The retail media is set to reshape the advertising landscape in 2023.
Lowe’s recently announced plans to further expand its retail media network this year is just the beginning. Changes are happening across the industry as the world’s largest retailer becomes its own media company. In the coming year, we expect even more retail brands to transform their existing websites into full-fledged media networks.
In the United States alone, advertisers will spend more than $37 billion on retail media networks this year, an increase of about one-fifth in 2021.
Much of the change that is taking place is powered by backend players providing technology to retailers to monetize their website traffic. Companies like Microsoft, PromoteIQ, CitrusAd and Zitcha have all announced plans to help more retailer networks this year.
The industry is also consolidating, with more players partnering to compete with services from Google, Amazon, and others.
Here are five players in the retail media space to watch in 2023.
Microsoft is big on retail media in 2023, launching the Microsoft Retail Advertising Network along with a suite of capabilities powered by the PromoteIQ marketing platform. The new retail network will allow retailers to draw from a large pool of brand advertisers. The company positions Microsoft as the engine of its own retail media machine, competing directly with Google and Amazon.
What to watch: What impact will Microsoft’s entry into the retail media space have on established players like Google and Amazon?
Lowe’s made headlines earlier this month with news that it was ending its longstanding relationship with retail technology company CitrusAd and moving its retail media network in-house. This decision is intended to streamline Lowe’s operations. It could also open the door to new opportunities for retailers to share access to relevant customer data and power more personalized digital campaigns.
What to watch: What does the loss of Lowe’s as a partner mean for CitrusAd’s future, especially if other retailers follow Lowe’s direction and move their retail media networks in-house in 2023?
Zitcha is building a private label retail media business by connecting retailers and brands to all marketing channels. Given the rapid growth of the retail media industry in 2022, his Australian-based Zitcha is reportedly looking to expand its US presence in 2023. The company recently hired a new Chief Revenue Officer. We also signed a partnership with PwC Australia. This means that both companies will offer complementary services to retailers and media agencies.
What to watch: How will collaboration ventures between major retail media players such as Zitcha and PwC affect how brands build their own networks in the year ahead?
Salesforce isn’t a name often mentioned in articles about retail media. However, the company recently announced a series of retail media network innovations slated for 2023. This includes initiatives aimed at helping retailers grow their advertising business using their own data, automation and workflows.
What to watch: Big retailers have a mountain of data that Salesforce wants their hands on. How will investing in retail media and getting into the advertising business help Salesforce access data that can be used by external initiatives?
Like Lowe’s, Albertsons was one of the first to enter retail media. The company is he one of the first grocery chains to make a big impact in this sector. Earlier this month, Albertsons partnered with Omnicom Media Group to offer a solution to drive ad buying for CPG brands that want to target shoppers through connected TV streaming media. Under the deal, Omnicom will be able to “merge” data in its system with data from Albertsons Media Collective’s retail media division, allowing the brand to measure the consumption of his more than 30 million people who shop at Albertsons stores in the United States. provide additional opportunities to target
What to watch: A new deal between Omnicom and Albertsons allows brands to buy CTV ads directly within The Trade Desk, a self-service platform for ad buyers. You can also measure her ROI of purchases on her own, independent of agency partners. How will this partnership play out, and how will being able to measure his ROI based on business results impact how ad buyers design campaigns in the future?