While ad spend allocated to in-store retail media has yet to take off, consumers are ready and willing to engage with digital in-store formats, according to a new survey by EMARKETER in collaboration with Placer.ai.
“In-store retail media is in its early innings, but both retailers and advertisers are motivated by the possibility of reaching shoppers where over 80% of retail sales take place,” our analyst Sarah Marzano said. “Upgrading in-store infrastructure and investing in engaging digital formats will be crucial for retailers hoping to unlock the massive potential of in-store retail media.”
To find out more about how consumers engage with in-store digital media formats, EMARKETER surveyed 1,179 US-based adult consumers in August. The results were published in Placer.ai’s “Consumers Embrace Digital In-Store Retail Media Formats” report, created in partnership with EMARKETER.
Here are five key insights from the survey:
-
Consumers are familiar with in-store media formats. Nearly 3 in 4 (74.6%) respondents have encountered these formats like digital screens on cooler doors, TV walls, or or in-store radio. While in-store retail media is an advertising type, consumers likely don’t distinguish between digital signage that features ads from digital signage that features other content. “This highlights the potential of in-store retail media. It isn’t just about adding a new revenue stream for the retailer or creating a new channel for the brand to engage,” said Ethan Chernofsky, senior vice president of marketing at Placer.ai. “It generates a new way to make each visit better for the consumer. It’s creating a new win-win-win for retailers, brands, and customers alike.”
-
In-store televisions ranked high among consumers. The most common format consumers encountered was ads on televisions merchandised in-store, at 52.8%. Consumers also ranked ads on TVs as the most memorable (40.7%) and favorable (67.7%) format.
-
Consumers say these formats drive purchase. Six in 10 (61.6%) consumers said they purchased an item showcased in an in-store retail media format like digital screens on cooler doors or television signage, per our survey.
-
In-store digital media impacts consumers spending. The majority (65.6%) of consumers said the availability of digital in-store retail media formats boosts how much they spend—with 37.9% saying they would spend a lot more in stores where the signage was available.
-
Digital signage impacts where consumers shop. The majority (62.6%) of consumers said the availability of in-store digital formats impacted their decision on where to shop.
Get the full report.
This was originally featured in the Retail Media Weekly newsletter. For more marketing insights, statistics, and trends, subscribe here.