Retailers are getting into the digital advertising business at a furious pace. Our first ever US retail media networks benchmark report evaluates digital ad buyers’ perceptions of 11 leading retail media networks and how they perform along 13 attributes.
Traffic on ecommerce websites and apps is ground zero for establishing a retail media network. These contextually relevant audiences of in-market shoppers are exactly what brands are so eager to reach, as they look to balance both size and relevance of these audiences.
Traffic was ranked the most important attribute of retail media networks, with traffic scale scoring 4.35 and traffic quality scoring 4.32 on a five-point-scale.
In our survey, we asked respondents to evaluate retail media networks’ traffic scale and traffic quality.
Our Take: Traffic is the lifeblood of retail media networks, and digital marketplaces tend to fare the best in this regard. Traffic scale is vital to advertisers—particularly large brands—whose budgets depend on reaching large enough audiences to move the needle on sales. Traffic quality is nearly as important, particularly for advertisers who want to reach specific consumers interested in their product category. Retailers must assess how they stack up on these two dimensions. Those lacking in either one may struggle to retain advertisers long-term and should pursue strategies for partnerships with third-party publishers or develop their marketplace model to achieve sufficient scale.