Retail media campaigns are delivering more than we think: IAB MeasureUp 2024

Australia's largest measurement conference, IAB's MeasureUp returned for its 8th year on Wednesday.

The conference brought together delegates from across insights, data, advertising, and agency professionals to discuss the future of marketing measurement thinking. 

The ROAS Trap: Why retail media campaigns are delivering more than we think

This presentation was delivered by Colin Barnard, managing director, ANZ at Criteo, a company that helps advertisers, retailers, and publishers activate and monetize audiences everywhere shoppable moments occur.

The discussion centred on the evolution and impact of retail media, and Barnard pointed to the rise of digital retail media and the impact of Amazon's role in the space. Barnard said retail media influences customer acquisition, loyalty, and lifetime value. He told attendees not to view retail media only as a lower-funnel tactic. 

"It can deliver so much more," he presented.

"Right-size your investments to make sure you're maximizing the potential of each of the channels available to you. Do not run always-on campaigns to take advantage of the benefits these provide.

"Make sure that the investments that you're putting in through retail media are reflective of the results."

He concluded by stating brands and retailers benefit from improved relationships and accountability, leading to increased investment and better customer engagement in retail media.

According to IAB Australia’s Retail Media State of the Nation 2024 Report, retail media advertising is on the rise in Australia, but agencies and marketers are looking for agreement and guidance on measurement and standards. 

The report found that over the last 18 months, 37% of retail media investors spent a significant amount of their media and marketing budget in retail media, up from 26% in 2023.

It also identified the most important driver of investment for agencies and marketers as the ability to reach shoppers at the point of purchase, followed by the opportunity to leverage the benefits of retailer first-party data.

Measurement-related requirements were found to have increased over the last year, with 69% of advertisers indicating that return on ad spend (ROAS) was now one of their top priorities to support continued and increased investment.

Barriers to investment included measurement and reporting (45%), followed by complexity in the relationship between brands and retailers (41%), the cost of partnering (34%) and attribution capabilities (34%).

See also: Industry agree standards and metrics increasingly important as retail media matures: IAB