Canadian Shopper Survey: Retail Media Perceptions, Engagement

In-Store Marketing Reception 

In-store solution providers and marketers will be happy to hear that 8-in-10 survey takers told us they enjoy seeing or hearing about the products available when they are shopping in-store — and will consider purchasing the items, either during that shopping trip or a future one. 

Seventeen percent of those surveyed indicated they don't usually pay much attention or notice advertising when shopping in-store, and only 2% said in-store advertising was intrusive and it takes away from their shopping experience.

When asked how often they notice brands’ advertising via specific in-store tactics, about 8-in-10 respondents said they at least sometimes notice brand displays on shelves, as well as brand displays in aisles, walkways or endcaps. More than half (for each response below) said they at least sometimes notice: 

• Digital screens on displays at check out;
• Video ads on TV screens;
• In-store audio;
• Video screens in storefront windows; and
• Video screens at petrol station pumps.

In-Store Tactics Influencing Behavior

We asked the survey takers who indicated noticing specific in-store tactics how often seeing or hearing those tactics encouraged them to locate the product in stores and consider purchasing it. At least 4-in-5 respondents (for each tactic listed below) said they were at least sometimes encouraged to locate products in stores and consider buying them when they noticed advertising via: 

• digital displays at electric vehicle charging stations;
• video screens in storefront windows;
• in-store audio; or
• video ads on TV screens.

We also asked them how often certain in-store signs and displays encouraged them to find the product online and consider purchasing. We found that advertising via digital displays at EV stations, video screens at petrol station pumps and in-store audio at least sometimes encouraged about three-quarters (or more) of shoppers to look for the item online and consider buying.

Furthermore, we wanted to know what it was about brands' advertising inside retail stores that caught their attention or made them want to learn more about the product being marketed. In-store advertising that told respondents about a promotion or sale topped the list, followed by ads that:

• Introduce them to a new or unique product (selected by 22% of respondents);
• Remind them about a product they needed to buy (selected by 22%); and
• Inspire them and make them want to try the product (selected by 22%).

On-Platform Shopping Behavior & Perceptions

Eighty-four percent of respondents said that they notice brands’ advertising on retailers’ websites or mobile apps at least sometimes. Looking at generations, nearly 2-in-5 Gen Z shoppers said they notice this advertising frequently, more so than any other generation.

Nearly half of survey takers indicated they visit retailers' websites or mobile apps to compare prices, and to look for promotions, deals or coupons. About one-third (for each response below) shared that they visit retailers’ online channels to: 

• browse or find inspiration;
• repurchase items they regularly buy; or
• build a shopping list. 

Considering their shopping mindset, when asked to think about how they shop on retailers' on-platform channels: 

• 49% of shoppers told us they usually know exactly what they're looking for and navigate there right away;
• 45% shared they sometimes know exactly what they are looking for, but other times are just there to browse; and
• 6% said they often just browse to see if they might come across anything interesting.

Diving deeper, when asked to consider their online shopping on retailers' website or mobile apps, about 80% of shoppers (for each response below) shared they at least somewhat agree that they: 

• Are often reminded of products they have considered in online advertising;
• Enjoy when retailers show they know them by showing them a product they have considered purchasing; and
• Like when retailers suggest new products to them that they haven't heard of before. 

On the other hand, 75% of survey takers indicated they rarely click on or engage with online ads, and 70% feel like most online ads are not relevant to them. Considering demographics, Gen Z and Millennial shoppers were more likely to find value and enjoyment from online advertising, but they are also more likely to say they rarely engage with these ads compared to other generations.

Omnichannel Marketing

Nearly 70% of survey takers said they at least sometimes notice brands’ advertising in stores after previously seeing it online. When we asked these specific respondents what it is about a brand's ad in-store that catches their attention a second time, ads that communicate “a promotion or sale for that item” was selected by a third of survey takers. About a quarter (for each response below) indicated that the in-store ad:

• Is unique or eye catching;
• Reminds them about the product;
• Happens to be related to the reason for that shopping trip; and
• Is a brand they know and trust. 

Moreover, 60% shared they at least occasionally tell others about the products they’ve seen advertised in-store or online. Nearly a quarter of Gen Z shoppers said they do this frequently, higher than any other generation. 

Underscoring the importance of holistic campaigns that activate across the marketing funnel, nearly 75% of shoppers that shop both in-store and online told us they often seek out brands in-store after seeing an online ad for their products. We found this to be driven by Gen Z and Millennial shoppers, while Baby Boomers are significantly less likely to do so. Men were also more likely than women to say they often sought out brands in-store after seeing an online ad for their products.

Sharing Examples of Onsite Ads

We showed survey takers examples of on-site sponsored product and display ads, as well as offsite ads (specifically sponsored social media posts). Images were shown in English or French, depending on the respondent’s selected language, and definitions for each ad type were communicated.

When it came to the onsite ads, sponsored product ads seemed to be noticed and engaged with a bit more by the shoppers we spoke to compared to display ads:

• 77% of Canadian shoppers indicated they at least sometimes notice sponsored product ads on a retailer's website or mobile app when shopping online.
• 63% of respondents said they at least occasionally click on a sponsored product ad when shopping on a retailer's website or mobile app.
• 74% of survey takers said they at least sometimes notice display ads when shopping online.
• 55% of respondents indicated clicking on a display ad at least sometimes when shopping online. 

Sponsored Product Ads

We found that shoppers most value that sponsored product ads educate them about the products and brands available, either through the introduction of new items or helping them learn something new about items they are already familiar with. 

Three-quarters of those we spoke to (for each response below) said they at least somewhat agree that sponsored product ads:

• Make them want to know more about the brand or product being advertised;
• Make them feel interested and engaged; and
• Increase their likelihood of purchasing, or considering purchase, the brand or product being advertised. 

Display Ad Perceptions

Similar with sponsored product ads, shoppers we spoke to shared that they at least somewhat agree that display ads make them aware of brands or products they weren't previously aware of, and also help them learn something about the products they didn't already know. 

More than 70% of survey takers (for each response below) said they at least somewhat agree that display ads:

• Make them want to know more about the brand or product being advertised; and
• Make them feel interested and engaged.

Overall Onsite Ad Engagement

More than a third (36%) of shoppers we spoke with reported that onsite ads, like sponsored product and display ads, that communicate a discount or promotion captures their attention and makes them want to click or learn more about the products being advertised. Other aspects that capture their attention or make them want to engage with a brand’s onsite ad include: 

• Is a brand they know and trust (selected by 23% of shoppers);
• Is something they want or need to purchase (22%);
• Eye-catching images or videos (22%); and
• Introduces them to a new or unique product (21%).

Offsite Ad Engagement & Perceptions

With offsite ads (specifically sponsored social media posts), we found that:

• 58% of shoppers indicated they at least sometimes notice these types of ads; and
• 64% of respondents said they at least occasionally pay attention to or engage with off-site retail media ads like these.

When asked what it is about these types of ads that captures their attention or makes them want to engage, nearly a third pointed to "offers a discount or promotion" as a reason. Other notable aspects that make them want to pay attention or engage:

• Advertisement is unique or eye-catching (selected by 24%);
• Is a brand they know and trust (selected by 23%); and
• Introduces them to a new or unique product (selected by 22%).

Social Media Shopper Behavior

The Canadian shoppers we spoke to follow an average of two retailers on social media (from among the 20 retailers listed in this study). Amazon and Walmart were the most often followed retailers on social media. 

We found that most shoppers who follow one or more retailers on social media within each retail channel say they at least occasionally shop for or purchase products based on the social media content they see from retailers. Moreover, when they shop for products based on content seen on retailers’ social media, it is often occurring within the same day as when the shoppers first saw the content or post. 

We asked how likely it is that they want to learn more about a product available at a retailer after hearing about it on social media in specific ways and found that social posts from friends and family are the most impactful way to encourage shoppers to want to learn more about a product. Posts from retailers and brands, as well as features on "recommended for you" pages, are also significant.

Shopper Behavior on Streaming Devices & Services

When we asked how often they use select devices and services to stream content, 61% of survey takers reported they use Netflix and 52% used Amazon Prime Video on a weekly basis, while services like Fubo, Peacock, Hulu and Max were used less often. 

Shoppers shared they notice a variety of ad types when using these streaming services or devices. Thirty percent of respondents shared they noticed a series of ads spread across one viewing session, followed by 27% indicating they notice personalized ads based on their location or browsing/shopping history. 

Overall, shoppers see value in these types of ads. Among those who indicated noticing one or more ad types on a streaming platform, 80% (for each response below) said they at least somewhat agree the ads:

• Help them learn something else about brands/products they didn't already know; and
• Make them aware of brands/products they weren't previously aware of. 

Seventy percent or more (for each response below) said they at least somewhat agree ads on these devices and stream platforms:

• Improved their streaming experience;
• Made them feel more positive about the brand being advertised overall; and
• Influenced the opinion of the brand or product being advertised. 

To learn more, P2PI members can browse findings from the full, 90-page report, click here.