LAS VEGAS – Retailers that sell advertising are more effective for brands when they’re able to collaborate on meeting the needs of consumers. These efforts are supported with a variety of data-driven marketing strategies.
“Consumers will part with their money when you solve a problem for them,” Jacquelyn Baker, chief executive of Omnicom Commerce Group, said in this interview with Beet.TV contributor Mike Shields at CES 2024. “There’s really no entities that are better suited to deliver that kind of experience than a retailer itself, but they can only do that in partnership with brands.”
With many consumers initiating product searches directly on Amazon or other online marketplaces, they’re less likely to see advertising on search engines such as Google. This dynamic leads to another path through the purchase funnel.
“If that’s where consumers are going to learn about things, to discover things, the evolution of the experience becomes more upper-funnel right out of the gate,” Baker said. “You can no longer think of retail platforms as just the lower-funnel point of purchase. It’s the entire discovery process.”
As much as retail media networks have grown, Baker said she’d like to see them develop reporting methodologies that are more comparable to more established channels such as television, radio, digital display, search and social media.
“The access to the data is their most valuable asset, but I don’t know that they necessarily capitalize on it to the best of their ability yet,” Baker said. “The more that you can show results, the more that you can show data transparency to brands in a way that they can understand it and appreciate it, it will only continue to unlock more dollars.”
You’re watching “The Rise of Retail Media”, a Beet.TV Leadership Series produced at CES 2024, presented by Criteo. For more videos from this series, please visit this page.
