As the third wave in digital advertising—following the paths paved by paid search and social media ads—retail media offers a unique way for brands to connect with their target audience right at the moment where their buyer intent is the highest. Unlike traditional ads that appear on social media or search engines, retail media ads are integrated into the platform of the retailer, such as in search results or category pages. This direct approach allows brands to reach consumers who are already in a purchasing mindset, increasing the likelihood of conversion.

Reaching the shopper at the right moment

What sets retail media apart from other advertising strategies is its ability to use real-time data for hyper-targeted ads. By analyzing browsing and purchasing patterns in real time, retailers and brands can highlight their product to the consumer at the right time. This means that, instead of spending resources on trying to reach everyone, brands can strategically focus on those who are already demonstrating an interest in products they might have in their assortment.

For example, if a shopper has been searching for a particular type of blender, a relevant ad might appear on a retail site offering a well-priced blender in the search results. The effectiveness of this method lies in its ability to reach consumers with highly relevant offers, seamlessly blending in with the organic results, without overwhelming them with irrelevant ads.

How to combine customer journeys with retail media

Mia, Max, Jan, and Eva are all providing subtle hints about their preferences and where they are in their customer journeys. While their journeys share similarities, the organization of products displayed to them differs, reflecting what is estimated to be valuable at that very moment and being reevaluated for every interaction. For suppliers like Rosendahl or Siemens, this information is immensely valuable in driving increased sales.

For retailers to capitalize on this, technologies like Relewise Retail Media, which enable them to offer personalized experiences while optimizing ad placement, are required.

Let’s consider a scenario where you, as a retailer, negotiate with Kenwood to promote their kitchen machines. Kenwood wants their products to be highlighted and promoted in search results and product listing pages (PLPs) whenever a user searches for "kitchen machines." This level of granularity can be tailored to Kenwood's specific needs.

You've already determined that you'll make the first 3 placements in your search results and PLPs available for sponsored listings. You can change this however you like, modifying it according to tablet and mobile devices as well. Kenwood wishes to bid for the first placement in both search results and PLPs.

You, the retailer, and Kenwood agree on a budget—for example, a CPM of 20 DKK, meaning 1,000 views for 20 DKK. This is cost-effective, given the high buyer intent at this stage of the sales funnel. With a total budget of 10,000 DKK, the campaign is quickly set up in Relewise Retail Media. Kenwood's products will receive prime exposure at key points in the customer journey until the budget is used. The system automatically updates as new items are added to the inventory, ensuring the campaign remains relevant and efficient.

Lastly, as more of your suppliers wish to bid for prime spots, Relewise Retail Media will automatically handle the bidding and placements, with the highest bid winning the best placements on the site.

Reporting and refining

To maintain strong relationships with suppliers, Relewise Retail Media provides detailed campaign performance reports. The system will track your campaign’s impact over time, offering insights into customer engagement and sales growth. This transparency helps you relay the value of your suppliers' investment, allowing them to shape future strategies.

In summary

Relewise Retail Media fosters strong collaboration between retailers and suppliers as it can yield mutual business benefits. By implementing Relewise Retail Media, retailers can utilize first-party data to create tailored experiences that suppliers pay to access—without having to build or maintain the technology themselves. Retailers can transform their digital assets into a media platform, generating an additional revenue stream, while suppliers gain targeted exposure at moments of high purchase intent. This results in a win-win-win scenario for customers, retailers, and suppliers alike.