There’s been plenty of noise about the growth of retail media recently, both online and at recent industry events. This article will explore growth in the channel and the significance of leveraging real time data for retail media strategy.
The Growth of Retail Media and It’s Complexity
Retail media is experiencing significant growth, introducing both new opportunities and challenges, particularly with the recent evolution of retail media networks. Retailers are now becoming media publishers, and we’ve all recently heard the ‘retail media has surpassed £1 billion in the UK in 2025’ statistic.
Although this may seem a little stretched, the data is there to back it up; recent findings from Dunnhumby indicate that 52% of buyers are shifting their budgets from traditional advertising channels, such as linear TV, towards retail media, and brands like Heineken have been explicit about investing 50% of their marketing budget into retail media too.
As retailers become media centres in their own right, shop floors are becoming the customer facing channel directly influencing customer purchasing. However, instore activation faces some issues for brands – dependence on media distribution centres, reliability on store workers, and lack of control and communication from production through to activation. Balancing staff workloads with maintaining media spend from brands is a challenge for retailers too, which is why lots of major grocers have established media agencies e.g Boots Media Group.
A relationship based on trust and communication is vital for successful media partnerships, which is almost impossible to maintain in such a complex media ecosystem.
An objective solution is engaging a third party supplier to audit instore media. This data can establish that media spend is being delivered on time and within specifications, streamlining a campaign from the first day of launch. Brands can see that their investment is present, and retailers and agencies can continue to sell the media space legitimately.
The Importance of Real-Time Data in Retail Media
In the UK, retailers and brands are increasingly recognizing the value of real-time insights, as it’s pivotal in driving responsiveness within retail media. Brands can collect daily or even hourly data to understand market shifts and consumer behaviour as it happens. Collecting activation/compliance data enables brands to stay agile, make timely decisions, and adjust tactics swiftly.
Co-op Media Network’s Impact on Retail Media
Co-op is an interesting case study in research and development of retail media. They have recently launched Co-op Media Network (in partnership with retail media giant SMG), and they have conducted studies highlighting the effectiveness of retail media in convenience stores. Their research indicates that retail media in convenience stores gains triple the amount of attention compared to larger retail stores. Additionally, convenience retail media can elevate brand recall by four times more than campaigns in larger stores.
Furthermore, a study revealed that a retail media campaign from a global beer brand generated a sales lift of 12% in Co-op stores and drove a 3% lift at surrounding stores. This positive halo effect demonstrates the broader impact of retail media campaigns beyond the immediate retail environment.
Conclusion: The Future of Retail Media is Data-Driven
Retail media is no longer just an add-on to marketing strategies; it’s becoming a fundamental part of the retail business model. With the convergence of insights, the increasing complexity of the retail media landscape, and the necessity for real-time data, brands and retailers must evolve quickly.
Adopting a partner that can provide instant, real time insights into campaign compliance is critical – this data is paramount in justifying media spend for all parties in the retail media ecosystem. The Shepper community can be instore on hour one of any campaign, providing crucial data required for fully maximised retail media investment.
Get in touch for more information on how Shepper can support your retail media campaigns.
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