On this week’s episode of TheMadTech Podcast, Criteo UK Managing Director Andy Stephen joins ExchangeWire’s Anne-Marie Sheedy and Rachel Smith to talk about retail media, the proposed $2.4bn (~£2.5bn) merger 2 billion) from Kroger and Albertsons, and the newly launched e-commerce platform ‘Walmart Creator’.
Problems hamper retail media efforts
How common are these problems? How can retail media partners and marketers collaborate to solve them?
Despite being touted as the next big thing in digital marketing, retail media is proving to be a tricky space for some marketers. Nearly half of US marketers (47%) say new data and privacy regulation is impeding their ability to grow their retail media arms, while 30% say their organization structure not conducive to effective knowledge and data sharing, with more than one third party reporting an absence of standardized measurement metrics.
Over a third of marketers (37%) report that their retail media partners are refusing to help them overcome key challenges, and the numbers indicate they don’t trust the accuracy or quality of their partners’ data and they are located at 37% and 34%. respectively.
Despite this, retail media is only expected to increase, with internal intelligence predicting the space will grow 31.4% to over USD$40bn (~£34.6bn) by 2022.
Kroger and Albertsons union could rock US retail media
What impact could this merger have on the retail media space if it is successful? How do you anticipate that concerns about competition could affect the aspirations of Kroger and Albertsons?
US supermarket Kroger is set to merge with Albertsons after offering to buy its competitor for USD$24.6bn (~£21.7bn). If successful, the tie could alter the landscape of US retail mediawhich is currently dominated by global giant Amazon, with Walmart in second place.
While Albertsons only launched its retail media offering last November, Kroger made its debut in the retail media space with its acquisition of Dunnhumby USA in 2015. This was followed by the launch of its precision marketing arm in 2017, which delivers targeted ads across apps and websites
In a statement, the two companies said the merged entity will be able to “reach an expanded national audience of approximately 85 million households across the country.” However, US senators have raised concerns about the impact the deal could have on market competition. The companies have attempted to assuage these fears by announcing plans for an Albertsons subsidiary called “SpinCo”, although it is unclear whether this will be enough to avoid further scrutiny.
Walmart Launches New Creator-Focused E-Commerce Platform
Does the launch of Walmart Creator signify a bigger move towards social commerce adoption? How could Walmart Creator impact influencer marketing on a broader scale?
american retailer Walmart has taken e-commerce further by launching Walmart Creatora new platform that allows the retailer to collaborate directly with influencers.
Walmart Creator will give partner creators and influencers “access to tens of thousands of products,” according to the company. Influencers will be able to share links to Walmart products on any social media platform or group, receive product recommendations based on their interests, and receive performance data to help them grow their following. Partners will also be able to “earn income while earning commissions on the sales they refer” with no limit.
With the launch of Walmart Creator, the company hopes to “help inspire our customers by connecting their favorite creators directly to our brand and the brands they love at Walmart,” according to William White, chief marketing officer for Walmart US.
A beta version of Walmart Creator will be released in the fall of 2022, and the platform will be fully live in 2023.
