Advertisers have reasons for taking retail media measurement into their own hands

Retailers aren’t the only ones with varying definitions for retail media metrics. When Skai and Path to Purchase Institute surveyed advertisers about how they define incrementality in retail media, their answers were varied—including new-to-brand customer conversions and ad impressions served on competitor product detail pages (PDPs). Only one of the 10 choices received more than 50% of votes (ad-attributed conversions of new-to-brand customers), but all received at least 25%.

Advertiser frustration with the lack of standardization is not improving. Most advertisers working with RMNs cite this as one of their biggest RMN-related challenges, according to January 2024 survey data from ANA. The share of advertisers in the 2024 study is understandably similar compared with the same survey from 2023, given that the impact of the guidelines couldn’t yet be fully measured. The IAB/MRC guidelines weren’t finalized until January 2024, so it remains to be seen whether progress on standardization is yet to come.

Advertisers are increasingly dedicating their own resources to RMN measurement. Advertisers are split on RMN measurement capabilities: 41% think RMNs are worse at measurement compared with other marketing mix options, and 39% think RMNs are better, according to July 2024 survey data from ANA. The same survey found that advertisers are increasingly allocating their own resources to better measure retail media efforts.

Read the full report, The State of Measurement in Retail Media.