Key Takeaways from Commerce Marketing Events in November 2023

Cory Weeks, Managing Director Agency Solutions at Shalion

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Commerce and Retail Media are on just about everyone’s mind at the moment, and for good reason. The industry is at a turning point, and the convergence of commerce presents exciting opportunities - both for the consumer and also the marketer. Let’s dive in! 

Shalion recently attended 5 events across the US (eCommerce Summit in Miami, Advertising Week in NYC, Amazon unBoxed in NYC, AW Retail Media Summit in Minneapolis, and Path To Purchase Live & Expo in St. Louis). This gave us the unique opportunity to connect with industry leaders and hear first hand what’s in store in the Commerce landscape for 2024.

Although spanning different cities, all 5 events stitched together consistent themes. We’re excited to share our takeaways as we move into 2024.

Consumer as the Commerce Compass

Across the diverse discussions of retail tech, data analytics, AI, and omni-channel strategies, one central theme rang true: the importance of using the consumer as our North Star in making decisions about the future of the industry. In the connected commerce space, the ultimate goal is to enhance consumers’ lives by facilitating connections with the right products at the right moment. Keeping the question "Will this result in a better experience for the consumer?" as our compass ensures growth-focused and responsible strategies for Retail Media and new tech developments.

Innovative Retail Media Experiences

eCommerce allows products and brands to appear in novel ways and through unique experiences not possible in physical stores. Search and website navigation journeys can now connect products in relevant moments throughout the year, for example a cold remedy pack that pairs tissues, soup, and orange juice. Retailers are launching new ad formats, including  product bundles, buy-it-again, and shoppable ad formats, simplifying consumer experiences and providing creative ways for brands to plug into shopping journeys. Viewing a video recipe for an upcoming dish for the holidays and then easily adding all ingredients to the basket is a frictionless experience for the consumer (no one wants to go hunt all those items down!). 

AI's Influence on Purchase Funnels

Just like snowflakes we're set to see in the upcoming winter months, no two purchase journeys are the same. Purchase journeys can begin at the end of the funnel based on need, availability, and price or alternatively at the top of the funnel. Regardless, what’s most important is to meet a consumer where they are. AI is poised to address this problem head on through its promise of better omnichannel experiences, personalization at scale, and relevance embedded in all touchpoints. Some of the spaces to watch in 2024 include: enhanced content creation and product presentation, tailored search journeys, individualized approaches to promotions, pricing optimizations, tailored creatives and messaging, and predictive shopping experiences.

Collaborative Retail Media Strategies

Integrating fragmented retail media budgets is a top priority for brands, and those who have done so are already experiencing the positive results. Specifically, brands are taking key actions to effectively ride the commerce wave: aligning retail media and national media budgets and planning into a joint approach, adopting a unified team structure across sales and marketing, and establishing shared KPIs. Breaking down silos that impede Commerce & Retail Media's growth requires shifting organizational perspective and releasing its power into holistic media mix planning and optimization. 

Content is King in Commerce Too

As commoditization of products accelerates globally, content becomes an increasingly critical part of building trust and conversions with consumers. Consumers will differentiate products less on features and functionality and instead on content experience, storytelling, and emotional connection. AI is already proving itself as a tool to facilitate the scalability and development of tailored and compelling content. Brands and retailers who strive to operate eCommerce with the mentality of a content platform that sells products, instead of vice versa, will win with customers.  

Diversity and Inclusion

Prioritizing genuine representation in online content, inclusivity in product development, and ensuring supplier diversity are not only socially responsible but also drive customer growth. This requires understanding consumer segments and ensuring inclusive distribution and access of products. Brands should consider Spanish-speaking and bilingual audiences as part of their keyword bidding strategies, crafting representative creative content and communication, and implementing hyper-localized strategies. These efforts collectively contribute to a more inclusive and diverse marketplace and experience for the consumer.

New Opportunities for Challenger Brands

Commerce and Retail Media aren’t just about the big, legacy brands. Smaller, challenger brands are also heating up the competition now more than ever. Through search, display, and promotional activations as well as other effective retail media and digital shelf strategies, they are claiming visibility alongside legacy brands. Keeping an eye on the full category and monitoring paid and organic share of voice vs. both legacy and challenger brands is more important than ever. 

Data Calls the Shots

In an ecosystem where data fragmentation is the core challenge, establishing success metrics through standardized data approaches is crucial. Consistent measurement across retailers and markets ensures transparency and long-term success for Retail Media. Access to market insights and competitive intelligence enables budget allocation and planning decisions across a diverse group of retailers and retail media networks. Data becomes our most powerful tool for making growth-oriented commerce marketing decisions.

“What Got You Here Won’t Get You There”

One message was loud and clear in this evolving space: don’t be stagnant. With rapidly changing technologies and consumer behaviors, what worked in 2023 may not work in 2024, and new innovations and efficiencies that delight the customer (and your boss!) are just around the corner. Building a culture that encourages test-and-learn approaches and data-driven strategies is key to winning in this space. 

Final Reflections…

Above all, it was encouraging to see the number of joint industry presentations across the events. In this evolving space, no one company has everything figured out (nor can they ever), so success is about brands, agencies, retailers, and technology companies coming together to  unlock value, innovation, and growth across consumers, society, and business sectors. With this spirit of collaboration, the 2024 stage is set for an exciting year!

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