Since 2020 there has been a significant increase in the use of retail media platforms. Online retail spaces like Amazon, Instacart, and Walmart have started to take a sizable chunk of digital ad revenue. As the current trends in retail media spending reveal a net increase of $10 billion every year, it shows no signs of slowing down. For example, Amazon went from 7.8% in 2019 to 10.3% in 2020 in terms of digital spending, the retail media platforms are here to stay.
The key reasons behind the rise of retail media are — a decline of third-party cookies and an opportunity to leverage first-party data and traffic. It has changed the online retail experience for the marketplaces by including a source of revenue via - on-site as well as offsite ads. On the shopper end, it improves their experience through personalization since the marketplace platform holds crucial information on the shopper’s journey. Usage of first-party data also helps in effortless user targeting. Retail media tech platforms like - Monetize by OnlineSales.ai help in exactly that.
The job of a retail media platform is to establish a simplified means for advertisers to buy and deliver ads to shoppers who are close to making a purchase or are still in the decision-making phase.
Few other functionalities that ideally designed retail media platforms cover:
1. A self-sufficient ad-serving platform that enables advertisers to place ads
without contacting the marketplace.
2. Variety in the type of retail media ads and formats
3. A way for advertisers to upload and save their ad creatives and
4. Reporting module
However, there are performance-obsessed users that seek more than an ideal retail media. Here are some key factors that the marketplaces look for when it comes to high efficiency:
A well-designed retail media platform such as Monetize is committed to the marketplace’s growth and facilitates high revenue. These platforms help the marketplace generate a higher revenue percentage of their GMV. While the intuitive predictive targeting results in an increase in sales for the advertisers. Quality-driven retail media tech platforms offer an easy-to-use and accessible interface with a handy ad platform, and you have a formula for engaging that lets the advertiser run their ads seamlessly.
Retail media tech users, with a knack for efficiency, will look for all kinds of data and information to measure their growth, and smart retail media platforms deliver that. An ideal retail media platform not only provides visibility on performance data but also makes it easy to comprehend, process, and make data-driven business decisions. Our intuitive dashboards and analytics features such as scheduled reports, make it simple and convenient for the platform users to work with data.
Performance and control go hand in hand. Retail media platforms offer granular access control at the campaign level. Detailed performance analytics on ad creatives, incentives, advertisers, ad inventories, etc. offer required insights for both marketplaces and their advertisers. It lets users at both marketplace and advertiser levels manage their campaigns and fine-tune them for success.
This is also extended to other aspects of retail media as well. For example, Monetize by OnlineSales.ai offers AI-powered controls for ad creatives’ confirmation which A/B tests them for clickthrough performance.
Users pursuing performance can benefit from stronger control on other aspects of retail media such as bid controlling, user targeting, and product selection.
Having all the data and information at hand will not drive performance if it's not available at your fingertips. Dashboards play a key role in performance if it is easy to use and customizable. Letting users (both marketplaces and advertisers) customize and view the data on different aspects helps them assess their success more clearly. Another important thing to take note of is to have differential UX. It allows novice advertisers to master operating the retail media platform in the most non-intrusive way possible.
Retail media platforms like Monetize offer a sure-fire way to manage ads, ensure revenue, and eliminate middlemen while boosting transparency and data visibility on both advertiser and marketplace end. While it takes a significant amount of time, investment, and effort to build an in-house retail media platform; easy to integrate solutions like Monetize to eliminate all such challenges. It helps users serve various types of ads with different purposes while delivering results through customizable dashboards. Users (both marketplace and advertisers) can configure the data at their convenience to get a better understanding of their operations.
Looking for ways to leverage your first party data and traffic to earn additional revenue? Our AI ML powered retail media tech, Monetize, helps you enable every advertiser to run ads on your platform to achieve their marketing goals and ensure higher yields for you. To learn more, contact us today.
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