Ecommerce operations are sitting on a huge quantity of first-party data that can be leveraged in retail media network advertising.
But they are going to need AI to help them apply that data.
That is according to Michelle Weiskittel, Head of Media, Creative & Operations, Albertsons Media Collective.
A New Era in Retail Media
Albertsons Media Collective is the advertising operation of the Albertsons supermarket chain.
Weiskittel sees the current climate as the perfect opportunity for retail media networks to capitalize on their vast first-party data, especially amidst increasing demand and growth
“It’s really all about the accuracy of first party data that retail media networks can bring to the story,” she asserts.
This data, encompassing point of sale data, shoppers in-store behavior, e-commerce, and digital behaviors, is provided in a privacy-safe, consented way.
Retail Media Outlook
Retail media is growing fast.
Insider Intelligence / eMarketer’s latest November 2023 forecast sees US retail media spend, across all variants, reaching $114.92 billion in 2024, up 3.2% per year.
Magna Global’s September 2023 figures also sees retail media fuelling a digital ad bounce-back, helping grow total US ad spend by 5% in 2023.
The Power of Near Real-Time Data
“One of the things that actually surprises me about retail media networks is that we have near real-time data,” Weiskittel shares.
Despite this, she feels that many are not utilizing this advantage correctly, and encourages a more strategic approach.
“If you are working with a really strategic retail media network, build a test and learn plan. That’s what we do at Albertson’s Media Collective for our customers,” she advises.
Breaking Down Barriers to Engagement
When asked about potential barriers that prevent further engagement with retail media networks, Weiskittel highlights the time component and reliance associated with a managed service.
To combat this, she stresses on their future-forward approach to the media model. “You really do need AI. And with AI, we’re really able to leverage all of our data sets as a retailer and not just a singular purchase behavior,” she says.
Weiskittel envisages a media model that combines AI and automation with human oversight. “It’s really this flywheel component that we are building that leverages all of our data sets,” she states.
In this setup, AI not only facilitates media planning and optimization but also ensures accuracy in the media workflow.
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