The Future of Retail Media, With Andrew Lipsman of Insider Intelligence - Episode 287

INTERVIEW WITH ANDREW LIPSMAN

DESCRIPTION

Kiri speaks with retail industry analyst Andrew Lipsman who is a prolific researcher and thinker on the topic of retail media. Kiri and Andrew discuss the potential of in-store retail media, whether retailers could band together to challenge Amazon’s dominance, work underway to standardize retail media measurement, and more.

Make sure you tune in to find out more!

Andrew Lipsman is a Principal Analyst at Insider Intelligence, focusing on retail and ecommerce. Recent coverage includes retail media networks, grocery ecommerce, D2C brands, social commerce, mobile retail apps, holiday shopping, and Amazon Prime Day.

“The Ad rates are going up because there’s nowhere better for those dollars to go.”

— Andrew Lipsman

KEY TAKEAWAYS

In today’s episode, Kiri and Andrew discuss:

Andrew published a report about in-store retail media and is super bullish on this opportunity for advertisers. We encourage folks who want a deep dive into this topic and their research to check out the CPG Guys podcast

Some seasoned CPG folks might call this the new end cap or trade promo. Is that the wrong way to think about this?
Does this opportunity primarily exist for enterprise brands/ CPGs? Or are there opportunities for mid-market brands here?

Retail media measurement and standards are hot topics for you. ANA and IAB

What is stopping retailers /RMNs from adopting common standards?
Lack of standardization across platforms, verification metrics, etc

In one of Andrew's recent pieces for Emarketer he states that Amazon is the 800lb gorilla of the RM space and all the ways that Amazon has a more advanced offering in this area.

Is there a future where RMNs will collaborate by sharing non-identifiable customer data in order to compete? E.g. data lakes?

A small number can maintain walled gardens. (a dozen players or so)
The long tail will struggle (e.g. GAP), data consortium to understand a consumer holistically (unique user ID to connect categories).
The question is what kind of cut does each retailer get from contributing to the consortium.
Similar to national TV. Or is Target outsourcing ecomm to Amazon?
This will enable getting 360 views of the customer. Purchase data is good.
Otherwise, they are competing against the trade desk.

GAP was unique - they only sold their own brand. - shut down recently.
Kiri’s view is that very few advertisers have the capacity to expand to more than a handful of RMNs.What would change this?
We are noting a lot of innovation from WM lately. Including their own DSP. What will WM need to do to close the gap?