Marketers are increasingly leveraging data intelligence and digital advertising technology to reach consumers across the shopping journey, according to a new report by Criteo and Forrester that calls this approach “commerce media.” Commerce media is a new digital advertising strategy that combines commerce data and artificial intelligence to reach consumers during their customer journey and boost sales, revenue, and leads for advertisers and media owners. It can be used across all channels and devices, and even offline.
Commerce media is one tactic marketers are using as they prioritize improving the customer experience, a top business objective for 82% of those surveyed in the report. Among respondents, 65% said a commerce media approach would increase business growth, and 81% said the top way to future-proof media performance is by investing in a single commerce media platform.
Currently, 55% of them buy media from six or more platforms, and 51% buy media from six or more retail media partners – leaving 38% of marketers struggling to measure media performance.
The report offers valuable insights about how marketers are rethinking retail media strategies to connect with shoppers as digital channels, social media and the metaverse are enabling consumers to buy from anywhere.
What do marketers need to know about commerce media?
Commerce media is a massive growth driver across the entire digital industry—impacting brands, retailers, and publishers—and is becoming a central part of the overall growth strategy.
By leveraging commerce data, AI, and a privacy-first approach, marketers, and media owners can break down silos to improve customer experience and strengthen loyalty while adapting to forthcoming advertising regulations.
What does the current landscape look like?
Commerce media begins with retail media, which has grown rapidly over the past two years with companies like Walmart, Target and others reporting their digital ad revenue for the first time. This acceleration is telling, as retail media networks are central to the larger commerce ecosystem.
Where is commerce media headed?
Commerce media will continue to expand in tandem with the shift in e-commerce and the idea of commerce everywhere creating shoppable opportunities seamlessly across channels. Looking ahead, there will be new marketing opportunities to fuel additional growth—deeper offerings, ad formats, and channels. Brands, retailers, publishers, and ad tech companies will continue to collaborate and enhance the commerce media landscape.
How can marketers get started with implementing a commerce media strategy?
When implementing a commerce media approach, it’s important to plan for the future.
Talk with your current and potential partners about how they are preparing for a more consumer-centric, privacy-first future. Prioritize the day-to-day performance metrics that are proven leading indicators of higher-level business goals.
Keep in mind that commerce media is a strategic extension of the brand and retailer relationship, not one-and-done. Take a collaborative approach to refine and evolve your strategy for improved outcomes.
Where is there growth?
As few platforms as possible to streamline management. Today, commerce media on the open internet is fragmented, with demand side platforms (DSPs), supply side platforms (SSPs), and retail SSPs all operating separately. But as privacy regulations continue to grow and third-party cookie deprecation looms, marketers and media owners will be looking for more streamlined solutions to manage, scale, and activate first-party data and addressable audiences.