Rangers set up a Premier Sports Cup semi-final against Aberdeen after an impressive victory over their bitter rivals at Ibrox.
Celtic 'keeper Sam Johnstone almost gifted the home side the lead in the opening minutes of the game with a poor clearance, however Kevin Kelsy was unable to take advantage and saw his effort go wide of the post.
Kim Min-su went close in the 15th minute, with Liam Scales clearing his effort off the line - before captain Dan Neil put Rangers in front after 22 minutes with a composed finish from just outside the penalty area. 1-0 Rangers.
Kim Min-su's decent effort from outside the box was saved by Johnstone early into the second half; the Rangers number 10 was then denied again by the Celtic stopper in the 58th minute.
Moments later and the 'Gers doubled their advantage, with a cross from James Penrice headed on by Ryan Naderi into the path of Venezuelan striker Kelsy - who fired it home on the volley to make it 2-0.
A few minutes later and Ibrox erupted once again as Emanuel Fernandez appeared to make it 3-0, however his header was ruled out with Nico Raskin deemed to be in an offside position.
Rangers would make it 3-0 though in the 75th minute, with the ball falling to Dan Neil on the edge of the box who would find the net with another brilliant finish.
Derek McInnes: "It was the performance and result we were all looking for. The game demanded a big performance and I thought we delivered on that. It's a good reference point for my players."
The Light Blues will face Celtic again next Sunday at Celtic Park in the Scottish Premiership. The League Cup semi-final fixture against Aberdeen will take place at Hampden Park at the end of October..