In-store retail media is working, but placement is everything

Most shoppers are fine with screens in grocery stores and a growing number are actively buying because of it. What they won't tolerate is a screen that gets in their way.

That's the core finding from Grocery TV's In-Store Shopper Perception Report 2026, conducted in partnership with Media, Ads + Commerce. The study maps where shopper receptivity is high, where it's fragile, and what brands and retailers need to do to capitalize on both.

Notably, 62% of shoppers have purchased something directly after seeing it on an in-store screen, according to the study. That number shows the last mile of the purchase funnel closing in real time, in a channel where the product is sitting on a shelf three feet away.

"There's a persistent myth that in-store is too late to influence purchase decisions, and this study puts that to rest," said Marlow Nickell, cofounder and CEO of Grocery TV. "Ninety-five percent of shoppers make at least half of their purchase decisions while they're in the store, and they're actively receptive to advertising while they're doing it. Brands that treat in-store as a last-mile reminder are undervaluing the channel because shoppers are already in a buying mindset, surrounded by the products being advertised, with no competing content in their feed."

Where screens work

Display formats at a store's entrance, checkout, app, deli, and pharmacy all cleared 84% favorability, according to the report. The logic behind those numbers is simple: These are zones where shoppers already pause.

The bottom of the rankings tells the opposite story. Cooler screens scored just 58.9% favorability, while shelf blades and shelf talkers both landed below 72%.

"They all share the same problem: They come between the shopper and the product," said Nickell. "In the aisle, shoppers are decisive and task-oriented, and anything that slows them down or obscures their view generates friction. The formats that scored well are those placed where shoppers are already paused."

Zone placement gets you in the door. Content determines whether shoppers stay receptive or tune out.

Promotions and current sales ranked first across every demographic in the study, which makes them the safest creative bet in any zone. But that's the floor. In high-dwell areas like pharmacy and checkout, shoppers showed a clear appetite for content that goes beyond deal messaging. Recipe ideas, health tips, and seasonal inspiration all registered positively, particularly in zones where shoppers have time and attention to spare.

One interesting finding from the study is that personalized ads ranked last among preferred content types, with only 27.8% of shoppers choosing them.

"Personalized ads on personal devices are OK because whatever the ads signal about the individual stays private," said Andrew Lipsman, independent analyst and founder of Media, Ads + Commerce. "But for one-to-many digital displays, shoppers don't like the idea that ads might broadcast their preferences to passers-by. Not only is it a potential invasion of privacy, and somewhat creepy, it's also not needed for in-store ads to be effective."

A channel that reaches every generation

Shoppers of every age are highly receptive to grocery store screens, according to the report. Acceptance of screens in grocery stores ranges from 74% among Gen Z shoppers (ages 18-29) to 81% among shoppers ages 30-44, with 80% among the 45-60 bracket and 72% for shoppers 60 and older.

  • More than half of Gen Z shoppers visit a grocery store at least once a week, and 55% have already purchased something after seeing an in-store ad.

"The consistency across generations was tighter than most marketers assume," said Nickell. "Brands that write off physical retail as irrelevant to younger consumers are missing out on one of the best channels to reach them."

High-income shoppers (household income of $125,000 or above) showed an 83% purchase conversion rate, 30 points above the average, according to the study. This segment responds especially well to new product discovery and brand-building content, making grocery a strong channel for premium brands running awareness campaigns.

The halo effect

The impact of in-store advertising extends beyond the specific product on screen.

  • A national personal care brand that ran in-store awareness campaigns saw a 15% sales lift for the advertised product, a 12% lift across complementary products, and an 8% lift across its full brand portfolio, according to the report. A separate CPG brand saw a 19% sales lift for home and personal care products and a 20% lift on oral care.

"Shoppers get more comfortable with in-store digital displays the more they encounter them," said Lipsman. "Retailers that have been reticent to roll out in-store networks can feel much more confident about doing so armed with the knowledge that shoppers are receptive and the riskiest store zones can either be avoided or carefully managed in their execution."

For brands, the strategic opportunity is broader than most are treating it.

Thirty-two percent of shoppers enter the store without a shopping list, according to the study. More than 31% of shoppers who discover a product in-store buy it immediately, compared with 17% who do the same after discovering it online. The store is where the decision gets made, and for brands that aren't advertising at that moment, the budget spent driving shoppers to the store is doing only half the job.

 

This was originally featured in the Commerce Media Weekly newsletter. For more marketing insights, statistics, and trends, subscribe here.

You've read 0 of 2 free articles this month.

Get more articles - create your free account today!