Retail Media Revolution
Definition
Beyond simply displaying banners within shopping malls, it proves the direct correlation between advertising and purchases through 'Closed-loop Attribution' that combines offline store data with online behavior. Furthermore, it expands the targeting scope to platforms outside the retailer, such as external websites and Connected TV (CTV) (Off-site Ads), establishing an all-encompassing customer tracking system.
Drivers
The value of actual purchase-based First-Party Data held by retailers has relatively skyrocketed due to the discontinuation of third-party cookie support.
Retailers have encountered economic incentives to create new revenue streams through high-margin advertising businesses to compensate for low product profit margins.
Opportunities
Building Vertical Retail Media Network (RMN) Platforms
Not only retail giants, but also vertical platforms with traffic and data, such as travel, finance, and delivery, can secure high-margin Revenue Models by building their own advertising networks.
Off-site Ads Solutions
The ad-tech solution market will grow, enabling the delivery of advertisements to Target Customers outside of their own apps (open web, Connected TV (CTV)) and tracking performance using retailer data.