March 18: Retail media isn't just for the big brands
In this edition, we debunk the myth that retail media is only useful for major CPG brands, plus we break down Simon Property Group's new RMN, Target's paid loyalty program and new hires at Hy-Vee and Macy's.
Hi, there! Welcome back to Unfold, the biweekly newsletter from the retail media experts at Threefold. After a chilly and dreary few months here in New York City, we’re finally enjoying warmer and sunnier weather as winter nears its end. As we hit mid-March and usher in spring, we know things will continue to heat up in retail media with major events on the horizon.
Speaking of events, Shoptalk is underway, and our CEO Samuel Knights , Co-Founder Matt Lee and Managing Director Sean Crawford have all landed in Vegas and are attending the show. We’re excited to have several parts of the action. Last night, we held an exclusive dinner for retailers, and tonight is the Threefold-sponsored Retail Media OG Party, an event from our friends at the Path to Purchase Institute . If you’re in Vegas, there’s still time to RSVP and attend.
To refresh: Every two weeks, we’ll meet right here, on the Threefold LinkedIn page, to discuss what’s happening in the ever-changing world of retail media. Plus, our experts will provide key context and insights backed by our 15 years of experience working in commerce marketing. What’s more, we’ll also tackle a pervasive retail media myth to end misconceptions about our industry.?
As always, there’s much to discuss, so let’s dig in.
This week, we’re debunking the myth that retail media is only effective for the biggest CPG brands.
The truth of the matter: Retail media offers opportunities for brands of all kinds across categories. And there’s a massive, untapped market for private-label investment in retail media. We predict private-label investment will grow in retail media, especially as private-label works to maintain market share in periods when consumers are less concerned with cost. If prices fall, consumers may return to purchasing more name-brand CPG products, but if private-label brands can remind consumers they offer a quality product at an attractive price point, they can find success in any economic environment.?Enter retail media.
Once consumers try private-label goods, our experience tells us they’re more likely to become repeat consumers. Retailers already do the heavy lifting in promoting their name, and additional retail media at the point of purchase can drive awareness and push shoppers to experiment with store brands. Our team at Co-op Media Network , for instance, has activated retail media campaigns for its private-label brands, unlocking sales and proving ROI.
On that note: Partnership Director Amber Roberts will deliver a presentation on March 21 at PLMA’s Annual Meeting and Leadership Conference about how retailers and private-label brands can leverage retail media to reach shoppers beyond price.
Now, the news
Another new network: Simon launches Retail Media Network
Need to know: Mall operator Simon Property Group has launched a RMN for ShopSimon? , its e-commerce platform that offers discounted and outlet merchandise. The RMN will be supported by technology from Mirakl , which already powers the Shop Premium Outlets web platform. The RMN offering will enable brands to reach SPO shoppers through personalized and curated advertisements online.
What it means: Retail media is one of the fastest-growing advertising channels, as it offers brands opportunities to reach shoppers at their point of purchase. While retail media has been extremely successful in grocery, there are ample opportunities for retailers across categories to unlock additional revenue through retail media. It’s not just retailers, either. In the next era of retail media, businesses across sectors that hold rich first-party customer data can leverage media estates to create bespoke advertising opportunities for brands.?
Read more at Retail TouchPoints.?
Also noteworthy: Target goes all-in on loyalty?
The top line: 塔吉特百货 has launched a paid membership program, Target Circle 360, which will cost shoppers $99 annually and offer free same-day delivery for orders over $35 and free two-day shipping.?
Dig deeper: Target already has a free loyalty program, Target Circle, with over 100 million members. The retailer plans to revamp that program too to focus on ease of use and personalization. Target will now automatically apply discounts to shoppers' orders. The paid membership is an effort for the retailer to drive its e-commerce business and more closely compete with 亚马逊 and 沃尔玛 .?
Looking ahead: By offering the new paid membership and revamping its free loyalty program, Target is betting that engaging with its loyal shoppers through discounts, personalization and on-demand deliveries will drive profits. The retailer could also leverage the rich first-party loyalty data from both its free and paid loyalty membership programs to offer brands targeted and distinct advertising opportunities to reach shoppers through Roundel , its RMN.
Read it at CNBC.?
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Movers and Shakers: Retailers invest in retail media talent?
In simple terms: Midwestern grocer Hy-Vee, Inc. and department chain Macy's have onboarded new retail media talent. Kathryn Mazza and Britt Polihronis have joined Hy-Vee’s RedMedia RMN. Mazza, a DICK'S Sporting Goods alum, joined in February and leads RedMedia’s daily operations. Polihronis, a Merkle alum, is VP of operations at RedMedia. Michael J. Krans , ex- Walmart Connect , has joined Macy’s as VP of Macy’s Media Network and retail media.
The context: Hy-Vee officially launched RedMedia last September, offering advertising opportunities across its digital platforms, stores and on brand-safe websites. Macy’s Media Network is a bit more seasoned, launched in 2020. As retail media grows and retailers unlock its potential as a revenue driver, we’ll likely see more major retail media hires and moves across the retail space.
More at the Path to Purchase Institute.?
Thoughts from Threefold’s experts
Managing Director Sean Crawford shares how brands can best approach digital retail screens in-store: “Just because a store has a digital screen, does not mean above-the-line creative can just be resized and snapped on. Time and time again, retailers and brands get this wrong, neglecting to tailor creative and messaging to the in-store audience. Our data shows that CPG brands that deliver a message in the retailer's creative template drive a better ROI, as shoppers see it as an endorsement from their chosen retailer.”
Amber Roberts, Partnership Director, shares three ways our proprietary SaaS technology, Plan-Apps , leverages data to revolutionize retail media.?
She says: “The ability to make data-backed decisions has never been more critical.? By leveraging the power of data, retailers can unlock new revenue streams, enhance brand presence, and drive growth. From precise campaign planning and comprehensive measurement to uncovering overarching trends, Plan-Apps equips retailers with the tools and insights they need to thrive”??
Client Director Tara Hekmat attended ADWEEK’s Commerceweek and said: “While the challenges facing the industry may at times seem daunting, they create the pathway for new solutions and usher in creative ideation that leads to making retail media stronger, more sustainable and equitable for all stakeholders.”?
What’s next
After we wrap up our exciting week at Shoptalk and PLMA - Private Label Manufacturers Association , we have a few exciting engagements on the horizon. We’re excited to share that Threefold CEO Sam Knights will take the stage at the Ascendant Network’s Retail Media Bootcamp in April in New York City. He will be joined by Co-op's Rachel Halter and other industry leaders; we'll have more information to share here soon! Plus, Partnership Director Amber Roberts is slated to appear on a panel at Skai’s ShopAble on April 11 in New York City alongside Costco Wholesale 's Mark Williamson and Walmart Connect’s Diana Finster .
Reminder: Retail Media Summit UK is back for a second year. The can’t-miss day of cross-cultural thought leadership is returning for a second year. We can’t wait to share more details soon, but for now, read more about the event and register your interest here.
That concludes this edition of Unfold. If you like what you’ve read, be sure to subscribe here on LinkedIn to stay up-to-date on the latest retail media updates and for key insights from our experts that you can’t get anywhere else. We'll see you back here soon.
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