Retail media has confirmed to be a strategic funding for savvy manufacturers as a result of it delivers on vital key efficiency indicators. As a part of The Drum’s Retail Deep Dive, we discover out from FairPrice Group how manufacturers can acquire a rise in return on funding or return on promoting spend on account of retail media.
At FairPrice Group’s unmanned Cheers comfort retail retailer positioned at Our Tampines Hub, the shop makes use of expertise to supply hassle-free comfort, the place shoppers want solely to stroll in, decide up what they need and go away.
By the usage of synthetic intelligence and image-recognition expertise, the sensible system registers what they took and processes cost mechanically. This frees shoppers as much as be extra receptive towards in-store engagement, with content material advertising and marketing for this retailer producing 2m impressions.
This is only one instance of the advertising and marketing transformation of the group’s comfort retail and retail enterprise, which is led by Vivek Kumar, director for strategic advertising and marketing and omnichannel monetization at FairPrice Group, who took on the portfolio in October 2020.
“Considered one of our first steps final 12 months was to conduct in-depth shopper analysis to grasp the fast-evolving wants of our prospects. This allowed us to adapt and higher cater to the various segments of consumers that we serve,” explains Kumar.
“In response to the Covid-19 pandemic, we recognized key consumption events equivalent to a rushed breakfast, treats for youths after home-based studying or snacks for a comfy film night time with family members. Working with our product companions, Cheers and FairPrice Xpress supplied 100 on a regular basis merchandise at particular costs to convey some cheerful moments to our prospects. We additionally partnered with Mediacorp to convey it to nationwide TV, with a particular supply supply on Seize.”
Group engagement can be key to FairPrice Group, and the retailer has been working actively to interact its prospects in-store. Clients who visited Cheers shops in July had been offered a #cheerfulmoments card, designed with a enjoyable message to convey a smile to their faces. It additionally partnered with Foodpanda to create Cheers Supper Membership to assist its prospects get midnight snacks and drinks to unwind within the consolation of their houses.
“Equally, we created distinctive content material round Father’s Day and Mom’s Day. Our trendjacking on social media, from #sadlovestories to #marinabaysands in Tennessee, is liked by our social media followers. As such, we’ve got seen regular progress in our social media engagement price.”
FairPrice Group’s monetization technique
In early 2021, FairPrice Group launched FairPrice Group Media and partnered with transport firm SMRT’s Stellar Ace to supply omnichannel media stock to advertisers.
This initiative permits the retail group to supply a related ecosystem spanning hundreds of digital screens throughout prepare stations and bus interchanges to coffeeshops, meals courts and supermarkets, each offline and on-line.
Other than the advantage of transferring nearer to the patron, Kumar argues there’s a lot for manufacturers to love about retail media, mentioning promoting in retail is a brand-safe setting with first-party knowledge, bringing entrepreneurs ever nearer to an precise shopper buy event.
“We’re one of many uncommon retail media networks that additionally covers eating places. Our manufacturers equivalent to FairPrice supermarkets and Kopitiam are favourite locations of Singaporeans. We see our supermarkets and F&B places as neighborhood hubs, drawing individuals collectively on a social and useful degree in fulfilling their every day wants.
“We additionally supply an unmatched community of 550 digital screens throughout our retail and comfort shops and eating places. Actually, we’ve got opened up a lot of our meals areas the place the neighborhood gathers for the primary time to model advertisers. No different retailer can supply such a large and numerous community of engagement factors.
“With NTUC Hyperlink as a part of the FairPrice Group, we convey over 10 years of first-party knowledge and distinctive buyer segmentation and focusing on alternatives to manufacturers. We additionally attain over 90% of Singapore households as we’re the one participant right here who can convey a novel 360° attribution mannequin to advertisers. Lastly, we’ve got a fast-growing on-line e-commerce platform, making us a powerful contender within the on-line grocery retail area.”
Buying and selling OOH and DOOH stock programmatically
As the important thing focus for advertisers is accountability for his or her advert buys, the retailer now affords omnichannel impressions studies for each media purchase with FairPrice Group Media. This permits model entrepreneurs to evaluate the effectiveness of their omnichannel campaigns with FairPrice Group.
As well as, FairPrice Group additionally affords digital offsite media buys the place advertisers can faucet into certainly one of Singapore’s largest and most certified audiences to succeed in consumers matching their wants on Google, Fb or YouTube.
For instance, certainly one of FairPrice Group’s advertisers approached the retailer intending to extend gross sales and publicity of a serious beverage provider’s merchandise in key on-line search positioning.
The general aim was to extend gross sales uplift throughout the model, with heavy gross sales progress for promoted merchandise, and enhance on-line positioning. Promoted merchandise made $12.6m in gross sales within the 145-day interval. This was an 8.7% enhance on the earlier interval, equating to $1.02m in new gross sales. As such, the ROAS was 2,462%, whereas the advert conversion price was 70.8% with 1.4m advert impressions.
Kumar says: “We provide two sorts of offsite promoting options. The primary is self-service, the place advertisers can deploy their sturdy digital capabilities to run their very own paid adverts whereas committing to a big funds or minimal anticipated visitors to FairPrice On-line. The second is managed service, the place advertisers can make investments a minimal funds of $25k in our in-house paid adverts that faucet into our offline audiences, whereas optimizing for on-line and in-store conversions.
“We will do that as a result of we’re the one grocery participant in Singapore with the capabilities to measure on-line and in-store attribution. Being a real omnichannel retailer, we’ve got constructed a 360° attribution mannequin, with capabilities to run wide-ranging pilot checks with our giant viewers base of 2m+ prospects.”
He believes the longer term is omnichannel and data-led, which is why FairPrice Group Media is combining its channels and first-party knowledge to create a novel benefit for model companions in reaching progress in gross sales income and model KPIs. He notes in market conversations, advertisers have highlighted their need for artistic experimentation to allow them to obtain higher model consciousness. FairPrice Group is eager to associate with manufacturers to create distinctive, artistic executions which can be on model and on technique, and that add pleasure to the client journey.
“Now we have began experimenting with artistic buys. A great instance of this can be a current execution in our Kopitiam meals courts. It was a first-ever for us, the place we partnered with a model to create life-sized and extremely seen property with related messages to interact our diners. The execution was appreciated by our diners and the outcomes had been very optimistic for the model.
“It’s in each our and the model’s curiosity to make the procuring or eating expertise at FairPrice Group higher for our prospects. We stay up for creating extra such win-win-win partnerships. Finally, the key sauce is at all times in having the ability to pull collectively our first-party knowledge to seek out insights that may assist consumers make the proper determination. Creativity in how we leverage our knowledge to unlock such income alternatives for our companions might be an enormous aggressive benefit for them.”