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The physical promise for retail media

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insiderintelligence.com

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retail_media_newsletter@insight.insiderintelligence.com

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Tue, May 28, 2024 07:00 PM

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ATMs could be an untapped goldmine for retail and commerce media This edition is made possible by Si

ATMs could be an untapped goldmine for retail and commerce media This edition is made possible by SiriusXM Media. MAY 28, 2024 Prediction confirmed: Payments and financial services companies are getting in on retail media. PayPal is building an [ad network](. No surprise here, as these companies realize the value of their first-party data. Was this email forwarded to you? Sign up [here](. [Physical stores offer promising reach, but volume is still a long way off]( Key stat: By 2028, in-store retail media spend will reach over $1 billion but will make up less than 1% of total omnichannel retail media ad spending. Almost all (99%) of retail media ad spending will take place online, but most retail sales will take place in physical stores. Despite a pandemic-fueled surge in online shopping, more than 80% of the $7 trillion in US retail sales will still take place in physical stores this year. In-store shopping is becoming more digital, creating opportunities for integrating digital media. Consumer adoption of digital technology for in-person shopping accelerated during the pandemic, as use cases expanded for QR codes, digital payment options, and contactless pickup. Story continues below. Still, retail media spend in physical stores won’t increase meaningfully over the next four years. In-store retail media spend will exceed $1 billion by 2028, with its YoY growth outpacing that of online retail media. But in-store will make up less than 1% of total omnichannel retail media ad spend. [Read online]( [ATMs could be an untapped goldmine for retail and commerce media]( When Chase Media Network launched last month, it revealed the potential for more payments and financial service companies to get in on the commerce media game, leveraging consumer payments data to sell ads. One unexpected out-of-home implementation could be ATMs, said Stuart Mackinnon, COO of NCR Atleos, on our “[Behind the Numbers: The Baking & Payments Show]( podcast. ATMs offer the advantage of a captive audience. “When people are in front of an ATM, there's two really good points where you have their absolute focus,” said Mackinnon. - “First, when they put their card in, they're staring at the screen waiting for something to happen, and that's called the idle cycle,” he said. - “And then once you're waiting for something to happen, the cash to come out or the shutter to open to take your deposit, another 20 seconds of advertising space where your eyeballs are absolutely locked on that screen.” - Both are excellent opportunities for ads, which[retail and commerce media networks]( could use for targeting. If Chase leveraged its [commerce media data]( across its network of over 15,000 ATMs, it could launch hyperpersonal ads. For example, if Chase knew someone who bought orange juice in the past was at a store that sold orange juice, the bank could offer an ad and a coupon via ATM, said Mackinnon. “That's a win for the CPG, for the retailer, and for Chase,” he said. ATM ads using commerce media data will face privacy concerns. [Consumers aren’t used to]( being targeted at ATMs, which are places they want to feel secure. Ads could both impede the cash retrieval process and cause trust issues with the bank, so media networks will have to tread carefully. [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]( ©2024 EMARKETER, One Liberty Plaza 9th Floor, New York, NY 10006 [LiveIntent Logo]( [AdChoices Logo](

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