Want to know what the future of retail marketing looks like? It’s targeting shoppers based on the aisle they’re in and what they did on their last shopping trip. Retail media has been a digital path to the retail customer, to drive retail velocity.
Retail media lets businesses target delivery and curbside customers. … Imagine walking into your favorite grocery store. As you grab a cart and start down the first aisle, the store seems to know exactly what you need. You stop and start comparing hamburger buns and, as you look, your phone buzzes with a digital coupon for ketchup, mustard and some BBQ snacks – some you didn’t even consider.
Welcome to the future of retail marketing, which includes key components such as:
- Interactive digital signage that recognizes shoppers
- Digital shelving where brands reinforce value and offer dynamic promos
- Digital cart checkouts with “last chance” and “surprise and delights” offers
Retail media has long been a digital path to the retail customer. It’s allowed marketers to target delivery and curbside customers, driving retail velocity. It has opened the doors for small brands with limited distribution to target customers and drive discovery.
What’s coming next is even more revolutionary: advanced geotargeting that connects retail media directly with in-store shoppers.
The Digital Ecosystem Unfolds
The moment a shopper walks into a store, their preferences are recognized and they’re offered personalized advertisements. As customers move through the aisles, digital shelving displays promotions tailored to their shopping habits. At checkout, their digital cart prompts last-chance offers based on their journey through the store.
As innovative as that all sounds, all of this tech already exists.
It’s one giant digital ecosystem, just waiting to happen.
Companies like Radar and Swiftly are leading the charge, bringing advanced geotargeting to retailer apps. This tech pinpoints a customer’s location within the store, delivering relevant ads and offers in real-time.
Bridging Online and Offline Worlds
Retail media is about bridging the gaps between the online and offline shopping experiences. Consider these three key insights:
- Increased ROI: Retail media campaigns can yield a significant return on investment. Some brands have reported up to a 300% increase in sales, showcasing the power of targeted advertising.
- Enhanced consumer engagement: Personalized ads boost consumer engagement by 20%, making shoppers more likely to make a purchase. When a shopper feels understood, they typically respond positively.
- Data-driven Insights: Retail media offers valuable insights into consumer behavior. Brands can analyze this data to refine their strategies, ensuring they meet the evolving needs of their customers.
With retail media, your preferences shape your experience. For brands and stores that embrace this, it will not only enhance the shopping experience but it will still create shopper loyalty created by the value of ease and savings that personalization creates. It’s one giant digital ecosystem, just waiting to happen.
About the author: Ryan Edwards is the Co-Founder and Head of Strategy at customer-experience consultancy Camino5.
