Walmart has solidified its leadership in the U.S. retail media network sector, generating 11 billion advertising impressions in Q1 2024.
The latest data shows Walmart significantly outpacing competitors like Target, which garnered fewer than 7 billion impressions. This strong performance is attributed to Walmart Connect, the retailer's advertising division, which has significantly expanded its capabilities and partnerships to deliver comprehensive advertising solutions.
Walmart Connect has focused on attracting non-endemic brands, such as those in the automotive, entertainment, and financial services sectors. These brands, which do not sell directly through Walmart, can now leverage Walmart’s extensive customer data to target relevant audiences effectively.
The introduction of Walmart Luminate, a data monetization platform, allows suppliers to combine insights with Walmart Connect’s retail media solutions. This integration helps suppliers develop data-driven media strategies.
Walmart is also expanding its in-store advertising options with demo stations, sampling, and self-serve in-store campaign management for TV wall ads. These efforts aim to create a seamless shopping experience that integrates online and in-store interactions.
Walmart Connect has been increasing its support for international advertisers, providing localized self-serve tools and educational resources to help businesses outside the U.S. grow with Walmart.
The Bentonville-based retailer has also integrated AI chatbots into its website and formed media partnerships with platforms like Roku and TikTok. These collaborations aim to enhance advertising effectiveness and reach a broader audience through innovative formats such as shoppable ads on TV streaming services and in-feed ads on TikTok. Additionally, Walmart has announced a partnership with Vizio, which could improve ad targeting using data from Vizio’s 18 million active users.
Other retailers are also making notable advancements.
In the grocery world, Albertsons has partnered with Criteo to expand its in-store retail media offerings, including sponsored video and commerce displays.
Kroger’s retail media arm, Precision Marketing, leverages its extensive shopper data to offer targeted advertising solutions both onsite and offsite. The company has been focusing on expanding its off site advertising capabilities to reach customers across various digital channels. This approach helps brands tap into Kroger’s rich first-party data for more effective campaigns, especially in the grocery sector.
Convenience stores have also leaned heavily into retail media development.
Wawa recently launched the Goose Media Network, its own retail media platform designed to enhance the shopping experience within its convenience stores. This network allows Wawa to engage customers through targeted advertisements, both in-store and via digital channels. The initiative aims to provide brands with access to Wawa’s extensive customer base, leveraging data to offer personalized and relevant ads that drive sales and customer loyalty.
This move by Wawa was a reaction to other convenience store chains including 7-Eleven and Casey’s, which have also ventured into the retail media space.
Casey’s General Stores launched Casey’s Access, a retail media network that offers advertising opportunities across its 2,400 stores, including digital, in-store, and at-pump ads. The network leverages first-party data from its extensive customer base to provide targeted advertising solutions for brands.
7-Eleven has developed the Gulp Media Network, which offers brands the ability to advertise across its vast network of convenience stores. This network includes digital displays, in-store promotions, and app-based advertising. By utilizing data from its loyalty program and customer interactions, 7-Eleven provides targeted advertising that increases brand visibility and drives customer engagement.
Shell’s integration of advanced digital solutions across its gas stations and convenience stores include smart restrooms, shelf monitoring, scan-and-go technology, automatic vehicle identification, and real-time video analytics.
By utilizing sensor-based IoT solutions, Shell aims to improve product availability, streamline the checkout process, and offer personalized discounts and promotions based on customer behavior.
In hardware, Lowe’s launched a retail media solution using Google’s Search Ads 360 to extend advertisers' reach to new third-party channels, while Home Depot rebranded its retail media network to Orange Apron Media, offering ad space on its website, in promotional emails, and in-store TVs.
Other notable retailer developments include Macy’s, who recruited a new VP from Walmart Connect and aims to leverage its network to enhance brand visibility and customer engagement across Macy’s and Bloomingdale’s.
Instacart has introduced AI-powered smart carts that provide personalized recommendations through advertisements based on the customer’s shopping behavior, while eBay has expanded its advertising options with Promoted Listings Advanced ads, which help sellers secure top-of-search placement for specific keywords.
These developments highlight the dynamic and rapidly evolving nature of the retail media landscape, where strategic partnerships and technological advancements play a crucial role in gaining a competitive advantage. As Walmart continues to innovate and expand its capabilities, other retailers in the industry are following a similar path into retail media.
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