Why is in-store important for retail media? 7 reasons to focus on selling in-store retail media to brands

The buzz around retail media is heavily dominated by online channels, and, more specifically,  on-site. Why? Because a website as an advertising platform is easy to manage and update, and it offers closed-loop attribution, i.e. marketers can tie specific ads and campaigns to closed sales and revenues. It’s instantly accessible and appealing.

With all the hype, it can be easy to forget that retail media encompasses more than just online. Shoppers are not confined to the digital space. Focusing your retail media investments and efforts solely on online channels ignores the chance to monetise the 80%+ of shoppers who still prefer the in-store experience.

In-store retail media is absolutely vital in your retail media mix. 

Whether you’re handling third-party advertising in your stores on a small scale or have been focusing most your attention on your online retail media estate, it’s crucial to recognise the undeniable opportunities in your physical spaces. Here are all the reasons to update your strategy to reflect the true potential of in-store retail media.

Let’s jump in.

7 Reasons You Should Focus on Selling In-Store Retail Media to Brands:

1. It’s an Owned Asset – Capture and Utilise It

In-store media is a valuable asset that you already own, making it cost-effective to leverage. Unlike digital platforms, which often require significant spending on third-party services, in-store media involves utilising your existing resources.

By capturing and effectively using this space, you can monetise your physical environments and generate new revenue streams at very little cost.

2. Future-Proof Your Business

The initial legwork of mapping out your estate, or creating a digital twin of your physical inventory, sets your organisation up for the future. It gives you a comprehensive understanding of what you have, from individual marketing fixtures to unique display spaces, and what is available for purchase.

It allows you to see, and develop, the true value of your store inventory with data over time. And, make profit away from product selling, with minimal capital expenditure. Plus, the ability to sell advertising across your in-store and online estate together, all instantly puts your organisation at a competitive advantage.

3. It Works & Brands Want It!

Traditional in-store promotional displays can increase product sales by up to 20%. Not only that, but shoppers actually have better product recall for brands in-store. Your in-store customers are a captive audience. They are more receptive to marketing messages, increasing the likelihood of engagement and conversions.

What does that mean? Brands want to be part of it – and have their content front and centre. 

Recent research by Turbyne found that nearly three-quarters (74%) of brands consider in-store media “effective” or “very effective”. And, 70% said they would increase their investment in retail media if in-store tactics were combined with digital. Nearly half (47%) said they would start spending with midsize retailers if digital tactics were unified in-store for maximum scale. 

Brands are ready to invest more in-store and budget isn’t an issue. When asked, brands said they would look to allocate 43% of marketing spend on in-store activities, but this was dependent on the ability to easily allocate that spend.

The appetite is there, and rapidly growing – it’s ludicrous not to take advantage of it.

4. Unlock An Omnichannel Retail Media Strategy

Shopping isn’t linear. Consumers are looking on their phones while shopping in-store and browsing online before visiting in person. Brands want to be visible and appealing to your captive audience at every touchpoint, and a huge part of that is in-store.

Being able to offer brands the opportunity to purchase retail media advertising across all your digital and physical channels, ensures shoppers are met with cohesive media at every touchpoint, improving brand recognition and the customer experience! Investing in in-store allows you to offer a truly connected retail media approach.

5. It Reaches Shoppers That Other Channels Can’t

In-store retail media allows brands to reach customers that might not be as engaged or active on their online channels. This may be down to their preference of physical stores or because they aren’t tech-savvy. 

Additionally, in-store media captures the attention of impulse buyers who are already in a purchasing mindset. Research by Kantar found that fewer shoppers make unplanned purchases online than in-store (79 percent in-store as compared to just 58 percent online). This is vital for brands using retail media to attract new customers and drive loyalty. If customers purchase a brand’s item once, the likelihood of a second purchase is instantly increased.  

Your stores allow brands to tap into a unique, valuable audience that digital media cannot reach.

6. Provides A Tangible & Curated Brand Experience 

One of the key advantages of in-store retail media is the ability for brands to create a tangible and sensory-rich shopping experience for customers. This may be in the form of marketing materials, interactive displays, sampling sessions or in-store events, none of which can truly be replicated by online channels. 

Shoppers like to physically interact with products, taste them, test out features, feel textures, and assess quality. This hands-on experience can significantly influence purchasing decisions, and is a vital part of brands showcasing their products and acquiring new customers. Your store floors are one of the best places they can do this.

In-store retail media provides an opportunity for a curated and immersive brand experience. With the right technology, you can help brands to use marketing and your store spaces to align with their brand identity, and create a memorable shopping environment. This tailored experience not only enhances brand perception but also creates a deeper connection with customers. Brands can use in-store retail media to tell their story, showcase their values, and create an emotional response in shoppers.

7. Easier & Immediate Discovery in Less Saturated Environments

Another huge benefit for brands is that physical stores often have less advertising clutter compared to online spaces, making it easier for customers to notice and engage with marketing and products. In a less saturated environment, each advertisement stands out more, capturing the shopper’s attention more effectively. This enhanced visibility can lead to better brand recall and higher engagement rates compared to digital ads that compete with numerous distractions. Better results generally equate to brands spending more on in-store retail media, which means more revenues for you, as the retailer.

The store environment is appealing to brands as it allows customers to discover their products and promotions instantly. Unlike online shopping, where discovery can be algorithm-driven and sometimes overwhelming, in-store allows brands to be highlighted prominently. This can lead to faster decision-making and encourages shoppers to explore new brands and products they weren’t initially seeking.

Stand out to Brands

Incorporating a frictionless, data-fuelled in-store retail media offering to your retail media mix instantly differentiates your organisation from competitors. Being able to offer a great in-store retail media package – combined with your online channels, immediately makes you stand out to brands.

In-store is the next big wave in retail media

Your physical locations offer brands the ability to reach a much larger, broader audience and offer a significant monetisation opportunity.

By leveraging this owned asset, you can 

• Help brands reach a larger, more receptive audience in-person
• Enhance the in-store shopping experience with interesting third party content you haven’t had to pay for
• Establish a new lucrative revenue stream that is separate from product sales in stores
• Stand out from the crowd by offering an omnichannel retail media package

Monetising The Physical Estate

In-store retail media is a very different beast to online. It requires a detailed understanding of your physical inventory. Many retailers have relatively limited knowledge about the advertising potential across their estate. In order to capitalise on in-store opportunities, this is vital. 

Every window, every screen, every aisle, every department, every square foot of floor space. In fact, every available sellable space has to be easily stored, updated and managed to show when it is available for purchase. 

This is perceived as one of the main barriers to expanding retail media opportunities in-store. 

Luckily, we are experts in making that possible!  If you’re looking to give in-store media the attention it deserves, and turn your physical retail spaces into monetised marketing machines, get in touch with us today.