Ad Tech Insights

Standards Are In-Store Now

The story: This September, the Interactive Advertising Bureau (IAB) introduced its first set of in-store retail media definitions and measurement standards at the Connected Commerce Summit in NYC. Created in collaboration with IAB Europe, these standards aim to bring more transparency and consistency to the industry for retailers, brands, and CPGs. 

During his keynote, Jeffrey Bustos, IAB’s VP of measurement addressability data, explained how the guidelines for ad formats and store zones will help streamline in-store media globally. He also noted that these new standards align with last year’s retail media measurement standards for online environments. 

The new guidelines focus solely on digital formats -- no printed materials or product sampling -- and are designed to be flexible, allowing room for future innovation. Bustos emphasized that these standards are intended to serve as “best practices” rather than rigid rules that could be too “prescriptive”, demonstrating a focus on balancing structure and adaptability. 

Key accomplishments from IAB’s standards:

• Defined what constitutes an impression, focusing on the “opportunity to see” as a minimum standard. 
• Clarified definitions for ad serving to promote industry-wide consistency. 
• Addressed incrementality and incremental sales lift to reduce confusion. 
• Organized retail space into five distinct “store zones” to help guide media placement. 

The takeaway: These new IAB standards mark a big step forward in creating more reliable in-store retail media measurement. For marketers and advertisers, this could translate into more straightforward campaign evaluations, clearer expectations, and potentially even better engagement and higher sales across various store environments. 

READ MORE.

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Extra Industry Insights

• Data from WARC found that retail media ad spend is projected to grow 13.7% in 2024, reaching $153B worldwide. 
• Internet Retailing’s 2024 report on retail media predicts some of the challenges that retailers and brands are likely to encounter, including: fragmentation, standardization, data privacy and transparency, and in-house expertise. 

Some DOJ vs. Google trial updates: 

• It’s been established during the trial that Google charges a 20% take rate for its ad exchange, while most other exchanges charge somewhere in the 10% range. 
• Expert witness Robin Lee, a professor of economics at Harvard University and expert in platform competition and two-sided markets, testified that if AdX no longer had access to Google Ads demand, publisher revenue would drop by a whopping 27.9%. To compare, no other exchange would see revenue decrease by any more than 0.5%.
• “It’s like saying I could walk to China right now - which I could, but it would be very difficult,” said Tom Kershaw, former CTO of Rubicon/Magnite, during Google’s cross-examination. Kershaw’s point was in response to a Google attorney’s claim that Prebid can be used without needing an ad server. 

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Kevel Catch-Up

ICYMI: Kevel x ATS London Panel 

Last week, Kevel’s panel “Is In-Housing Your Ad Tech The Path To Success?”, hosted by Kevel’s Neil Cameron, brought together industry powerhouses to discuss their remarkable journeys in-housing retail media tech. Featured speakers included Carlos Paulo from MC's ENDLESS®Life-Led-Data-Potential, Catalina Salazar, Global Head of Advertising at Wolt, and Nana Lohmanns, CEO and Founder of Verkstedt. 

Be part of the conversation and catch the full session here.

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Keep Learning

WATCH → Outdated ad tech won’t sustain retail media growth. Advertisers now need sophisticated tools, unique ad formats, and targeted audiences to drive ROI, ROAS, and incrementality. 

READ → Martech’s “3 challenges for marketers as retail media networks evolve” can help brands have a clear game plan before entering this fragmented, often confusing space. 

LISTEN → This episode of the Digiday Podcast is led by Ryan Burns, head of strategy at Sam’s Club Member Access Platform, as he covers Sam’s Club’s pitch to advertisers and how to stand out in a crowded retail media landscape. (Listening time: 56:38).