Online shopping has become a go-to source for many consumers over the years. Why? Because it’s so much easier to click a few buttons and have your new pair of shoes or furniture come straight to your door than it is to get dressed and maneuver a giant box into your car.

Because of this, many retailers have been finding new ways to advertise their products online, and retail media networks are becoming the newest major player for brands.

The reason this form of advertising is growing and will continue to grow in 2024 is because retail media advertising allows the retailer to advertise their product on other retailer networks.

This means that instead of someone clicking on a casserole recipe and seeing your ad pop up on the side, they are actively shopping online through networks such as Amazon when they see your ad pop-up.

Let’s be honest, a consumer will more than likely shop for your product when they are already shopping for new things compared to if they are just trying to cook a dinner for their family.

While this is quickly gaining traction in the advertising world, many marketers still don’t know why it is important.

Let’s fix that.

Reason #1: Brands are reaching customers who are already interested. 

When a brand advertises on a retail media website, it can reach shoppers who are already actively shopping or in the mindset to purchase. So, when they are scrolling for new shoes on this site and see your ad for a different style of shoes or maybe a matching purse, they are more intrigued to click on your product.

The more they see your brand popping up on other retailer sites, the more relevant you stay to the consumer.

Reason #2: The customer conversion journey is usually shorter.

Retail media networks cut out the maze of third-party sites and send the customer directly to you.

For example, if your ad pops up on Instagram while the customer is scrolling, and they want to view the product, they would have to go into your profile and click on your link to take them to your website.

Or they would click on the product ad and shop through Instagram instead of your full website.

Retail media networks cut out the middleman and provide a seamless shopping experience for the customer. We all know that the easier it is to get something, the more likely it is that the item will be purchased.

Reason #3: It’s easier for the shopper to find what they are looking for.

It’s all about the right ad placement and while a shopper is scrolling through another retailer site looking for a specific product, your product may be just what they need, making their shopping experience quicker and your ROI higher.

This advertising space is relatively new, but with time I know this will become a major player in how retailers advertise their products. With everything I mentioned above, who wouldn’t?