A buyer’s guide to retail media

Plus: Kroger Precision Marketing’s SVP outlines plans for retail media dominance JULY 17, 2023 | By Sara Lebow, Arielle Feger, Becky Schilling, and Jeremy Goldman Welcome to our Retail Media Weekly newsletter. Since you’re already staying on top of trends, we are now giving you a weekly deep dive into this important new media channel. Check in each Monday for exclusive trends and analysis. ANALYSIS [Closing the loop: A buyer’s guide to retail media ad types]( Retail media has transitioned from its 1.0 era, defined by on-site search and sponsored product ads, into the era of retail media 2.0, which consists of a mosaic of ads on-site, in-store, and across other media channels. “The opportunity gets much bigger, but realizing the opportunity also gets a lot more complex,” our analyst Andrew Lipsman said on “[Behind the Numbers: Reimagining Retail](.” Media buyers should consider all the following retail media ad types, as defined by the [Interactive Advertising Bureau’s (IAB’s) Retail Media Buyer’s Guide](. 1. On-site ads are served within a retailer’s platform, like on Amazon’s or Walmart’s websites. - Sponsored products: Listings within search for relevant products - Sponsored brands: Banner ads within search results - Display ads: Banner ads that follow customers across the website, like on the homepage Shopper’s journey: A shopper searches Walmart.com for protein powder. They may see ads within search for a specific product and banner ads now and in the future for a given brand. These ads are close to the point of purchase. Story continues below. 2. Off-site display ads leverage retailer data but are served through partnerships. - Third-party sites mean the ad types are limited, but the IAB calls out web, app, display, audio, digital video, digital out-of-home (DOOH), and in-game. - [Social media and connected TV (CTV) ads]( are also considered off-site display ads, and are supported by [partnerships]( such as the ones between Dollar General and Meta or Albertsons Companies and Omnicom Media Group. [CTV]( is one area where Amazon in particular has immense retail media potential through Prime Video and Freevee. - These ads are still considered retail media because brands leverage retail media networks’ partnerships and data to buy the ads, resulting in better targeting and measurement capabilities. Shopper’s journey: It’s been a month since that shopper bought protein powder, according to Walmart’s data. Walmart has partnerships with Roku, TikTok, and Snap, which means a brand could buy ads through Walmart Connect to nudge that customer on CTV and social media. 3. In-store digital advertising refers to the new era of targeted ads in brick-and-mortar, which can target customers, increase sales, and leverage consumer data in real life. - [Inside the store](, these ads include product displays, signage, and [video screens](. - Location-based push notifications and retail apps can offer even more personalized ads to in-store consumers. - While smart shopping carts aren’t common yet, they also have vast personalization potential as adoption increases. - There’s also a physical retail media opportunity outside of the store, through DOOH ads in parking lots; [at charging stations](; and near buy online, pick up in-store parking spots. Shopper’s journey: Energized by several protein-packed months, the buyer decides to venture into a Walmart. Even before entering, there is a retail media opportunity on screens in the parking lot’s electric vehicle charging station. In-store, the shopper may see brand signage or an aisle end-cap display for the protein powder. The brand may also nudge our shopper with targeted omnichannel ads within Walmart’s app. [Read online]( INTERVIEW [Kroger Precision Marketing’s SVP outlines plans for retail media dominance]( Kroger Precision Marketing (KPM) is achieving the same sales impact for advertisers while delivering 51% fewer impressions, senior vice president Cara Pratt told us in a recent interview where she also discussed the company’s approach to retail media transformation. Pratt expressed enthusiasm for KPM's recent announcement moving its self-service retail media ad platform in-house. “We're excited for the impact of our initial release, while also ensuring interoperability with various brands' media activation and management platforms,” she said. [Keep reading]( Email sent to: {EMAIL} If you cannot view the HTML newsletter, [please read it in your browser here](. [Become a Premium Subscriber]( | [Advertise with us]( [Manage your email preferences]( | [Unsubscribe]( | [Terms of Use]( | [Privacy Policy]( ©2023 Insider Intelligence, 11 Times Square, New York, NY 10036 [LiveIntent Logo]( [AdChoices Logo](