The news: Walmart and Kroger announced enhancements to their retail media offerings that would make their platforms easier and more effective for advertisers to use.
More on this: Retail media networks run by grocers hold particular appeal for consumer packaged goods (CPG) brands as they aim to grow their ecommerce businesses and get insight into their audiences’ shopping behaviors.
CPG goes omnichannel: Omnichannel reach and execution were key factors in CPG brands’ success in 2021, as more purchases took place online.
However: CPG brands are still largely reliant on their retail partners to provide data on how people are shopping, both in-store and online. What they need is a retail media network that can effectively tie together offline and online sales data to deliver more precise targeting and attribution, as well as a holistic view of a customer’s entire shopping journey—but no network on the market currently fulfills all those criteria.
The big takeaway: As the two largest grocery chains in the US, Walmart and Kroger have a huge advantage when it comes to overall traffic to their properties, but any limitations in linking digital ads to in-store sales for real-time targeting and measurement could inhibit how fast these retail media networks will scale.