eBay leverages new ad types, measurement to boost retail media network

4 emerging solutions to help standardize retail media AUGUST 14, 2023 | By Sara Lebow, Arielle Feger, and Becky Schilling [How eBay Ads grew its retail media network 35% with new ad types, improved measurement]( eBay recently posted [ad revenues of $367 million in Q2 2023](—a growth of 35% YoY—in its latest earnings. But much of that can be tied to innovation in its ad types, improved measurement capabilities, and expanded third-party ads. eBay’s market also gives it a retail media opportunity outside of consumer packaged goods (CPG). Let’s break down what eBay is doing right. Story continues below. Innovation: eBay Ads boosted revenues through tech improvements. - The platform’s improved search ranking system provides better relevance and monetization, including looking at ad performance more holistically rather than at one specific ad. That means not focusing on return on ad spend in a bubble but also including [additional KPIs]( like incrementality, said Alex Kazim, vice president and general manager of global advertising at eBay Ads. - eBay also updated seller guidance for ad rates and listing standards. “A seller has to say, ‘This is how much I’m willing to pay for a particular sale.’ And we provide what we call a suggested ad rate,” said Kazim. - Through promoted [display ads](, eBay is also pushing buyers to store pages rather than specific listings. “It’s the first product we have that actually helps drive traffic to a seller store, not specifically a seller’s item,” said Kazim. Measurement: eBay ads also introduced a form of [halo attribution](, where the company takes credit for ads that drive a purchase of a seller’s promoted items, even if it’s not the item a user clicked. “We think [this] gives the sellers a much clearer view of the value of the advertising and the return they’re actually getting on it,” said Kazim. Market: “We don’t focus on CPG, and so we have a kind of a different advertiser base. We do have large brands who sell directly on the site, and for them, this is [performance marketing]( and direct response,” Kazim said. eBay Ads has found the most [retail media success]( with parts and accessories, fashion, home, garden, and electronics. Third-party sites: eBay Ads purchases placements on behalf of sellers as part of its overall transaction feed, with ad placements currently on [Google and expanding to Bing](. This helps sellers drive traffic from outside of eBay, Kazim said. [Read online]( [4 emerging solutions to help standardize retail media]( A lack of standardization across platforms was cited as US marketers’ No. 1 challenge with retail media networks (RMNs) as of last summer, according to the Association of National Advertisers. This has led retailers, ad tech platforms, and others to introduce solutions aimed at standardizing retail media approaches. Here are four recent examples. - [Integral Ad Science (IAS) teamed up with Criteo]( to develop a product for measuring on-site quality metrics for retail media. Through this partnership, IAS will give Criteo’s retail media partners access to viewability and invalid traffic measurement, ensuring their campaigns are reaching real users. - [Albertsons Media Collective released a preliminary framework]( to standardize specifications, methodologies, terminology, and disclosures across RMNs. The first version of this framework concentrates on four areas: product characteristics, performance measurement, third-party verification, and capabilities. - [The Interactive Advertising Bureau is working with the Media Rating Council](to develop measurement guidelines to address inconsistencies across RMNs. The guidelines will establish norms around viewability, attribution, audience segmentation, data processing, and transparency. - Global media agency [UM launched Shoptimizer](, a “first-of-its-kind” retail media budget allocation and optimization tool. This tool is part of [IPG Mediabrands’ Unified Retail Media Solution](, a dedicated business unit that helps brands manage their investment performance across all RMNs. [Read online]( Email sent to: {EMAIL} If you cannot view the HTML newsletter, [please read it in your browser here](. [Become a Premium Subscriber]( | [Advertise with us]( [Manage your email preferences]( | [Unsubscribe]( | [Terms of Use]( | [Privacy Policy]( ©2023 Insider Intelligence, 11 Times Square, New York, NY 10036 [LiveIntent Logo]( [AdChoices Logo](