Retail media has quickly become one of the most powerful forces shaping commerce, but its role is no longer just about driving transactions, said Bernie Che, senior director of retailer acceleration at Flywheel Digital.
Speaking with Beet.TV contributor David Kaplan, Che said in this interview that retailers are now “a data source, an audience creator [and] part of a brand story.”
“As we think about these retail media networks, we should be talking about them as a place that you can grow a brand and think about an omnichannel opportunity, a full funnel opportunity, and consider them as more than just a conversion driver,” she said.
Data at the core
The success of both retail media and the digital shelf depends on information flows, Che said.
“Not to be hyperbolic, but I think that data is at the core of everything that we should be doing in terms of both retail media as well as in the digital shelf,” she said.
Data, she added, should shape product detail pages, media strategies and the way brands engage consumers across all touchpoints.
Kroger offers one example of how online and offline data can be unified, Che noted, with 96% of transactions logged at the loyalty card level.
“What that means is that transactions that are happening both in store and online are being tracked to the same user ID,” she said. That, in turn, allows marketers to build full-funnel strategies and more precise audience targeting.
Breaking down barriers
Still, organizational silos remain one of the biggest obstacles for brands.
“Some people are getting in their own way,” Che said, pointing to internal red tape and poor communication between data teams and marketers. Even within marketing, she added, “different parts of the marketing team might not be talking to each other.”
While brands may have access to valuable data, the question is whether they can act on it.
“If you have that data that shows that retail media is what’s driving the business, do you have the internal capabilities to move money around… without being able to do that flexible movement brands are getting in their own way and not using the data to the best of ability,” Che said.
AI disruption
Looking ahead, Che expects artificial intelligence to reshape the field.
“As we look at the future and where we’re heading, both brands and retailers are going to see that AI is the big disruptor in the space,” she said.
Beyond advertising, he sees AI and machine learning transforming supply chains, content development and media allocation.
“As AI and machine learning are more heavily adopted, I would expect that to be a way that brands are really growing the space,” Che said.
You’re watching “Using Precision Data to Build Brands”, a Beet.TV leadership series presented by Kroger Precision Marketing. For more videos from this series, please visit this page.
