E-commerce market – the value of global marketing spend on retail media already accounts for over 14% of all advertising budgets

The value of global spend on retail media now accounts for more than 14% of total advertising budgets worldwide. Last year, this segment was the third-largest investment channel in digital advertising. Half of buyers are shifting their spending from other marketing channels to retail media. Its growing importance in marketing planning is one of the key trends in e-commerce, which is developing dynamically in Poland, with more and more people shopping online (79% in 2023). In the context of competing for customer loyalty, both online and in traditional sales channels, retail media is gaining importance not only as a sales tool but also as an effective way to build brand awareness. What trends in this area will influence Polish e-commerce?

– Research tells us that today's consumers start and end their shopping journey in e-commerce. Deepening their engagement during the purchasing process without using modern technologies in the area of marketing communication seems impossible today, which is why retail media, offering digital advertising formats in e-commerce apps of retailers and platforms, but also in social media, CTV, and DOOH, is emerging as one of the most important directions for e-commerce development. For many marketers, the potential of retail media is not yet well understood, but today we can fight for the customer's heart and wallet armed with hard data and the experience of market leaders. That is why during the September IAB How To: Retail Media 2024 conference, we will bring closer the issues related to trends and the biggest challenges for brands, but also areas concerning analytics, measurability, and effective integration of media tools into business strategy, says Łukasz Sztuczyński, eCommerce Director at GroupM Poland and chairman of the IAB HowTo Retail Program Council.

Loyalty – the new gold

Competition in the e-commerce market is not the only reason why attracting and retaining customer attention is a challenge today. In an era of information noise, a multitude of messages, and the attractiveness of their forms, the winners are those players who can increase engagement. Retail media, with its unique personalization capabilities, helps create individual shopping experiences and increase satisfaction, which in the long run strengthens bonds with customers.

Retail media's capabilities in personalization and reaching audiences represent enormous potential for communicating brand value and unique product features. Engaging, personalized campaigns that appeal to values and create an emotional bond are an indispensable element of building brand awareness and image in a competitive market.

Retail media – the marketing of the future?

It should not be forgotten that although the value of the e-commerce market is growing year on year and online sales account for an increasingly larger share of total retail sales, it is precisely the integration of marketing activities across online and offline channels that is the key to creating a consistent shopping experience. An effective omnichannel strategy, based on integrated digital campaigns, is the path to building a quality relationship with the customer and their loyalty, which is now necessary to achieve long-term growth.

- The opportunity to reach consumers with a high purchase intent for our product is a great, still underutilized advantage of retail media. Collecting and analyzing data that brands could obtain from this channel is an issue worth considering in the near future adds Łukasz Sztuczyński.

Retail media, bringing many benefits to both retailers and advertisers, may soon prove to be a key element of a success strategy in the e-commerce market. The conference entirely devoted to the above issues, IAB HowTo: Retail 2024, will take place on September 26 in Warsaw.

[1] E-commerce and retail media market in: IAB Polska Strategic Report "Internet 2023/2024", https://raportstrategiczny.iab.org.pl/rynek-e-commerce-i-retail-media/

[2] IAB Europe's Attitudes To Retail Media Report, https://iabeurope.eu/knowledge_hub/iab-europes-attitudes-to-retail-media-report/

[3] E-commerce and retail media market in: IAB Polska Strategic Report "Internet 2023/2024", https://raportstrategiczny.iab.org.pl/rynek-e-commerce-i-retail-media/