Groceries for Less than Shopping In-Store With Instacart

If you're a Canadian household trying to stretch your grocery budget, you might think shopping in-store is always the cheapest option. But what if I told you that ordering groceries online through Instacart could actually save you money—potentially a lot of it?

By strategically stacking discounts, cashback offers, and smart shopping tactics, you can get groceries delivered to your door for less than what you'd pay at the checkout counter. Here's exactly how to do it.

What Is Instacart?

Instacart is North America's leading grocery delivery and pickup service, connecting customers with personal shoppers who pick and deliver groceries from local stores. Available across Canada in major cities including Toronto, Vancouver, Calgary, Montreal, and Ottawa, Instacart partners with popular grocery chains like Loblaws, Costco, Real Canadian Superstore, Metro, Sobeys, and many more.

Instead of driving to the store, browsing aisles, and waiting in checkout lines, you simply select items through the Instacart app or website, and a personal shopper handles the rest—delivering groceries right to your doorstep, often within hours.

The Foundation: Stacking Discounts for Maximum Savings

The secret to getting cheaper groceries through Instacart isn't just one trick—it's about stacking multiple discounts and cashback offers that work together. When you combine these strategies, the savings add up quickly, often surpassing what you'd save with in-store shopping alone.

Strategy #1: Premium Credit Card Cashback (Up to 5%)

The Amex Cobalt Advantage

One of the most powerful tools in your Instacart savings arsenal is using the right credit card. The American Express Cobalt Card offers an exceptional benefit for Instacart shoppers: 5x points on eligible food purchases, which translates to approximately 5% back in rewards.

Here's what makes this particularly valuable for Instacart:

• Instacart is coded as a restaurant/food purchase, which means it qualifies for the 5x points multiplier
• Most physical grocery stores in Canada don't accept American Express, limiting where you can use this premium earning rate
• With Instacart, you can leverage Amex's generous rewards on groceries from stores that normally wouldn't take it

Quick Math Example:

• Weekly grocery order: $200
• Amex Cobalt 5x points: 1,000 Membership Rewards points
• Approximate value: $10 back (5% return)
• Annual savings: $520

Strategy #2: Rakuten Cashback (2%)

What Is Rakuten?

Rakuten (formerly Ebates) is a cashback rewards platform that partners with thousands of online retailers to give shoppers money back on their purchases. When you shop through Rakuten's website or app, you earn a percentage of your purchase back as cash, which is paid out quarterly via check or PayPal.

Think of Rakuten as a marketing middleman: retailers pay them a commission for bringing customers, and Rakuten shares a portion of that commission with you.

How It Works with Instacart:

1. Sign up for a free Rakuten account
2. Search for Instacart on Rakuten before placing your order
3. Click through to Instacart from Rakuten's link
4. Complete your grocery order as normal
5. Earn 2% cashback on your total purchase

Quick Math Example:

• Weekly grocery order: $200
• Rakuten 2% cashback: $4
• Annual savings: $208

The Power of Stacking: 7% Off Every Order

When you combine the Amex Cobalt credit card with Rakuten cashback, you're already getting 7% back on every Instacart order—before any other discounts!

Real-World Example:

• Monthly grocery spending: $800
• Amex Cobalt (5%): $40 back
• Rakuten (2%): $16 back
• Total monthly savings: $56
• Total annual savings: $672

That's already more than many Canadians save with in-store flyer deals and coupons combined.

Advanced Savings: No-Markup Stores and In-Store Pricing

One common concern about Instacart is price markups—some stores charge more on Instacart than their in-store prices to cover service costs. However, many retailers now offer in-store pricing or no markup on Instacart though it will depend on region.

Canadian stores with in-store pricing or no markup as of publishing this article in Toronto:

• Food Basics`
• Giant Tiger
• LCBO
• Metro
• No Frills
• Pusateri's
• Dollarama (I know, not that many groceries...)
• Rexall (Same, grocery light)
• Petsmart (Groceries... for your pet)
• Many independent grocers

When shopping at these retailers through Instacart, you pay the same shelf price as you would in-store, making your cashback and credit card rewards pure savings.

Pro Tip: Always check the store's pricing policy on their Instacart storefront. Look for badges that say "In-store prices" or "Same prices as in store."

Bonus Savings Opportunities

The 7% base discount is just the beginning. Here are additional ways to save even more:

Manufacturer Coupons and Discounts

Instacart frequently features manufacturer coupons and instant discounts directly in the app. These digital coupons work just like paper coupons but are even more convenient:

• Automatically applied at checkout
• No clipping or scanning required
• Often offer $1-5 off popular products
• Stack with your credit card and Rakuten cashback

How to find them: You'll see them highlighted as you scroll through the app and view the stores items. There will be calls outs/ads to promote them... they'll find you in many cases - whether you like the products is up to you.

Store-Specific Promotions

Many grocery chains run exclusive promotions through Instacart:

• Spend $X, save $Y offers (e.g., "Spend $75, save $10")
• Buy more, save more deals on specific categories
• Free delivery promotions on minimum orders
• Bonus points through store loyalty programs

These promotions vary by store and change regularly, so check the app's "Deals" section before placing each order.

New Customer Sign-Up Bonuses

If you're new to Instacart, you can often find sign-up offers worth $10-30 off your first few orders. Additionally:

• Referral codes from friends can provide discounts
• Credit card welcome offers sometimes include Instacart credits
• Promotional partnerships occasionally offer free delivery periods

Discounted Gift Cards (15-20% Savings)

One of the most powerful but underutilized strategies is purchasing discounted Instacart gift cards:

Where to find them:

• Costco: Occasionally sells $100 Instacart gift cards for $80, a 20% discount
• Amazon: Watch for promotional offers during Prime Day or Black Friday, we've seen 10 - 15% off

When you find these deals, stock up and use the gift cards for your orders. This discount stacks on top of your credit card rewards and Rakuten cashback.

Simple Stacking Example:

• Earn 5% back from Amex Cobalt: $5 (based on $100 order value)
• Earn 2% back from Rakuten: $2
• Use $5 off $70 store specific offer available in app

Total spent: $87
Total value received: $100 (including coupons)
Effective discount: 12%+

Instacart Express Membership

For frequent shoppers, Instacart Express can provide significant savings by eliminating delivery fees:

Membership details:

• Cost: $99/year or $9.99/month (CAD)
• Benefits: $0 delivery fees on orders $35+, reduced service fees
• Average delivery fee without Express: $5.99 per order

Break-even analysis:

• If you order twice per week: 104 orders annually
• Delivery fees saved: ~$623 ($5.99 × 104)
• Membership cost: $99
• Net annual savings: $524

Even ordering just twice a month makes Express worthwhile. Plus, you still earn your 7% cashback on every order.

Pro Tip: Instacart often runs promotions offering Express for free or at a discount (like 50% off for the first year). Keep an eye out for these deals.

Real-World Canadian Example: Complete Savings Breakdown

Let's put this all together with a realistic Canadian household scenario:

Scenario: Toronto family, $250 weekly grocery budget, orders through Instacart

Annual Breakdown:

1. Base spending: $13,000 annually
2. Amex Cobalt (5%): -$650
3. Rakuten (2%): -$260
4. Instacart Express savings: -$524 (assuming 2 orders/week)
5. Average manufacturer coupons: -$260 ($5/week)
6. Store promotions (conservative): -$156 ($3/week)
7. Discounted gift cards (occasional): -$200 annually

Total savings: $2,050 per year

Effective grocery cost: $10,950
Savings percentage: ~16% off total grocery spending

And you never had to drive to the store, search for parking, or stand in a checkout line.

Important Tips for Success

Choose the right stores: Always shop at retailers with in-store pricing or no markup to maximize your savings.

Plan ahead: Check for available coupons and promotions before each order rather than impulse shopping.

Batch your orders: Make larger, less frequent orders to maximize the value of your Instacart Express membership and minimize service fees.

Compare prices: Use the Instacart app to compare prices across different stores in your area—sometimes significant differences exist.

Time your orders strategically: Avoid peak hours (evenings and weekends) when possible, as delivery fees can be higher.

Track your savings: Keep a simple spreadsheet or note of your cashback and rewards to see your actual annual savings.

The Bottom Line

For Canadian shoppers willing to put in a bit of strategic planning, Instacart can genuinely save money compared to traditional in-store shopping—all while delivering the convenience of home delivery.

The key is consistently stacking these discounts:

✓ 5% credit card cashback
✓ 2% Rakuten cashback
✓ Shopping at no-markup stores
✓ Using manufacturer and store coupons
✓ Taking advantage of sign-up bonuses
✓ Buying discounted gift cards when available
✓ Using Instacart Express to eliminate delivery fees

Start with the basics (Amex Cobalt + Rakuten = 7% off) and gradually incorporate other strategies as you become more comfortable. Before you know it, you'll be saving hundreds—even thousands—of dollars annually on groceries, all from the comfort of your home.

Happy shopping, and enjoy those savings!