would also bring together companies with extensive information about what people buy, how often they order and how they respond to advertising.

Announced October 29, the agreement values Instacart at $65 per share, with at least 75% of the purchase price paid in cash. The companies expect the transaction to close in late 2027 or the first half of 2028, assuming they secure the necessary shareholder and regulatory approvals.

Two Memberships, One Fee

DoorDash says DashPass and Instacart+ members would eventually pay one membership fee instead of two. The company estimates that eliminating overlapping payments could save consumers about $100 million a year, although neither company has announced the price or specific benefits of the future arrangement. For now, nothing changes for subscribers.

There's a business calculation behind that promise. DoorDash could give up some overlapping membership revenue, but it might gain more orders from customers who begin using both services. A household that regularly orders restaurant meals, for example, might be more inclined to order groceries if those deliveries are covered by the same membership fee. Whether the additional purchases would offset the lost membership payments is still an open question.

Retail Technology and Advertising Are Part of the Deal

Instacart brings much more than a grocery delivery app. It provides technology that grocers use to run their online stores, manage orders and offer delivery. Its advertising business helps brands reach shoppers and measure whether promotions lead to purchases. DoorDash, meanwhile, brings a large delivery network and relationships with restaurants and other retailers. The companies believe they could help stores reach more customers while giving advertisers a larger audience.

DoorDash expects the acquisition to eventually produce $500 million or more in annual financial benefits, after investments. Management sees opportunities to sell more services across the two platforms, expand advertising and make deliveries more efficient. Those gains are projections, and the company expects to invest heavily before realizing them.

Customer information could play a significant role in those plans. Instacart already uses purchasing data to help advertisers reach shoppers and measure results, while DoorDash's broader network could extend those opportunities to more customers and businesses.

There are limits to consider, though. Instacart also provides technology for grocers' own online stores, where customer-data rights may be governed by separate agreements. Providing that technology doesn't automatically give Instacart unrestricted rights to the information collected through it. The companies haven't explained exactly how they would combine or share customer information after the acquisition, leaving retailers with questions about access to customer insights and control over their relationships with shoppers.

A Separate FTC Inquiry Raises Pricing Questions

The acquisition was announced one day after the Federal Trade Commission ordered nine companies to explain how they use personal information in pricing and compensation decisions. Both DoorDash and Instacart were included, along with Uber, Lyft, Walmart, Target and three airlines.

The FTC wants to understand whether companies use information such as browsing activity and loyalty-program participation to determine what individual customers pay. It is also examining how delivery and ride-sharing businesses use information about workers when setting compensation. The inquiry is an information-gathering study, not a finding of wrongdoing.

For Instacart, those questions follow an earlier controversy. Research published in December 2025 found that shoppers sometimes saw different prices for identical grocery items at the same store and time, with differences reaching 23%. Instacart subsequently ended those item-price tests, maintaining that the experiments were not based on individual shoppers' personal information or purchasing behavior.

The FTC pricing inquiry is separate from the antitrust review the acquisition will require. That review raises questions about whether bringing two major delivery platforms together could limit choices for customers and retailers, particularly in grocery delivery. DoorDash has promised that local grocers will remain free to work with competing delivery services after the deal closes, but regulators must still assess the potential effects on competition.

What Happens Next

DoorDash expects to keep Instacart's brand, app and technology products. The companies will continue operating independently until the transaction closes.

Customers may eventually have more delivery options for one membership fee, while retailers could gain access to a wider range of technology and services. Much will depend on the terms DoorDash offers, how the businesses are combined and whether regulators approve the acquisition.

INSIDER TAKE

One of the most valuable assets in this proposed acquisition may be what DoorDash and Instacart know about their customers. Between them, the companies have information about restaurant orders, grocery purchases, shopping habits, delivery preferences and advertising performance. Bringing those capabilities together could help them understand customers more fully, improve delivery operations and offer advertisers better ways to reach shoppers.

But what happens to all that information after the acquisition? Who gets access to it, how will it be used, and how much control will retailers retain over their own customer relationships?

Those questions are central to the business opportunities DoorDash is pursuing. They may also become important in the regulatory review, particularly if combining the companies gives them advantages that competing retailers and delivery platforms cannot easily match.

The timing adds another consideration. Just one day before the acquisition announcement, the FTC asked both companies to explain how they use personal information in pricing and worker compensation decisions. That inquiry is separate from the merger review and does not establish wrongdoing. Still, it highlights why the use of customer data deserves attention alongside the promised savings and efficiencies.

For subscription operators, there is a larger issue worth following. Better customer information can improve service, strengthen relationships and create new revenue opportunities. But as companies combine services and customer data, they also take on greater responsibility for how that information is used. The success of this acquisition may depend not only on what DoorDash and Instacart can do together, but on what regulators, retailers and customers are willing to accept.

Related Member Resources

DoorDash is proposing one membership fee for two services, but the customer savings are only part of the calculation. Operators also need to understand whether a combined offer produces lasting revenue and who controls customer information as the services come together.

Subscription Bundle Partner Selection Guide
This guide helps teams examine customer ownership, data sharing, billing responsibilities and control of the subscriber experience in a bundle arrangement. Those are important questions in the DoorDash–Instacart deal, particularly as the companies consider how to bring their customer relationships and services together.
Subscription Partner Bundles: How to Evaluate Revenue Quality
This strategy guide helps operators assess whether the revenue from a combined offer holds up after discounts, costs and subscriber behavior are considered. For a proposed arrangement like DashPass and Instacart+, it provides a way to think through whether additional usage and customer value can support the economics of one membership fee.