Proxima | November 16, 2022
Despite disappointing Q3 earnings for major ad platforms, a recent survey from data science company, Proxima, shows that marketers remain committed to ad platforms, even after a year of chaos and low satisfaction rates. While investors are scrutinizing the valuations of these platforms, the majority of consumer brands remain committed to digital advertising, both old and new channels, while seeking new ways to improve customer targeting. Approximately 80% of respondents report plans to maintain or increase their digital marketing budgets, including their spend on social media platforms, over the next quarter.
With 40% of respondents reporting a negative impact on marketing effectiveness from Apple’s privacy changes, nearly 100% invested in at least one way to enhance performance including the use of attribution software, third-party data solutions, partnering with like-minded brands or investing more in creative development.
Proxima surveyed more than 150 consumer retail brands to gauge how the changes in digital advertising over the past year have impacted their advertising budgets, overall effectiveness and future plans. Roughly half the respondents noted their top two challenges to marketing effectiveness have been “limited budgets” and “difficulty reaching their target customer,” with a disproportionate impact felt by smaller brands.
Additional survey findings include:
75% of companies remain committed to industry leader, Facebook, despite roughly 60% reporting being neutral or dissatisfied with the ad platform.
The marketing leaders surveyed show the greatest optimism for Google, with 85% of respondents planning to either increase or maintain their Google spend, suggesting brands are seeing dependable results in paid search.
Advertisers may still be willing to experiment with platforms like TikTok that are growing in popularity but still maturing in their ability to deliver for advertisers. Roughly 43% of companies surveyed plan on increasing their TikTok spend, despite TikTok showing some of the lowest satisfaction scores, with 46% reporting dissatisfaction with the platform.
Brands addressing targeting challenges head on are making progress. Just over 30% of participants report using third-party data solutions to increase marketing effectiveness, with 60% finding improved targeting and increased return on advertising spend (ROAS).
As marketers look to 2023, they are identifying new ways to increase advertising effectiveness through partnership marketing, investing in creative and implementing third-party solutions.
“Proxima is the key to customer acquisition after Apple’s privacy shake-up,” said Randall Stainton, Director of Growth, Finn. “They’ve been instrumental in improving advertising efficiency and helping us find new customers to grow our business.”
Proxima uniquely leverages a proprietary database of anonymized consumer data to help brands better reach the right consumers across all major platforms. Proxima is platform agnostic and delivers a return on advertising spend that’s on average 40% more efficient than standard campaigns. Some of Proxima’s customers include KISS, Apt2B, Kindra, Act + Acre Haircare, Gobble and more.
The Media Shop, Broadsign | October 12, 2022
Broadsign, developer of the leading out-of-home (OOH) advertising platform, and Australian outdoor media company The Media Shop (TMS), today (October 11th, 2022) announced a partnership that will fuel the growth of TMS’ network of retail signage.
TMS is leveraging the Broadsign platform to streamline ad sales and manage and distribute content across its expanding display network, including IGNITE, a new collection of 500 screens spanning Coles Express petrol and convenience stores in six capital cities.
Major brands, including Commonwealth Bank of Australia, Bunnings, and OfficeWorks, among others, have already activated campaigns on IGNITE screens to reach audiences with hyperlocal, contextually relevant ads. As advertiser interest in retail media continues to rise, the Broadsign Platform will provide TMS with the flexibility, scalability, and programmatic capabilities to expand its network to support the demand.
With Broadsign as the backbone of its entire network, TMS’ team is able to operate at optimal efficiency, deliver on its promises to customers, and support dynamic content featuring full motion video and real-time contextual data such as live sports scores.
“Ensuring our clients can deliver hyperlocal advertising on small-format signage that turns heads is our focus, and as we continue to grow, and advance our programmatic strategy, we need convenient, efficient technology solutions that support these ambitions. Broadsign is a leading global provider of OOH advertising technology solutions and programmatic trailblazer, so they definitely fit that mould,” shared Greg Power, general manager, The Media Shop.
“Ensuring our clients can deliver hyperlocal advertising on small-format signage that turns heads is our focus, and as we continue to grow, and advance our programmatic strategy, we need convenient, efficient technology solutions that support these ambitions. Broadsign is a leading global provider of OOH advertising technology solutions and programmatic trailblazer, so they definitely fit that mould,” shared Greg Power, general manager, The Media Shop. “With the Broadsign team and its technology on our side, we’ll be able to easily expand, and we’re thrilled about the collaboration.”
“TMS fills a true advertising niche in Australia, and we’re excited to be a part of such a rapidly expanding network in the evolving retail media space. Our work together is allowing TMS to quickly build a sizable digital out-of-home network in a scalable, secure, and simple manner,” shared Ben Allman, director of sales, Broadsign, ANZ. “Their team can now easily plan, propose, and deliver campaigns and manage their network with greater ease, and we look forward to building upon this work in our continued partnership with The Media Shop and Coles Express.”
Broadsign empowers publishers, agencies, and brands to harness the power of out-of-home and connect with audiences across the globe. Powering over 425,000 signs along roadways and in airports, shopping malls, health clinics, transit systems and more, Broadsign is at the heart of people’s lives. The Broadsign platform helps publishers more efficiently manage their business operations while enabling brands and agencies to easily book OOH campaigns. The platform includes tools for content distribution, playback and proof of performance; sales inventory availability and proposal generation; automated programmatic DOOH transactions; and OOH business operations. https://broadsign.com
MediaRadar | April 08, 2022
MediaRadar recently published a report that sheds light on top brands' overall expenditure on retail media, such as Amazon, Target, and Walmart.
Retail media has always been the area of interest for the consumer packaging goods industry. The plethora of brands worldwide does not shy away from spending big money on the platforms like Google and Facebook. According to MediaRadar's report, retail sales in the US have touched $4.5 Mn in 2021 alone. And this figure stands to be lucrative for the retail media networks. Moreover, this report states retail media has gained $3Bn+ through more than 35 thousand brands since May 2021.
The report by MediaRadar explains the causes behind this phenomenal spending in retail media. The acquired addressable audiences provide hundreds of millions of data points to the companies like Amazon. This massive amount of data points includes the purchase level data of millions of people. (e.g., hundreds of millions of Prime subscribers)
The retail industry does not depend on third-party data. Third-party cookies are seeing a downfall as companies like Apple and Chrome implement ways to eliminate them together. Instead, the retailers use first-party, shopper-level data to deliver timely and relevant ads. Moreover, the regulations and data privacy concerns through GDPR and CCPA have made collecting and using consumer data more complex than ever. However, retailers get precious consumer data from the consumers themselves.
Consumer electronics companies, telecom service providers, software tracking technology companies and security technology companies have made the tech sector a top spender in retail media, which is followed by the food and retail categories, respectively.
Within MediaRadar's tracking period (May 2021-Jan 2022), Amazon spent more than $1.36 Bn on ads, of which 45% was spent on retail media. Collectively Amazon, Walmart and Target have spent $2.3Bn on the advertisement. Since May, CPG brands have bought over $500 million on ads, accounting for around 17% of all buys (across 22 sites).
Big CPG players like Mondelez, Hormel, Unilever and Kellogg took advantage, spending over $20 million and as much as $46 million to promote their brands.
The CPG giants Mondelez, Hormel, Unilever and Kellogg are top players in the race of ad expenditure, pointing towards their improvised approach in media strategies due to the constantly rising e-commerce market.
Although, given this trend, retail media may appear crowded; however, the brand interest in this media category remains prominent and sustaining.