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Retail media is the hyper-growing area of marketing in which retailers monetise their audiences for advertisers. It is estimated to be a 100-billion-dollar business by 2025. in-store, it all happens on digital screens. This means, that digital signage will have a central role in shaping the future of in-store retail media.
Traditionally, digital signage software is a CMS dedicated to solving publishing in their special environments: in-store or outdoor. There are plenty of them on the market and as products are hard to differentiate from each other, prices per sold unit tend to decline.
To serve retailers' new retail media needs, digital signage must provide ways to enable retail media’s core processes: audience creation, media sales & targeted advertising in-store. Furthermore, it must be ready to connect to programmatic ecosystems to provide an influx of buyers for the retailers' audiences.
If a digital signage software provider can offer the above-mentioned services to a retailer, it will grow to become a business-critical partner for a retailer. Unlike in DOOH, the media sales is not dominated by the major media sales companies. Digital signage companies can for themselves or with an agile sales partner offer a new way for a retailer to start a new revenue stream and negotiate deals with a renewed business logic instead of just receiving a license fee per unit.
And of course, as the screens turn from a cost item to a revenue maker their number will rise drastically. This will naturally add up in license per unit also.
Integrators, on the other hand, have also been suffering from always lowering hardware prices. Retail media will change the situation in two major ways. As said, there will be more screens, and this will automatically create more revenue for those integrators that will be involved in building retail media networks. Also, as screens will be seen as assets, there will be considerably less pressure on pricing than before.
What then can digital signage companies do to get involved in in-store retail media? It is clear, that companies offering CMS’s should search for solutions to add retail media capabilities to their offering. A basic CMS just can’t offer retailers what they need for a successful business.
Integrators should either be looking to partner with a digital signage software provider who is actively solving these issues or if they have their own proprietary digital signage software, try to add the critical functionality to their own stack.
Doohlabs platform is the only platform that can be integrated into your system without major restructuring. It provides all the needed in-store retail media capabilities from audience creation to media sales tools and programmatic connections as well as means to deliver the targeted advertising to the right screens with the right audience at the right time.
