Study: "In-store retail media"
- Rapid Market Growth: Retail Media is experiencing significant and fast-paced growth, establishing itself as the third big wave of digital advertising after search and social. It’s becoming a crucial part of the advertising landscape.
- Shift to Omnichannel: While it started online, the next major frontier for Retail Media is the physical store. Retailers are increasingly leveraging their physical footprint to offer in-store digital advertising (digital signage, smart screens) that is connected to their online data.
- The Power of First-Party Data: The core strength of Retail Media lies in retailers’ ownership of first-party customer data (from loyalty programs, purchase history, etc.). This data allows brands to target shoppers with high precision at the point of purchase, known as “closed-loop attribution,” which is highly valuable in a privacy-first world without third-party cookies.
- New Revenue Stream for Retailers: For retailers, building a Retail Media Network (RMN) is a high-margin business that creates a significant new revenue stream, which is particularly important given the low margins of their core retail business.
- Standardization Challenges: A major hurdle for brands is the lack of standardization across different Retail Media Networks. Each retailer has its own platform, data metrics, and reporting, making it complex and inefficient for brands to manage campaigns across multiple retailers. There is a strong industry push for unified standards.
- Focus on Non-Endemic Brands: While initially focused on brands that sell products within the retailer’s store (endemic brands), RMNs are increasingly opening up to non-endemic brands (e.g., insurance, travel, automotive) that want to reach the retailer’s audience based on their shopping behavior.
Download the PowerPoint presentation here: In-store Retail Media