Yes, Join the Retailers to Make Ads Hot Again — June’s Highlights
July 1st 2024
Retail Media Networks (RMNs) are gaining momentum among major retailers, media agencies, and businesses, making headlines following the P2PI Retail Media Summit in June.
BROOKLYN, NY, July 1st 2024 — Cookies are no longer advertisers’ besties because they’re on the brink of extinction. But brands and retailers are meeting new friends, the RMNs such as Amazon, Walmart Connect, Target, Kroger, and many more for better targeting and metrics.
Amazon Advertising being the most used RMN in 2024, stated by Statista, is hungry to take shares from Google’s advertising pie and welcome Google’s post-cookies era. Amazon’s Ad Relevance feature provides real-time tracking data to display relevant ads using its AI, which tracks browsing behavior, real-time purchases, and streaming signals across devices and channels without relying on third-party cookies. Amazon has also introduced the Multi-Retailer Attribution Model, enabling advertisers to analyze ad performance across multiple retailers and channels at the product level. This model improves accuracy in assessing ad effectiveness and helps optimize marketing budgets, a departure from traditional single-retailer attribution models.
Beyond performance metrics, RMNs are doubling down on personalization to enhance user experiences. The grocery retail giant, Kroger, is teaming up with Meta ads. Kroger is stretching its retail media, KPM (Kroger Precision Marketing), into eCommerce personalization. The combination of Kroger’s retail insights and Meta ads will drastically enhance ad recency and sales metrics through personalized web ad content for consumers. KPM introduces custom product catalogs to personalize ads for consumers with specific products dynamically selected rom the advertiser’s catalog. Next, in line are the shoppable ads on meta; a product list curated by brands/advertisers will be shown to consumers and prompt them to click on to be directed to Kroger’s online retail. When it comes to conversion, the conversion-based optimizations bring ads to consumers immediately after the add-to-cart moments. Then everything will be reported. The product-level reporting will provide online sales at the promoted product level.
The intense competition for online marketplace pushed Target to hold hands with Shopify and look for goodies. Customers can now shop on Target Plus with more options from vendors, then these Target Plus brands will be introduced to select stores offline to gain additional sales. Sadly, Target Plus current SKU is about 2 million which is still far from Walmart’s 400 million SKUs and Amazon’s 600 million SKUs. However, the effort is being put into the race to the bottom.
The moral of the story is that retail is evolving not as fast as tech but fast enough for you to lose dominance if you do not join RMNs, personalize engagement, and evolve with AI. As for consumers, you just need to enjoy the results of retailers’ competitions. Follow me for more marketing news!
Contacts
Jia Mei Lin
jiameilinair@icloud.com
