April 5: Retail media has not hit its growth ceiling

In this edition, we debunk the myth that brands are nearing their limit on retail media spend, and we add context to retail media updates from Instacart, Google, Lowe's and The Home Depot.

Unfold is a biweekly newsletter from the retail media experts at Threefold.

Hi there, and welcome back to Unfold, the biweekly newsletter from the retail media experts at Threefold! 

It has been a busy time for us at Threefold. Our team has been across North America in the last few months, as far north as Toronto, as far west as San Fransisco and as far south as San Antonio. Now, we're back east at our New York City headquarters and are preparing another exciting few weeks in all things retail media. More on that later in the newsletter.

But first, let’s recap: Twice monthly, we’ll meet on Threefold’s LinkedIn page, to discuss what’s happening in the exciting world of retail media. Plus, our experts will provide key context and insights backed by our 15 years of experience working in commerce marketing. What’s more, we’ll also tackle a pervasive retail media myth to end misconceptions about our industry. 

Without further ado, let’s Unfold.

This week, we’re busting the myth that retail media has hit its growth ceiling and brands are nearing their limit on retail media spend. 

The truth: We predict brands will increasingly shift budgets away from traditional advertising categories and move them to retail media as they see repeated success from retail media investments. Unlike legacy forms of advertising, it’s possible to measure  – with precision – and prove the value of retail media campaigns.

But that won’t happen on its own. Retail Media Networks must prove they offer more benefits than traditional advertising channels by providing a robust measurement proposition that proves metrics like ROI and iRoAS. These aren’t vanity metrics; this is hard data with black-and-white results that can be proven, tried and tested.

Threefold was founded on the principle that our experts could prove that retail media was the best way to spend advertising dollars. Fifteen years in, the data is clear; retail media is a better investment than other channels, including linear TV. Retail media is an investment choice brands make because its effectiveness can be proven, repeatedly. 

Our bank of 15 years of campaign data in Plan-Apps proves that when retailers approach retail media not as a pure ad sales opportunity, but as a full-funnel creative and data-led marketing initiative, retail media drives incremental ad revenue for retailers while delivering incremental sales advertising brands.

Brand advertising budgets are not set by media channel or format. Retail Media ad spend can attract incremental investment if retailers are open and transparent about their media inventory's performance.

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About Threefold

Founded in 2008, Threefold is the world's leading Retail Media Network (RMN) specialist, headquartered in both New York and London. As part of the SMG agency network, which employs over 250 retail media experts, Threefold's primary mission is to unlock incremental CPG budgets, curate media campaigns that supercharge sales and elevate its retail partners into top-tier omnichannel media owners, spanning in-store, off-site and online.

Threefold's services include consultancy, evaluation, and a white-label in-house solution that has seen the agency build, run and operate over 10 Retail Media Networks to date. In the UK, Threefold runs and operates Walgreens' Boots Media Group and Morrisons Media Group, and additional live partners include major retailers like Asda, The Co-op and The Very Group.