It's time for Retail Media Networks to get serious about creative
In this edition, we're debunking the myth that creative isn't all that important to retail media. Plus, updates to The Home Depot's Orange Apron Media, Instacart and the race against linear TV.
Hi there, and welcome back to Unfold, the retail media newsletter from the retail media experts at Threefold.?
We’ve just wrapped another week, though it was a short one following Labor Day. There are still a few weeks of summer left, but the air is already getting cooler, the days are starting to get shorter and the fall circuit of retail events is quickly approaching. It’s going to be a busy few months for us at Threefold and SMG, and we couldn’t be more excited for everything we have in store!
Have you registered to attend The Power of Three: The In-Store Opportunity , the final episode in our three-part webinar series? The episode, featuring experts from Molson Coors, COGNKITION Analytics and Boots Media Group, streams next week, September 10 at 11 a.m. EDT. Register now to secure your spot and get these can’t-miss insights into truly omnichannel retail media.?
Now, we’ll pass the mic once again to Justin Sparks , VP of Business Development, to bring us this week’s retail media myth. Take it away Justin!?
I wanted to share a few musings on creative in the retail media space. There’s a belief in our industry that creativity in retail media isn’t really important, especially not as important as in other areas of advertising and marketing. It stems from the belief that product image, price and call to action (CTA) are enough to yield great results for brands. And, you know, those elements do get you quite far. However, creativity in retail media is becoming more important now than ever.?
We live in a world so overwhelmed with advertising coupled and embedded with all forms of content — let alone with product and promotional imagery in all formats — both online and offline, from advertisements on social media to ads over the grocery store speakers and everywhere in between … well, you get the point. We have over-optimized to where nearly everything has turned into a shoppable touchpoint, and there’s a “buy-it-now” option practically everywhere you can put a button, it can be easy to fall into the trap of only focusing on the three elements mentioned above.
It’s harder than ever to catch consumers’ attention, and it’s even harder to keep it. As importantly, Retail Media Networks will need to prove they can impact branding metrics, as well as sales, if they’re going to continue to compete for national brand budgets in channels such as Programmatic, CTV and Social, which BCG forecasts will account for 60-70% of every new dollar in retail media by 2026.
Retailers have the data and real estate; it's time to improve their creative.?
It is increasingly important for brands and their RMN partners to understand how to execute creative for the right environments that can not only convert demand, but build it. Everyone remembers the 4 P’s, right? Well, let’s not forget "Promotion." At Threefold, we believe strong creative in retail media campaigns is paramount for all three involved: the retailer, brand and consumer.?
Each campaign touchpoint has numerous contributing factors that impact the type of copy, and sizing, and selecting the optimal product imagery, messaging, pricing, format, audience, etc. is key. While yes, that sounds like a lot of work, building it into your planning process and leaning into your partners can make your creative more pliable for various environments. The retailers that work with brands to improve their creative offering to influence all parts of the consumer journey, not just the point of purchase, will grow market share, sales and media investment.
It’s time for RMNs to take a serious look at how they approach creative if they want to win incremental dollars from brands.
Now, the news
Cord cutters: Retail Media growth on linear TV continues, even as it sees an uptick?
Breaking it down: According to the WARC’s global ad spend forecast, global investment in retail media is expected to level with linear TV spend this year and overtake it in 2025. This increase comes even though linear TV investment is up 1.9% YoY, due to major global events including the Olympics, Euros and the US election.
In context: Don’t expect the growth in linear TV spend to continue, as it’s anticipated to drop by 5.2% next year and grow by just 1.2% in 2026, according to the forecast. Retail media, meanwhile, is expected to grow by 21.3% in 2025 and 12.8% in 2026, the WARC projects. Linear TV has been in decline for years as a preferred way to meet consumers, as younger demographics cut the cord and newer advertising formats (ahem, retail media) offer more targeted, data-backed ways to reach consumers across their non-linear path to purchase.?
More at Marketing Week from Niamh Carroll .
Extreme Couponing: Instacart partners with Ibotta for greater promotion options?
The news: Instacart in August joined the Ibotta Performance Network, which coordinates promotions across retailer platforms, third-party publishers and Ibotta’s direct-to-consumer products. Ibotta will become Instacart’s preferred coupon partner moving forward and says the partnership will enable it to deliver more relevant promotions to consumers at the right time.
What this means: Despite all the numerous touchpoints that can be used to reach consumers, shoppers still love coupons and other digital discounting programs that can save them money. Ibotta already works with 2,400 CPG brands via its platform, and Instacart, which works with over 6,000 CPG brands, says the partnership will help it quickly scale its promotions business. Retail media is about more than just discounted prices, but promotions can be a pivotal part of the success of an overall strategy. Instacart, meanwhile, has continued to ramp up its retail media business, including with more digital display ad options debuted for brands in Canada, also in August.
Read more from Jacqueline Barba at the Path to Purchase Institute .??
领英推荐
Under Construction: The Home Depot looks to upgrade Orange Apron Media Network?
The news: Home improvement retailer 家得宝 is once again upgrading Orange Apron Media by The Home Depot , its recently rebranded Retail Media Network. The Home Depot has partnered with technology provider Pentaleap to improve its sponsored products offering, using the Pentaleap Fluid Relevancy Engine, an algorithm it says helps place ads in front of the right shoppers at the right time.?
What it means: Both The Home Depot and competitor Lowe’s have leveled up their retail media offerings this year in an effort to better compete for brand dollars in the home improvement category. The retailer’s decision to partner with Pentaleap to offer more powerful sponsored product recommendations indicates that, while they aren’t the only important element of retail media, sponsored products remain extremely important to an overall retail media strategy. While consumers don’t want intrusive advertising, we know they do want more personalized recommendations that make their shopping experience more seamless. Building the right tech stack and choosing the right partners is key to getting that experience right.?
Read it from Chain Store Age Dan Berthiaume .
From the CEO??
Samuel Knights , CEO of Threefold and the SMG agency network, tells The Media Leader US why we’re getting closer to solving the retail media Rubik’s Cube , a complex puzzle of lingering questions that impact our rapidly growing and evolving retail media industry. Sam writes
Sometimes an industry can be changed by just one launch or one piece of information that creates a wave of interest. But, more often than not, change comes in a series of events that nudge behaviour in a particular direction. The growing interest in retail media is following the latter path. To achieve its maximum potential, retail media needs to make a series of moves, rather like solving a Rubik’s Cube, that together demonstrate the true value of investment in this type of advertising.
Connect with Threefold this fall.
Want to chat with the retail media experts at the forefront of the global retail media evolution? Join us at the following events this fall.?
September 17 - 18, New York City
Ascendant Network 's Fall Retail Media Boot Camp ?
September 25 - 26, Palo Alto
October 7- 9, Las Vegas
And there’s more where that came from. Keep in touch with Threefold here on LinkedIn and head to Threefold.team for the latest updates and happenings from Threefold.
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Thanks for including my article!