Unlocking Retail Media Potential: 5 Successful Tips From Retailers
Launching a retail media program can be transformative for your business. Retail Media provides an unprecedented opportunity for retailers to capitalize on existing traffic and enhance profitability, while boosting brand visibility and enhancing the customer experience. With the right strategy, you can transform your digital spaces into powerful profit generators leading to high-margin opportunities such as premium ad placements, sponsored product listings, and targeted display ads.
"On average, an eCommerce site has an 87% bounce rate, with 87% of customers not making a purchase. Retail media allows us to monetize this 87%," said Olivier Breton, DGA at Pixmania.
During the 2024 Mirakl Summit World Tour, leading retailers and industry experts shared their insights on launching a successful retail media program. Keep reading to learn about the five key takeaways.
1. Launch personalized ad placements for a customer-first approach
Enhancing the customer experience should still be your number one priority when launching a retail media campaign. You should aim for strategic ad placements that enhance the shopping experience and avoid the cluttered appearance of overly crowded pages. Excessive ads can distract users and harm the overall experience, leading to frustration and potentially driving customers away.
That's why crafting relevant and personalized experiences is crucial for unlocking the true value of retail media. By using AI-driven product recommendations and personalized ads, you can increase engagement and satisfaction while offering a seamless online shopping experience.
"Mirakl Ads acts as a facilitator to present the right product to the right customer at the right time, avoiding the 'Christmas tree effect' of cluttered advertising. This approach enhances the customer experience and improves conversion rates," said Olivier Breton, DGA at Pixmania.
Mirakl Ads takes personalization and relevancy to the next level by incorporating ad placement dynamic positioning. Mirakl Ads will look at all relevant products, organic or sponsored, give them a relevancy score for the shopper, and then determine the optimal layout to maximize the shopper experience, retailer revenues, and conversion likelihood.
"Amazon would have never launched the retail media platform unless it was actually continuing to enhance the experience. It’s about ensuring you don’t damage the customer experience through relevance and personalization," said Alex Walker, Managing Director at Havas Market UK.
2. Create a collaborative approach with your advertisers to foster transparency
Launching a retail media program should be a companywide decision. Integrating it into your existing marketing and sales teams is essential to foster a cohesive strategy, prevent internal conflicts, and ensure everyone works towards common goals.
“Start the discussion with existing marketing teams because this will affect their everyday work," said Tommy Resin, Head of Digital Business at Stadium.
Building transparent and trust-based relationships with your advertising partners is also essential. This approach can be mutually beneficial , fostering long-term collaboration, and creating alignment on goals and expectations. Maintain open communication and transparency about data and performance metrics to build trust and ensure alignment with your partners for a long term partnership.
"The partner relationships are hugely important for us. Transparency towards our partners and brands is a significant driver for us moving into retail media," said Tommy Resin, Head of Digital Business at Stadium.
3. Integrate seamlessly with your existing systems
Opt for a retail media partner that offers a seamless integration with your current eCommerce and marketplace platforms. This minimizes disruptions and ensures that the new system works harmoniously with your existing operations. This also makes it easy for your teams and your vendors to get familiar with this new solution.
"Mirakl Ads is really positioned to have a solution that is adapted for sellers and suppliers to become advertisers on day one. We go beyond traditional retail media solutions with sponsored product formats, display, and video, adding offsite capabilities like Google Shopping," said Nagi Letaifa, Chief Technical Officer at Mirakl.
Mirakl Ads offers a comprehensive and adaptable solution that integrates fast and seamlessly with various advertising formats, making it easy for sellers to become effective advertisers from day one.
“Key criteria included cost, time efficiency, and the existing relationship with Mirakl. Leveraging Mirakl's expertise and tools was beneficial for quick and effective implementation,” said Ekow Mensah, VP of Retail Media at Secret Sales.
4. Collaborate with the right partners
While technology and data are critical, the human element should not be overlooked. The expertise and experience of your team can significantly influence the success of your retail media program.
"While AI is a key element, human expertise and effort are also crucial. The success of AI-driven strategies depends on the quality of the input and ongoing human involvement," said Olivier Breton, DGA at Pixmania.
Selecting the right partner is also essential for the success of a retail media program. Your retail media partner should provide advanced technology, seamless integration, robust support, and deep expertise. Mirakl Ads is the perfect choice for retailers aiming to enhance customer experience and maximize profitability with effective retail media strategies.
Mirakl Sales House offers expert support and guidance on everything from budgeting to campaign setup, fostering transparency and collaboration through a mutually beneficial partnership.
"We were confident in the end-to-end experience that Mirakl provides, not just as a self-serve tool but with Mirakl Sales House, account management and support," said Ekow Mensah, VP of Retail Media at Secret Sales.
5. Leverage data-driven insights for better decision-making
First-party data is invaluable for crafting highly targeted and effective advertising campaigns. It provides direct insights into your customers' behaviors, preferences, and purchase histories, allowing for more precise targeting and performance analysis.
"First-party data provides numerous advantages in targeting and transparency," said Tommy Resin, Head of Digital Business at Stadium.
By utilizing data analytics and AI, you can quickly analyze vast amounts of data, uncovering patterns and trends that human analysis might miss, enabling predictive analytics to anticipate customer needs and optimize campaigns in real-time. In the past, sharing clear reports between advertisers and retailers was a challenge. But now, with partners like Mirakl Ads, transparent reporting is a reality, delivering clear results and ensuring the best ROI for both parties.
"You fundamentally need data and insights and partnership with people who can help integrate this into your wider media plans," said Sébastien Camusot, E-Retail Director, Havas Market France.
It's time to launch a retail media strategy today
The current market conditions and trends make this an ideal moment to launch a retail media program. The emergence of retail media has recently gained significant traction, making it a hot topic in the industry.
“Retail media is becoming essential for brand visibility on marketplaces. It is viewed as the future of advertising, offering a more strategic approach to reaching the right customers,” said Ekow Mensah, VP of Retail Media at Secret Sales.
Leverage the opportunity to strengthen your competitive edge by capitalizing on the rapidly evolving trends in the retail media landscape. This approach is no longer just for eCommerce businesses; it's a powerful tool for marketplace operators as well. By embracing retail media, you can swiftly establish a new, highly profitable revenue stream that complements your existing operations.
Integrating retail media into your strategy isn’t just an option—it’s a critical step towards sustained growth and increased profitability. Don’t miss out on the chance to enhance your business’s positioning and tap into the full potential of this dynamic space.
