“30% of Americans say they typically hear about new products via retail sites, ecommerce sites, or ads/sponsored posts” – Caitlin Nuttall, Content Marketing Manager
Retail companies are sitting on one of the most valuable assets in marketing, direct access to consumer purchase behaviour. Retail media uses this asset to help brands engage customers at the point of purchase. It’s no longer just about running ads on Google or Facebook—brands now advertise within the retail experience itself. As more shopping moves online, retail media is becoming an essential part of how products are marketed and sold.
Key Takeaway from this Article
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- Retail media transforms retailer websites and apps into ad platforms for brands.
- Retail media networks use first-party data to deliver targeted ads to high-intent shoppers.
- Retailers benefit through added revenue, stronger supplier relationships, and monetization of customer data.
- Brands benefit by advertising closer to the point of purchase, increasing conversion rates.
- Shoppers benefit from more relevant ads, improved product discovery, and personalized offers.
- Retail media is becoming a core marketing channel as online shopping grows and third-party cookies disappear.
What is Retail Media?
Retail media refers to advertising that appears on a retailer’s digital properties, such as their website, app, or in-store digital screens. These ads are usually paid for by third-party brands and are designed to appear as part of the shopping journey. The goal is to influence purchase decisions right where they happen—within the retailer’s environment.
What is a Retail Media Network?
A retail media network is a platform owned and operated by a retailer that sells advertising space to brands. These networks allow advertisers to target customers using first-party shopping data collected by the retailer. Unlike broader ad platforms, retail media networks focus on high-intent audiences already browsing or buying.
Why is Retail Media Important to Retail Businesses and Customers?
Retail media helps retailers turn their digital real estate into a revenue stream while giving brands direct access to consumers. For customers, the experience is often more relevant, with ads tailored to their interests and shopping behaviour. This targeted approach leads to better conversion rates and less wasted marketing spend. As consumer attention shifts from general platforms to retail-specific channels, retail media has become a key driver of modern marketing strategy.
How Do Retail Media Networks Work?
Retail media networks function by using the retailer’s own customer data to display ads to shoppers on digital platforms. When customers search for products, browse categories, or view product pages, targeted ads appear based on their behaviour, preferences, or past purchases. These ads can be display banners, sponsored product listings, or personalized recommendations.
Brands pay the retailer for this ad space, either through cost-per-click (CPC), cost-per-impression (CPM), or a fixed sponsorship fee. In return, they get exposure to a ready-to-buy audience. The process is often automated through a self-serve platform, where advertisers choose their ad type, set budgets, and define targeting criteria.
What is an Example of Retail Media Network?
Amazon Ads
Amazon is the largest and most well-known retail media network. It offers brands the ability to place sponsored product listings, banner ads, and video content throughout the site. Advertisers can reach shoppers based on keyword searches, product views, and purchase history.
Walmart Connect
Walmart Connect allows advertisers to promote products across Walmart’s website, app, and in-store digital displays. The platform uses Walmart’s shopper data to deliver highly targeted ad campaigns that align with customer behaviour.
Loblaw Media
Loblaw, one of Canada’s largest grocery retailers, operates a retail media network that lets brands promote products across its digital properties, including PC Optimum. It leverages customer loyalty data to create personalized offers and targeted campaigns.
Best Buy Ads
Best Buy’s media network offers advertising opportunities on its site, app, and even email campaigns. Brands in the tech and electronics sector can use it to reach a niche but high-intent shopper base.
Target’s Roundel
Target’s media arm, Roundel, lets brands run omnichannel campaigns using Target’s customer insights. Ads can appear across Target.com, in-store displays, and third-party publisher sites.
Benefits to Retail Businesses
New Revenue Stream
Retail media provides an additional income source through the sale of digital ad space. This revenue helps retailers offset narrow margins on product sales and reinvest in digital infrastructure.
Stronger Supplier Partnerships
Offering media placements strengthens relationships with brand partners by giving them more visibility. Retailers become not just distributors but marketing allies for the brands they carry.
Monetizing First-Party Data
Retailers can capitalize on the first-party data collected from customer interactions. This data is highly valuable for advertisers, especially as third-party cookies phase out across the web.
Improved Online Experience
When executed well, retail media enhances the shopping journey. Sponsored listings and relevant promotions can help customers find products faster, increasing satisfaction and sales.
Benefits to Retail Customers
More Relevant Ads
Ads shown through retail media are based on shopping behaviour, not random web activity. This makes promotions more useful and less intrusive, improving the customer experience.
Improved Product Discovery
Sponsored listings highlight new or relevant products that shoppers may not have otherwise seen. This feature makes it easier to discover items that match preferences or needs.
Better Promotions
Retail media can deliver more targeted deals and discounts based on purchase history. This personalization means customers receive promotions that actually reflect their shopping habits.
Enhanced Loyalty Programs
Retailers can use media networks to offer exclusive promotions through loyalty platforms. These campaigns reward returning customers and encourage repeat purchases.
Workforce Management Software Supports Voice Commerce
As voice commerce streamlines how customers place orders and make inquiries, retailers must respond faster and more accurately. Workforce management software like TimeWellScheduled ensures the right staff are scheduled and available to fulfill voice-activated orders, answer customer queries, and manage inventory in real time.
TimeWellScheduled improves shift planning, task assignments, and communication between departments, helping stores adapt to the immediacy of voice-driven transactions. This coordination supports a seamless customer experience and helps retailers meet rising expectations tied to voice commerce.
Turn Retail Data Into a Marketing Advantage
As brands compete for visibility and retailers look for new ways to grow, retail media offers a practical, data-driven solution that meets the needs of the modern retail market. Retail media unlocks new revenue and insight, your workforce must keep up. TimeWellScheduled helps align staff with evolving digital priorities
