GUEST COMMENT Beware retail media’s shortcuts to conformity

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Ben Foulkes, VP Digital, Epsilon argues that retail media needs to remain focused on being a data-driven, customer-focussed ecosystem

Among businesses trying to keep up with the fast-paced world of retail media, the recent launch of Amazon’s Retail Ad Service will certainly have turned heads. It promises precision targeting, powerful tools, and a way to streamline advertising efforts, all backed by Amazon’s trusted infrastructure.

It’s a nice package, but it’s not without its limitations. Amazon’s measurement and creative formats apply standard programmatic audience building and traditional direct-buying mentalities to offsite and onsite retail media advertising. If we reduce it to just another cog in the conventional media machine, we’re selling ourselves short. 

In most cases, what retailers need are solutions that are geared toward collecting more data and enabling them to get the most out of it. The true power of retail media lies in retailers harnessing their first-party data to expand their own ecosystems, creating new opportunities for brands.

The data dilemma: what’s the real cost?

A crucial factor to consider when using Amazon’s platform is control. By using Amazon’s ad tools, retailers are essentially handing over their customer insights to one of the largest ecommerce players in the world. That’s a trade-off that needs careful thought. While Amazon provides valuable infrastructure and expertise, the data you rely on becomes infinitely more standardised.

The beauty of retail media is in that control of first-party data. Your own data, collected through your own ecosystem, is far richer and more personalised than anything Amazon can provide. It’s crucial that we lean into this strength and make sure we’re enhancing it rather than outsourcing it. Leverage your ecosystem, build your own insights, and use that data to create truly personalised experiences for your customers.

Embrace the whole shopper journey

If you’re still just retargeting visitors to your website, you’re missing the bigger picture. Retail media has so much more to offer if you start thinking about the entire customer journey, both online and offline. It’s time to stop treating each shopper as a ‘visitor’ to your site and start seeing them as a full-fledged part of your ecosystem.

Think loyalty programmes, apps and other owned digital properties. Every single interaction a shopper has with your brand – whether they’re browsing in-store, checking their loyalty app, or engaging with your website – should be seen as an opportunity to connect, engage, and convert. Don’t limit yourself to retargeting. Use your full range of tools to engage at every touchpoint and build stronger relationships with customers. The more data you gather, the better your targeting will become, and the more effective your campaigns will be. 

What’s behind the push to standardise?

Retail media is evolving and it’s long been time to stop thinking of it as just an extension of trade or shopper marketing. New verticals like travel, finance and others that don’t involve direct transactions are becoming part of the retail media conversation. That’s where the idea of commerce media comes in. 

It’s a term that’s meant to expand the advertiser view, moving beyond traditional retail to encompass all the places where transactions can happen. It’s not a tiny, peripheral budget item anymore. It’s a substantial part of the ad spend pie that needs to be treated with the same level of measurement and scrutiny as any other channel. So, in this context, standardisation does make sense – it brings structure, consistency and scale.

But here’s where things get tricky. One of the most exciting things about retail media is its ability to be dynamic. It’s not just about pouring money into broad metrics like impressions or clicks. Retail media gives us the power to measure incrementality, tracking how each interaction moves the needle in real business outcomes. You can tweak performance levers as you go, testing, adjusting, and optimising in real time. It’s not static. That’s the real beauty of retail media. 

Don’t lose what makes retail media unique

So, where does all this leave us? Retail media is not just a side project that you bolt onto your traditional media plans. It’s a unique, powerful ecosystem that, if nurtured, can completely change how we think about advertising. But, for that to happen, we can’t let the pressure for standardisation or the buzz around ‘commerce media’ erase the essence of what makes retail media different.

Retailers need to resist the urge to follow the easy path of conforming to conventional media practices. Yes, it’s tempting to jump on the standardisation bandwagon. Yes, it’s easy to think that everything should work the same way. But retail media is different. It’s messy, dynamic, and full of potential. And if we start treating it like just another ad channel, we’ll miss out on the chance to build something truly unique.

So, let’s keep retail media what it was meant to be: a data-driven, customer-first ecosystem that helps brands create personalised, meaningful experiences. Let’s not sell ourselves short by conforming to old advertising standards. Embrace the messiness, lean into your data, and keep pushing the boundaries of what retail media can achieve.

Author

Ben Foulkes is VP Digital, Epsilon

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