Digital and brick-and-mortar commerce don’t have to be strangers. Increasingly, businesses realize the convergence of online and in-store strategies offers brands enhanced opportunities to influence consumer behavior directly at the point of sale.
From personalized recommendations to dynamic advertising displays, the in-store environment is becoming a valued part of a digital brand’s footprint
Such is the view of Jenny Holleran, VP, media, insights & loyalty, Kroger Precision Marketing, in this video interview with Beet.TV. Holleran said that the ability to connect digital media with in-store media creates a dynamic environment that static ads could not previously achieve.
Loyalty Programs Offer Key Advantage
Retailers with robust loyalty programs are best positioned to capitalize on the convergence of digital tools and in-store shopping, according to Holleran. These programs provide a wealth of data on customer behavior, enabling personalized experiences and targeted advertising. Kroger, for example, captures 96% of all in-store transactions through its loyalty program.
“Having that understanding of loyalty and purchase behavior is allowing retailers like Kroger to have a step up and understand customer behaviors to be able to build in a way that’s personalized to the customer experience,” Holleran said.
Kroger is actively advancing its digital initiatives. In March 2025, the company announced the creation of a new e-commerce business unit to accelerate online growth, appointing Yael Cosset, previously senior vice president and chief information officer, as executive vice president and chief digital officer to lead this initiative.
Form Follows Function in Digital Adverts
Holleran emphasized the importance of strategic placement and design of in-store digital displays. She cautioned against simply “bolting” televisions throughout the store. Instead, she advocated for a tailored approach that considers the specific context of each area.
“You can’t just bolt a television in-store and call it digital advertising,” Holleran said. She highlighted examples such as longer horizontal displays over deli bunkers that provide visibility without disrupting the customer’s shopping behavior, as well as using displays in general merchandise or seasonal sections to guide customers through different aisles.
“How do you really put them in the appropriate size and space in the locations?” Holleran asked, referring to the health and beauty sections. The ultimate goal is to integrate digital advertising in a manner that feels native and enhances the overall shopping experience.
Opportunities Abound In Digitized Aisles
In-store retail media spending is projected to exceed $1 billion by 2028, according to eMarketer’s “In-Store Retail Media 2024” report, indicating a burgeoning opportunity for retailers to leverage physical store environments for media engagement.
Holleran expressed excitement about the potential of in-store digitization, noting that it has been “primed for transformation for a really long time.” She said that while Kroger has always had the scale, it has not always had the opportunity to bring brands to life in such a dynamic way.
“Now brands have an opportunity to understand the presence at scale they can have while customers are exploring the aisles while they’re making those purchase decisions,” Holleran said. The opportunities extend beyond static ads to include driving inspiration, aiding meal planning, and offering beauty tips.
“It’s not just having again a static ad in place, but really understanding how to drive inspiration,” Holleran added. “Meal planning is huge, beauty tips could be huge. The opportunities are endless…we’re able to build brands in stores with the scale that the physical footprint has.”
You’re watching “Putting the Store at the Core of the Commerce Media Ecosystem, a Beet.TV Leadership Series, presented by SMG.” For more videos from this series, please visit this page.
