Member Perspective: Maximizing Retail Media Partnerships
Many B2C brands have started partnering with retail media networks (RMNs) to attract new audiences, enrich first-party data to deliver more personalized customer experiences and earn new sales revenue.
Since RMNs are relatively new, you might not be sure how to fully strengthen your partnerships to achieve the best results. We’ll explore the importance of three factors — transparency, control and sales revenue — in working with RMNs. The goal is to provide insights on how to make the most of your partnerships to grow your brand and to offer tips on how to evaluate whether your RMNs are delivering on these main factors.
1. Request transparent metrics for ad performance and research. Ask for clear campaign reporting from your RMN providers to fully assess performance results. After explaining what you require to measure true multi-touch attribution and make key business decisions, request detailed reporting so that you have what you need to be successful. You could ask for daily reporting or request a more detailed breakout of incremental return on ad spend (IROAS) to help inform future media buys. Be specific in what you’re looking for and don’t be afraid to ask for enhancements to your reporting throughout your work with your RMN providers. View it as an equal partnership. If you feel that your RMN providers aren’t offering the transparent reporting you need, it may be time to explore other options.
2. Focus on campaign control, first-party data and targeting capabilities. Share your advertising targets with your RMN providers to ensure you’re both working toward the same goals. Most RMNs are receptive to working with their brand advertisers to develop customized audiences and campaigns that align with business objectives. They may help you find the right target audiences to drive the most incrementality and provide audience targeting campaign advice based on trends within your category.
Working with RMNs gives you the ability to ensure your ads are targeted to proven shoppers who’ve already purchased your products or purchased those in a similar category. As RMNs expand beyond a walled garden, many offer their first-party data to purchase from their network to use in your advertising campaigns. This creates more efficiency in your media plans than doing traditional third-party targeting, since you’ll target people who are more receptive to messaging from your brand.
3. Continuously collaborate to drive sales revenue and optimized ROI. Advertising on RMNs involves a premium investment for first-party data and earned sales revenue. By continuously collaborating and communicating with your RMN partners, you can ensure that your advertising investment brings you the most returns. Tell your partner upfront what you expect to see out of your investment: “I’m paying this premium, so I expect to see X results and Y sales.”
After working with an RMN for a time, you can also partner with them in joint business planning efforts specific to investments within their network. Based on your sales results, they’ll advise you on how much spending you should invest in their network. This ensures that you’re investing the right amount of ad dollars — and getting the most optimized ROI. If you feel your current RMN partners aren’t delivering in this area, explore different partners that’ll help you better reach your goals.
Working with the right providers offers mutual partnership opportunities to help grow your brand. By evaluating RMNs based on how well they offer transparency, brand control and increased sales revenue, you can ensure you’ve made the right choice — and grow in ways you never thought possible.
About the Author: Kim Hatch is the senior director of retail media networks at Goodway Group, where she leads and manages the setup of operational functions for managed services for retail media clients. A digital marketer with extensive experience in various industries, including CPG and retail, Hatch focuses on all aspects of programmatic media from execution to managing executive teams.