Duncan Painter; Source: Omnicom
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RAPID GROWTH OF RETAIL MEDIA WILL ALSO BE SUPPORTED BY LINKING WITH CTV ADVERTISING

3. 4. 20253. 4. 2025
Shopping directly from the TV screen will soon become a reality, thanks to the rapid growth of retail media and its integration with smart screen advertising (CTV), Duncan Painter said at the OmniConnect conference.

The retail media segment is becoming an important part of marketing strategies around the world and its influence is growing. Retail media is growing so rapidly that it will surpass traditional TV advertising in the US for the first time this year. Thanks to retail media, brands can follow the complete customer journey - from the first contact with an ad to the final purchase. Amazon, for example, allows five years of purchase behavior history to be analyzed retrospectively, giving marketers the ability to optimize campaigns in real time. At Tuesday's OmniConnect conference, Duncan Painter, CEO of the Flywheel network, which belongs to the Omnicom Group, made the announcement.

The connection between TV and online advertising is also undergoing a significant change. Amazon is using its Prime platform for targeted advertising, and Wallmart, which acquired Vizio to access the operating system of most smart TVs in the U.S., will soon dominate 85% of U.S. households' interactions with TV advertising. This trend is spreading to Europe, where Sky TV and Tesco are implementing similar interactive advertising models.

The future of retail media lies in the development of digital in-store technologies that connect online and brick-and-mortar stores. Advanced formats will enable personalised advertising directly in shopping carts based on the customer's movement around the store. Painter refers to advertising on smart screens (CTV) as the upcoming "big retail media format."

The development of retail media networks in Europe is a little behind those in the US, but their rapid expansion is a matter of months. "Tesco is piloting its own retail media network and plans to expand it into other markets. These developments are pushing other retailers to adopt similar strategies or risk losing market share. Even discount chains such as Lidl and Aldi are starting to consider entering this area," Painter added.

Overall, retail advertising is transforming into the most measurable form of digital advertising, according to Painter. Traditional probabilistic models are being replaced by a deterministic approach that builds on a detailed understanding of customer data, personalisation and the right timing of campaigns. This evolution presents an opportunity for brands looking to effectively reach their customers and maximize marketing ROI.

E-commerce now accounts for nearly 16% of total retail sales and is growing twice as fast as traditional commerce. Amazon has become the third largest advertising player with last year's advertising revenue of over $56 billion and could catch up with Google ($256 billion in 2024) and the Met ($161 billion in 2024).

Source: mediaguru.cz
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