Toast (NYSE: TOST) and Instacart (NASDAQ: CART) announced a strategic partnership that will allow Toast’s retail customers to onboard and sync their brick‑and‑mortar inventory to the Instacart Marketplace, while Toast’s restaurant clients will gain a just‑in‑time procurement solution for essential supplies through Instacart Business. The collaboration, announced on February 11, 2026, is designed to streamline operations for both retailers and restaurants across the United States.
The partnership will launch a pilot program in early 2026 that will involve a limited set of Toast’s retail partners and restaurants. During the pilot, selected retailers will be able to push inventory data directly from Toast’s point‑of‑sale system to Instacart’s marketplace, enabling real‑time visibility and automated replenishment. Restaurants participating in the pilot will be able to place orders for produce, dairy, and other staples through Instacart Business, receiving deliveries on the same day or within a few hours, depending on location. The pilot will test the integration’s scalability and identify any operational gaps before a full rollout later in 2026.
Financially, the partnership is expected to open new revenue channels for both companies. For Toast, the ability to offer inventory‑sync and delivery services expands its platform’s value proposition beyond core restaurant operations, potentially generating subscription or transaction fees from retail customers. For Instacart, access to Toast’s extensive network of restaurants and retailers increases order volume and strengthens its B2B delivery footprint. While specific financial projections are not yet disclosed, management has indicated that the partnership will enhance operational efficiency and create incremental revenue opportunities for both parties.
Steve Fredette, Co‑Founder and President of Toast, said the collaboration “will help our retail and restaurant customers tap into North America’s largest grocery delivery marketplaces—right from the Toast platform—giving them a powerful way to grow revenue streams and manage their businesses more efficiently.” Ryan Hamburger, Vice President of Commercial Partnerships at Instacart, added that the partnership “brings together two platforms that play complementary roles in how retailers and restaurants operate and grow,” and that it will “provide Toast restaurants with a fast and flexible way to source produce and other essentials to meet last‑minute needs.”
The partnership comes at a time when both companies face competitive pressures. Toast’s stock has fallen 26% over the past month, reflecting broader sector headwinds, while Instacart’s shares have declined 15.9% in the same period. By integrating Instacart’s extensive delivery network with Toast’s all‑in‑one operating system, the collaboration positions both firms to better compete against other restaurant‑tech providers and grocery‑delivery services, potentially improving market share and customer retention. The partnership also aligns with Toast’s strategy of expanding into new addressable markets and differentiating its platform, and with Instacart’s goal of deepening its reach into the restaurant supply chain and strengthening its B2B delivery market.
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