The evolution of retail marketing has taken on many forms, but one of the most dynamic developments is the rise of in-store retail media. Some might see it as a glorified version of digital out-of-home (DOOH) advertising—displaying flashy messages on screens within stores—but in-store retail media is far more sophisticated, driven by data, customer interaction, and technology. It’s changing the way brands connect with consumers at the most critical point: when they’re about to make a purchase.

To simply define in-store retail media as DOOH is to ignore its vast potential for personalisation, targeted engagement, and sales optimisation. As we dive into what makes in-store retail media unique, we will discover why it stands leagues beyond traditional DOOH advertising, reshaping the future of retail.

The Power of Personalisation

One of the most striking differences between in-store retail media and traditional DOOH is the ability to personalise content to a greater degree. In-store media can draw on real-time data to target individuals or specific customer segments as they browse. Imagine a shopper moving through the aisles, and the screen beside them highlights a product based on their previous purchases, loyalty card preferences, or even live stock levels in the store. This level of personalisation is impossible with DOOH installations that simply push a message to a broad audience.

The ability to integrate with customer loyalty programmes or mobile apps makes this even more powerful. When brands and retailers can understand not just general foot traffic, but who the specific shoppers are, what their preferences may be, and how they’re interacting within the store environment, they can fine-tune messaging to offer truly relevant promotions. In essence, in-store retail media turns screens into strategic points of engagement, allowing brands to connect with the consumer in a far more relevant and powerful manner than what is possible with DOOH.

Driving the Path to Purchase

In-store retail media does more than simply display ads—it actively influences the purchasing decision. While a static digital sign may attempt to raise brand awareness or reinforce marketing campaigns, in-store retail media offers a fully contextualized journey for shoppers – delivering attributable results and the ability to get analytics from the aisles to better inform future campaigns and prove incremental sales. By strategically placing smart digital screens at key points within the store, such as near product displays or at checkout, brands can deliver relevant messages that complement the shopper journey and have stronger influence.

For example, a customer may be on the fence about buying a particular product, and a nearby screen could highlight a limited-time offer or provide additional information about the product’s benefits. This kind of last-minute influence, right at the point of sale, transforms passive ad displays into active sales drivers. In fact, in-store retail media is more akin to dynamic merchandising, offering a measurable boost to sales, which traditional DOOH cannot achieve in isolation.

Integration with the Digital Ecosystem

In-store retail media bridges the gap between physical retail environments and online marketing strategies. Screens in stores are no longer just outlets for broadcasting ads—they are now integrated touchpoints within a broader omnichannel strategy.

With technologies like data-compliant sensors and real-time data analytics, in-store retail media can garner and use a wealth of in-store customer behavioural data. This data can then be fed back into digital marketing campaigns, enabling retailers to optimise both their in-store and online efforts. For instance, a customer who interacts with a product in-store but does not purchase it could be retargeted with personalised ads online, perhaps through email, social media,mobile app notifications or connected television.

Moreover, in-store retail media can be tied into loyalty programmes and CRM systems, allowing retailers to deliver highly specific, data-driven content that enhances the shopping experience, creating convenience and minimising frustrations for their customers.

Advanced Metrics and Real-Time Feedback

One of the main limitations of DOOH is the difficulty in tracking its effectiveness. While impressions can be roughly estimated based on foot traffic or location, there is little concrete data on how many people actually engage with the ad or how it influences behaviour. In-store retail media, however, offers the possibility of real-time feedback and advanced metrics.

With technologies like RFID, beacons, and customer analytics platforms, retailers can track exactly how many people interact with specific in-store media placements, which products they pick up afterwards, and whether the digital content influenced their purchasing decision. This closed-loop attribution provides a clear understanding of ROI and allows for real-time optimisation of campaigns.

For instance, if a particular promotion isn’t generating the expected engagement, the messaging can be adjusted on the fly to better suit the audience. This ability to measure, analyse, and act on consumer behaviour swiftly sets in-store retail media apart from the more static nature of traditional DOOH.

Creating an Immersive Experience

DOOH typically plays a supporting role in the marketing mix, adding visual presence but rarely creating a fully immersive experience. In-store retail media, by contrast, has the ability to enhance the overall shopping environment, turning it into an interactive and engaging experience. By blending digital signage with interactive displays, touchscreens, and augmented reality, in-store retail media can provide valuable information and entertainment that enriches the customer journey.

Consider a shopper in a clothing store. Instead of simply seeing a screen that shows a rotating set of ads, they might use an interactive display to browse additional product options, check sizes, or even virtually try on items using AR technology. This level of interactivity not only makes the shopping experience more enjoyable but also encourages customers to spend more time in the store and engage with the brand in a more meaningful way. For the retailer and the brands they supply, these interaction provide useful information on how to serve shoppers better in the future.

Successful Retail Media: Beyond Just Screens

In-store retail media is so much more than just another form of digital out-of-home advertising. It represents a powerful, data-driven tool for personalising customer experiences, influencing purchasing decisions, and integrating with the broader digital marketing ecosystem. While DOOH may still play a valuable role in reaching broader audiences, in-store retail media takes things to the next level by creating dynamic, interactive, and measurable touchpoints that can directly impact sales.

As retailers continue to invest in digital transformation, the role of in-store retail media will only become more central to their strategy. Its ability to seamlessly blend the physical and digital worlds, deliver personalised content, and provide advanced metrics makes it a cornerstone of the future of retail. It’s time to stop thinking of it as just another screen and start recognising it as a critical component of a modern, integrated marketing strategy.

This article first appeared in Retail Technology Innovation Hub

DMEXCO 2024 brought together the brightest minds in retail, marketing, and technology, offering a stage for innovative ideas and actionable strategies. Scala’s masterclasses at the event were packed with hundreds of attendees and spotlighted the dynamic evolution of  in-store retail media networks (RMNs), focusing on how brands, retailers and agencies can harness data and technology to create compelling, creative marketing campaigns to drive sales and increase revenues. 

Here’s a quick recap of the thought-provoking sessions, each addressing critical components of the retail media landscape:

1. From Traditional to Targeted: The Evolution of Agency and Brand Spending

This masterclass explored how agencies and brands are shifting investments towards in-store RMNs and what universal standards are required to allow them to feel confident in making that investment. Read the full breakdown here.

2. From Data to Decisions: Unlocking the Power of Performance Marketing for Measurable Success

Performance marketing has transformed retail, bridging data and actionable strategies to deliver measurable success. Learn how retailers are gathering that data and the way brands are using it here.

3. From Data Collection to Data Security: Balancing Growth and Compliance in Retail

Retailers must strike a delicate balance between leveraging customer data for growth and adhering to stringent data privacy regulations. Dive deeper into this essential topic here.

4. From Clicks to Bricks: Loyalty Programs as the Catalyst for Omnichannel Insights

Loyalty programs provide a rich source of customer insights that can drive both digital and in-store strategies. Explore how they bridge online and offline experiences here.

5. From Linear to Connected: Connected TV Reshaping Retail Media Partnerships

Connected TV is redefining RMNs by enabling seamless integration across channels, expanding reach and relevance. Discover how it’s reshaping partnerships here.

6. From Shared Profits to Owned Platforms: Supercharging by Fusing DOOH and In-Store

Explore the convergence of DOOH and in-store retail media and what makes the two offerings quite separate. Learn about the need for consistent measurement, customer-centric strategies and leveraging data-driven insights to optimise advertising impact and budget allocation. Take a closer look at the fusion of DOOH and in-store retail media here.

What’s Next for RMNs?

DMEXCO 2024 highlighted the pivotal role of in-store RMNs in the modern retail ecosystem, with tools and solutions provided by Scala, Walkbase and others enabling brands and retailers to create personalised, data-driven experiences that resonate with today’s consumers.

The ways in which in-store retail media has transformed retail relationships, marketing structures and customer experience will be explored more deeply in the next “What’s In Store for Retail Media Networks” event, scheduled for January 11, 2025. Held in partnership with the National Retail Federation (NRF), this event is poised to be a cornerstone of NRF 2025: Retail’s Big Show in New York City. 

Participants will gain actionable insights from thought-provoking discussions, network with industry leaders, and explore strategies to innovate in this evolving space. Register now for NRF 2025 and secure your spot for the “What’s In Store for Retail Media Networks” event here.

In the sixth masterclass session at DMEXCO 2024, Chris Riegel, CEO and Founder of STRATACACHE, brought together industry leaders to discuss the convergence of digital out-of-home (DOOH) and in-store retail media. As brands and retailers seek to reach audiences effectively along the customer journey, the session explored how these advertising formats could complement each other, shifting from traditional advertising towards more precise and performance-oriented strategies. 

Here’s a breakdown of the session’s insights:

Key Differences and Overlaps between DOOH and In-Store Retail Media

 The panelists opened by distinguishing between DOOH and retail media, emphasizing how each serves unique purposes. Frank Goldberg, managing director of Germany’s Institute for Digital Out of Home Media, noted that while both use digital screens and similar technology, retail media has unique advantages in shopper marketing and direct conversion due to its in-store presence. 

Remon Buter, Chief Investment Officer at GroupM, argued that while retail media can drive conversion at points of purchase, DOOH remains effective in top-of-funnel brand-building efforts. Despite these differences, both channels could benefit from integrating more data to improve targeting and measurement.

Metrics and the Need for Unified Measurement

The discussion highlighted challenges around measuring effectiveness, especially across different European markets. Florian Rotberg, managing director of Invidis Consulting, explained that while Germany has advanced data on DOOH reach and conversion, retailers still seek greater standardization for in-store metrics. 

Panelists emphasized that comparing the brand impact of each medium and integrating reach metrics could help retailers and advertisers make more informed buying decisions. As different countries in Europe maintain distinct standards, a pan-European measurement system could help unify these metrics for advertisers.

Shifting Budgets and the Rise of Digital Media

The session examined how budgets are moving from traditional media to digital formats like DOOH and in-store screens. Frank argued that while digital channels grow, traditional TV and print are seeing declines, pushing advertisers to allocate more budget towards DOOH and retail media. Panelists agreed that DOOH’s strength lies in creating brand awareness, while in-store media excels in targeting customers closer to the point of purchase, supporting conversion goals.

Challenges and Opportunities for Retail Media

One significant challenge for retail media is its current reliance on traditional trade marketing budgets, though it’s evolving towards attracting incremental media budgets. Panelists debated whether in-store screens should focus solely on performance or also embrace brand-building. 

Frank suggested that in-store screens should avoid being labeled strictly as “performance media,” as this may limit their brand-building potential. Remon added that as retailers grow more comfortable with data-sharing and measurement, they’ll become better equipped to position retail media networks as reliable performance channels.

Future Integration and the Path Forward

Looking ahead, panelists saw significant potential in blending DOOH and in-store media as part of a holistic strategy. By positioning screens strategically along the customer journey—from the street to the store aisle—advertisers can extend brand campaigns and leverage location-specific relevance at the point of sale. With advancements in programmatic buying and data integration, DOOH and in-store retail media networks could soon operate under a unified planning framework, enabling advertisers to reach audiences with precision at every stage of their journey.

Closing Thoughts

As retail media networks continue to expand, they are reshaping the advertising landscape, offering retailers a new revenue stream while enabling brands to reach customers more effectively. The session concluded with a consensus that while DOOH and in-store media serve distinct roles, they can work together in an integrated approach to drive both brand awareness and conversion, ultimately providing advertisers with a more versatile and effective media mix.

This convergence marks a significant evolution in retail advertising, opening new avenues for growth and innovation in digital media strategies across Europe.

You can watch the masterclass here. You can access all of the masterclasses of What’s In-Store for Retail Media Networks, presented in cooperation with DMEXCO here. 

This September Ben Reynolds, Vice President Of Business Development, Walkbase chaired a panel discussion on loyalty data as part of Scala’s What’s in Store for Retail Media Networks, presented in cooperation with DMEXCO. You can see the full session here and read a summary of the topics raised here. 

One of the panelists, retail consultant and strategist, Renee Hartmann sat down with Ben to discuss the value of first party data and how the future of retail belongs to those who make customer service a priority. The article below originally appeared on renee-hartmann.com. 

“First-party data is your most valuable asset—be diligent and transparent in how you use it,” emphasizes Ben Reynolds, VP of Business Development at Walkbase, setting the tone for our recent discussion on the evolution of retail engagement strategies.

After I had the pleasure of participating in a panel moderated by Ben Reynolds, Vice President of Business Development at Walkbase, at DMEXCO on customer loyalty, I flipped the script to unpack his insights on building lasting customer loyalty in today’s retail landscape.

In today’s retail landscape, the ability to harness first-party data has become crucial for creating meaningful customer experiences – especially as consumers shop across channels. Reynolds notes that retailers are becoming more sophisticated in their approach, particularly in North America, where companies are effectively leveraging behavioral data from e-commerce sites to enhance personalization and loyalty programs.

However, a significant challenge remains: bridging the online-offline divide. While many retailers successfully track transactions and link them to online behavior, they often miss valuable in-store behavioral data. “What if I don’t transact, but I’m showing intent like I do on a website?” Reynolds points out, highlighting an often-overlooked opportunity in physical retail spaces.

 Innovation in Customer Engagement

Leading retailers are finding creative solutions to this challenge. Some are implementing sophisticated tracking systems for shopping carts and baskets, while others are focusing on mobile engagement. Companies like IKEA and Starbucks exemplify successful approaches in bridging the gap through mobile apps, creating seamless experiences that incentivize customers to engage across channels.

“Your own properties—site, store, mobile—are your most powerful channels for direct customer communication,” Reynolds emphasizes. “So be sure to invest in reaching your customer on your own sites, especially as the cost-curve for in-store retail media assets comes down, and retail media margins remain high.”

The key to successful data collection lies in creating a clear value exchange. Whether it’s Starbucks’ loyalty program or Sam’s Club’s scan-and-go technology, customers are willing to share their data when they receive meaningful benefits in return. These might include personalized offers, enhanced convenience, or exclusive perks.

The Role of AI in Retail Evolution

Artificial Intelligence is revolutionizing how retailers process and utilize customer data. With millions of daily observations from both physical and digital channels, AI enables retailers to:

• Process vast amounts of data quickly
• Create more personalized experiences
• Generate relevant creative content efficiently
• Make real-time decisions about customer engagement

Retailers are increasingly turning to AI across all aspects of their business that enable them to unlock more sophisticated consumer insights, quickly personalize the customer experience based on these insights, and tailor content specifically to each individual’s preferences. 

 Looking Ahead

As the retail landscape continues to evolve, success will depend on thoughtful deployment of first-party data strategies. Reynolds advises retailers to:

• Be conscientious and transparent about data usage
• Maintain a fair value exchange with customers
• Invest in owned properties (physical and digital)
• Take advantage of decreasing costs in in-store media technology
• Focus on direct customer communication channels

The future of retail belongs to those who can effectively balance these elements while maintaining customer trust and delivering genuine value. As technology costs decrease and retail media margins remain strong, now is the perfect time for retailers to invest in strengthening their omnichannel presence.

 In the fifth masterclass session at DMEXCO 2024, panelists discussed the growing significance of Connected TV (CTV) as a strategic advertising tool for retailers. The session, hosted by Chris Riegel, CEO and Founder of STRATACACHE, featured industry leaders such as Jay Rajdev from ITV, Claire Hunt, Director of Atonik Digital and former Senior Partner Manager at Amazon Prime Video Channels, and Christian Zimmer, Managing Director at Teads. 

These industry experts explored how retailers and media networks can leverage CTV for targeting precision and greater revenue impact, especially as traditional TV ad spending shifts towards digital formats. Here are the highlights of the session:

The CTV Advantage for Retailers

CTV emerged as a core component for retail media networks, providing retailers with an additional advertising channel to complement on-site, in-app, and in-store strategies. The shift of advertising to CTV not only offers increased targeting accuracy but also ensures a more seamless viewer experience without interrupting content, enhancing both ad relevance and viewer satisfaction. By integrating retailer data with CTV platforms, advertisers can deliver highly-personalized ads, which improves the return on ad spend while offering meaningful insights on in-store conversions.

Evolving Consumer Habits: The Role of Data and Streaming

Speakers stressed the importance of data-driven strategies in an environment where consumers increasingly opt for on-demand, multi-platform viewing. Jay from ITV UK shared that over half of the world’s TV screens are now internet-connected, enabling new data integrations and targeted advertising beyond traditional demographics. He highlighted how ITV’s proprietary streaming platform, ITVX, was designed to capitalize on this trend, offering advertisers targeted reach with enhanced viewer insights.

Navigating Regional Nuances in CTV Adoption

Panelists noted that CTV adoption varies by region, with the US leading the shift from linear TV to streaming, while markets like the UK and Germany retain significant linear viewing bases. In Germany, strict GDPR regulations present unique challenges to data sharing, often necessitating innovative approaches for compliant audience targeting. Meanwhile, in the UK, public service broadcasting continues to drive high engagement, making it essential for broadcasters to balance traditional linear advertising with emerging CTV capabilities.

Democratizing Advertising for Smaller Brands

A key discussion point was the potential for CTV to “democratize” advertising. With highly-targeted CTV capabilities, brands with smaller budgets can now compete for premium ad placements alongside large FMCG brands. This development enables mid-tier brands to engage consumers with greater cost efficiency than traditional TV could allow.

Data Collaboration and Consent Challenges

The panelists emphasized the critical role of data-sharing partnerships between retailers and media networks. By merging retailer data with media consumption habits, advertisers can create shopper graphs that link online engagement with offline purchasing behaviors. However, ensuring consumer consent and addressing GDPR compliance are ongoing hurdles, particularly in regions with stricter data regulations. Claire Hunt from Atonik Digital noted that while consumer targeting precision offers clear benefits, transparency and robust consent mechanisms are key to sustaining consumer trust.

Towards a Unified Approach for Retail Media Networks

In concluding remarks, speakers encouraged retailers to embrace CTV as a cornerstone of their media strategies, despite the nascent state of standardized technologies and consent frameworks. They highlighted the importance of curiosity, experimentation, and adaptability for retailers entering this space, stressing that the future of advertising lies in collaborative, data-driven, and highly targeted approaches.

The consensus was clear: CTV offers retailers unprecedented precision in reaching consumers, with the potential to transform retail advertising. As the sector continues to innovate, the value proposition of CTV will only grow, making it a pivotal tool for any retailer looking to enhance customer engagement and drive measurable outcomes.

You can watch the masterclass here. You can access all of the masterclasses of What’s In-Store for Retail Media Networks, presented in cooperation with DMEXCO here. 

This week our sister company, PRN, announced that they would be responsible for the monetization of all digital in-store advertising space for Basic-Fit in France. PRN will run the French on-premises media network for Europe’s largest fitness chain from January 1, 2025 placing advertising across more than 5,000 displays, combining to an annual rate of over 110 million impressions. You can read the full press release here. 

This partnership is the first European retail media network to be operated by PRN, which is, like Scala, a STRATACACHE company. PRN has 30 years of success in architecting, deploying, and monetizing multi-stakeholder, rich-media networks, primarily in the US. 

This is an exciting announcement for Scala. We have been working with Basic-Fit since 2012, providing the display infrastructure crucial to Basic-Fit’s customer and employee communications strategy. Scala also powers the Basic-Fit “Virtual Cycling” and “Virtual Workout” experiences, through which members can access fitness classes remotely across the Netherlands, Belgium, Luxembourg, France, Spain, and Germany. 

The PRN announcement demonstrates the strength of the STRATACACHE proposition regarding retail media networks. By working with the STRATACACHE family of leading marketing technology companies, including Scala, PRN, and Walkbase, retailers and business owners can create and optimize an in-store retail media network that generates revenue through targeted messaging delivered on premier display technology. The customer behavior data available through the Walkbase analytic tools means that the impact of the retail media network can be accurately demonstrated and appropriately monetized. 

I’m immensely proud that our relationship with Basic-Fit has evolved the way that it has. The Scala team has worked closely with Basic-Fit over the last 12 years to ensure that they can offer their customers, employees and partners an incomparable experience. The flexibility of the Scala platform has meant that the customer-facing capabilities of the technology within Basic-Fit clubs has steadily grown. New opportunities such as the Virtual Fitness Experience, showcase the innovation, creativity and trust that have guided our ongoing relationship with Basic-Fit. That Basic-Fit are now deepening their commitment to STRATACACHE by appointing PRN to manage their French retail media network demonstrates the expertise of the STRATACACHE family of marketing technology companies when it comes to working with businesses to create efficiencies and extend revenue opportunities. I am excited to see how the partnership develops and to share many similar announcements in the future. 

The fourth masterclass of What’s in-Store for Retail Media Networks began with Ben Reynolds, VP of Business Development at Walkbase, introducing the panel of retail experts: Renee Hartmann, author of NextGen Retail, Frank Trefzer, RVP from Tealium, and Andy Baldauf formerly of Switzerland’s Ex Migros Supermarkt AG. 

These leading experts gathered to discuss the evolving role of loyalty data in the retail landscape, exploring its value as a first-party data source and how it drives personalization, customer experience and retail media strategies. Panelists shared insights on leveraging data to create customer-centric loyalty programs, how best to approach privacy regulations and ways to enhance retail media effectiveness.

Let’s take a closer look:

Loyalty Data as the “New Oil” for Retail

Retailers are increasingly aware of the potential of loyalty data, often viewed as the “new oil” of commerce. This data, especially when gathered with consent, enables companies to personalize customer interactions across touchpoints, from online to in-store experiences. Renee Hartmann, an industry veteran, emphasized that loyalty programs should be centered on what customers find enticing—whether special offers, early access or exclusive discounts. This customer-first approach not only strengthens brand loyalty but also opens pathways to valuable insights that drive decision-making.

Privacy as a Catalyst for Innovation

One of the session’s key themes was how privacy regulations, especially in the EU, can inspire innovation. Panelists noted that regulations like GDPR, often perceived as restrictive, actually encourage brands to devise creative ways to engage customers while respecting privacy standards. Frank Trefzer highlighted the opportunity to build trust by making privacy a cornerstone of customer communication. As a result, privacy becomes a differentiator, providing companies with a “trust advantage” that enhances brand loyalty.

Comparative Global Approaches to Loyalty Programs

In Europe, privacy-conscious consumers require clear value in exchange for their data, while in the U.S., loyalty programs are more widely accepted, albeit with lower privacy expectations. This cultural difference requires brands to tailor their approaches: European retailers may need to invest more in transparent communication and customer education, whereas U.S. brands can focus on convenience-driven loyalty, such as the ease of app-based purchases or discounts.

Retail Media and the Role of Loyalty Data

As retail media networks gain traction, loyalty data becomes integral to delivering targeted and relevant promotions. However, effectively integrating loyalty data into retail media requires overcoming challenges related to data quality, privacy compliance and technology infrastructure. Andy Baldauf underscored that retailers need the right tech stack and talent to fully leverage loyalty data. By doing so, they can maximize the benefits of their retail media networks, attract more brand partners and enhance the customer experience with tailored content.

Innovations and Best Practices in Loyalty Programs

The session showcased innovative loyalty programs from brands like IKEA and Amazon Go, which use app-based and in-store technologies to make shopping experiences more convenient and personalized. Panelists also discussed the potential of smart stores and AI-enabled in-store analytics, which offer real-time insights that can be integrated with loyalty data to create seamless, omnichannel experiences. However, the panelists acknowledged that implementing such technologies is cost-intensive and may be more feasible for high-margin or niche retailers.

Overcoming Barriers to Adoption

The final discussion touched on common challenges in scaling loyalty programs, including omnichannel integration and technology adoption. The panel suggested that, for loyalty programs to truly thrive, retailers must break down silos across online, offline and in-store data sources. This requires a centralized customer data platform that can deliver real-time, actionable insights. Additionally, panelists advocated a “build, measure, learn” approach, where retailers continually test and refine their loyalty strategies based on customer feedback and data insights.

Looking Ahead: The Future of Loyalty Programs

The panel concluded with a discussion on the future of loyalty, particularly the trend toward “co-marketing” where retailers partner with non-endemic brands to extend loyalty benefits. Panelists speculated that partnerships allowing customers to use points across brands, such as redeeming airline points at grocery stores, would enhance value and convenience, making loyalty programs more attractive.

In summary, the fourth masterclass at DMEXCO 2024 provided invaluable insights into how retailers can harness loyalty data while navigating the complexities of privacy regulations, retail media and customer-centric innovation. By focusing on trust, transparency and a customer-first approach, retailers have the opportunity to unlock the full potential of loyalty data, positioning themselves for a future where data-driven insights power meaningful customer relationships and sustained business growth.

You can watch the masterclass here. You can access all of the masterclasses of What’s In-Store for Retail Media Networks, presented in cooperation with DMEXCO here. 

The third masterclass of What’s in-Store for Retail Media Networks began with Chris Riegel, CEO and Founder of STRATACACHE introducing the impressive panel of experts: Dara Kossok-Spieß from the German Retail Federation, Janek Kuberzig from Wirtschaft (BVDW, representing over 600 members in the digital economy), and Dr. Jürgen Hartung, a partner specializing in IT law and data protection at the law firm Openhoff. 

This masterclass discussion addressed the evolving landscape of digital innovation, focusing on how businesses—particularly those in retail—can leverage data for growth while adhering to strict legal frameworks such as the General Data Protection Regulation (GDPR) and the upcoming AI Act.

The conversation spanned several pressing topics, including the challenges that small and medium-sized enterprises (SMEs) face in navigating increasingly stringent data protection laws, the distinction between data tracking online and in physical environments, and the importance of building customer trust through transparency. The panelists also delved into the future of retail, considering the potential and risks of personalization, AI-driven technologies, and voice commerce.

This summary outlines the key points discussed, offering insights into how businesses can stay competitive in the digital era while adhering to compliance mandates and safeguarding customer relationships.

Key topics covered within the discussion include:

Data Collection and Regulation:

The panel acknowledged the increasing difficulty of balancing innovation and regulation in the digital economy. Dr. Jürgen Hartung emphasized how data protection laws like the GDPR are often written in broad, generic terms that leave room for interpretation. This verbal ambiguity creates a “gray area” that confuses businesses. For example, concepts like “legitimate interests” and “personal data” are not always clear, making it difficult for companies to know what they can and cannot do with the data they collect.

This uncertainty particularly affects small and medium-sized enterprises (SMEs), who lack the resources of larger corporations to navigate the increasingly complex legal landscape. Dara noted that while large corporations like Amazon can afford teams of lawyers to ensure compliance, SMEs are often left struggling.

Online vs. In-Store Data Tracking:

The panel also discussed the differences between online and in-store data tracking. Janek Kuberzig pointed out that customers tend to feel more observed in physical spaces, like retail stores with security cameras, compared to online tracking, which is less visible. He described how walking through a store under the gaze of cameras makes customers feel watched, whereas online, they often click consent buttons without fully understanding the extent of tracking.

Jürgen argued that the same legal principles should apply to both environments, but the implementation varies. He gave the example of cookie banners online, which users have grown accustomed to, compared to the more obvious and potentially intrusive use of cameras in stores. To avoid customer discomfort, Janek suggested that retailers focus on transparency and communication about how and why data is being collected.

The Importance of Transparency and Trust:

Building trust through transparency was a key theme. Both Janek and Jürgen stressed that while legal consent mechanisms, such as cookie banners, provide a form of compliance, they do not equate to true understanding by customers. Jürgen suggested that consumers should be better informed about how their data is used, noting that most people don’t fully comprehend the complexity of data tracking. He stated, “It’s not real consent because the details are just too complex to really understand.”

Janek added that retailers should be more communicative with customers, explaining not just what data is being tracked but also how it benefits them. He offered the example of telling customers that their data is being used to improve store layouts or product placement, which could enhance their shopping experience.

Purposeful Data Use:

Dara and Janek both stressed the need for purposeful data collection. Dara pointed out that many retailers, especially smaller ones, collect vast amounts of data without a clear plan on how to use it, rendering it useless. “Data for data’s worth is worth nothing,” she said, emphasizing the importance of having a clear strategy before collecting data​.

Janek expanded on this by discussing how anonymized data could often be more useful than individualized data. For example, in grocery stores, understanding the behavior of customer groups (such as families or elderly shoppers) could be more valuable for improving store efficiency than tracking the shopping habits of individual customers. By focusing on group behaviors, retailers can optimize layouts, product placement, and customer service without infringing on personal privacy​.

The Role of Regulation in Innovation:

One of the most contentious points in the discussion was the role of European regulation, particularly GDPR and the upcoming AI Act, in hindering innovation. Jürgen Hartung argued that while regulation is necessary, the sheer volume of laws introduced in the last decade—ranging from GDPR to the Digital Services Act (DSA) and the Digital Markets Act (DMA)—has created a complicated legal environment that stifles innovation, particularly for SMEs.

Dara agreed, noting that the rapid succession of regulations has overwhelmed businesses. Since 2020, she has seen over a dozen major regulatory packages introduced, making it difficult for companies to keep up. However, she distinguished this from the idea that regulation itself is the problem, arguing that it is the pace and complexity of the rules that are stifling innovation, rather than the existence of regulation per se​.

The Future of Personalization and AI:

The panel discussed the future of AI in retail, particularly around personalization. Dara suggested that voice commerce and tools like ChatGPT are going to revolutionize retail in the next few years by providing better personalization. She predicted that personalization would become a competitive advantage for retailers, allowing them to create stronger connections with their customers and reduce returns through more tailored recommendations​.

However, the group was cautious about the risks of over-personalization. Janek warned against creating a “Minority Report” scenario, where hyper-targeted advertising becomes invasive. Both he and Jürgen emphasized the importance of balance, ensuring that personalization benefits the customer without crossing ethical lines​

Ultimately, the panel discussion underscored the challenges businesses face in balancing data collection for growth with the need for compliance and customer trust. Regulation, particularly in Europe, plays a critical role in protecting consumer privacy, but the complexity and speed of new laws—especially for SMEs—pose significant challenges to innovation. The success of retailers in the next decade will depend on their ability to strike this delicate balance between innovation, compliance, and consumer trust.

You can watch the masterclass here. You can access all of the masterclasses of What’s In-Store for Retail Media Networks, presented in cooperation with DMEXCO here. 

The second masterclass of “What’s in-Store for Retail Media Networks” began with Ben Reynolds of Walkbase giving the audience of assembled retailers, marketers, and brands an overview on the future of retail media, particularly in-store digitalization and how it integrates with e-commerce. The conversation with Katrina Smart from Mars United Commerce, Stanislas Lajouanie from LiveRamp, and Tijmen Willems from PRN revolved around gathering and utilizing customer behavioral data in physical stores to enhance the retail experience, similar to how data is used in online environments. The panel discussed how retail media is evolving to leverage technology like digital screens, mobile apps, and sensors to improve customer engagement and drive sales.

Key topics covered within the discussion include:

1.Importance of In-Store Data

While e-commerce sites have long been an important source of behavioral data for marketing, this discussion highlights how the retail landscape is transforming, and stores need to capture in-store customer behavioral data just as effectively as e-commerce sites do. This data includes what customers touch, consider, and ultimately purchase. Retailers are focusing on how they can close the gap between digital and physical interactions.

Retailers and brands are also looking for closed-loop attribution, similar to online channels, to track the customer journey from initial exposure to purchase.

“The store is integral to retail media. It’s where retail media started… it’s how you’re speaking to customers through your print ads, and as it has evolved, it’s now become crucial just because of the evolution that we’ve seen with digital.” — Katrina Smart, VP Digital Commerce Europe – Mars United Commerce

2. Omnichannel Experience

The panel emphasized the importance of creating a seamless omnichannel experience, blending the online and in-store experiences for consumers. By using in-store data effectively, retailers can offer personalized ads and content based on customer interactions in the store, similar to how they do online.

Also a heavy point of discussion — how this omnichannel experience can enhance customer loyalty and engagement by making the customer journey more relevant, whether they’re shopping in the physical store or browsing online.

“Retail stores are the place where you can provide a personalized, close, and human experience to your consumers, and I think that is absolutely key in order to

improve customer experiences overall.” — Stanislas Lajouanie, MD Continental Europe – LiveRamp

3. Privacy and Data Collaboration

With the increased collection of in-store data, privacy was a major point of concern in this discussion. Panelists agreed that retailers need to be transparent about the value exchange when collecting data, and they must ensure consumers understand what they are opting into.

“You need explicit consent, and there needs to be a very clear value exchange. So what do I give in terms of data, and what do I get in return? Personalized ads? Discounts? It needs to be very clear.” — Tijmen Willems, VP Retail Media EMEA – PRN

The panel of experts also discussed how privacy needs to be maintained while working within “clean rooms” where brands and retailers collaborate and share data securely for targeting and measurement.

4. Regional Differences in Retail Media

The discussion compared the maturity of retail media between Europe and North America. While the U.S. has been a leader in online retail media, Europe has been at the forefront of in-store digitalization.

“Europe was quite early in adopting in-store retail media, but it was more of a digital out-of-home network without the data. In the U.S., online retail media really started off in 2012 with Amazon.” — Tijmen Willems, VP Retail Media EMEA – PRN

There’s a sense that in-store digitalization is growing rapidly in Europe, but the U.S. is catching up as retailers, including leading big box retail stores, begin testing innovative solutions such as personalized ads delivered through mobile apps during in-store shopping.

5. Technology and Measurement

The panel touched on the importance of using technologies such as AI, sensors, and RFID to gather meaningful in-store data and enrich customer experiences. They also emphasized the need for standardization in metrics across stores to ensure reliable comparisons for advertisers.

One of the technological innovations discussed was the ability to deliver personalized content based on real-time interactions in-store, such as displaying product information on screens when a customer picks up an item, or adjusting ads based on location and time of day.

“If you can enrich [customer experiences] with in-store data and intent signals—like which products they picked up or considered but didn’t buy—it adds a lot of value.” — Stanislas Lajouanie, MD Continental Europe – LiveRam

6. Retailer-Owned Media and Monetization

Lastly, the panel discussed how in-store media offers retailers an opportunity to monetize owned media spaces, such as digital screens or shelf space, by providing personalized ads and content to enhance the shopping experience and make it more relevant for each customer.

The panel concluded that while in-store retail media is still in its early stages, the potential for growth is immense, driven by improving technology and decreasing costs of digitalization, allowing retailers to create personalized, data-driven experiences.

“The future of in-store retail media is bright… technology is evolving, and the cost of screens and other tools is coming down, so we’re going to see a lot of change in the next few years.” — Ben Reynolds, VP Business Development – Walkbase

The panel made it clear that retail media is undergoing significant change, with in-store data playing a crucial role in shaping the future of omnichannel retail. Privacy, data collaboration, and the use of innovative technologies like RFID and sensors are key enablers, and standardizing measurement practices will help brands make better use of their investments. Overall, the session predicts rapid growth in the sector, with Europe currently leading in digitalization, but the U.S. quickly catching up.

You can watch the masterclass here. You can access all of the masterclasses of What’s In-Store for Retail Media Networks, presented in cooperation with DMEXCO here.

IAB Europe and IAB released their first set of Industry Definitions and Measurement Standards for In-Store Retail Media on Wednesday, September 19th. Marie-Clare, Puffet Industry Development & Insights Director of IAB Europe, presented the findings as part of the first What’s in Store for Retail Media Networks masterclass, From Traditional to Targeted: The Evolution of Agency and Brand Spending, which is available to watch now. 

Why In-Store Retail Media Standards and Definitions are Necessary

The standards aim to provide unified definitions, measurement guidelines, and best practices for in-store retail media, hoping to instill brands with greater confidence in directing marketing spend towards in-store campaigns. 

With almost 84% of retail sales happening in-store (EMARKETER 2024), there is a huge opportunity for brands and retailers to influence sales at a critical point of the customer journey. Indeed, the IAB standards and definitions work recognizes that in-store retail media is not the same as digital out-of-home (DOOH) as in-store RMN offers more formats and creative solutions as well as operates in a way that has the potential to make much more of an impact on shopper behavior than DOOH. By finding a consensus on how in-store retail media should be understood, measured, and bought, it is hoped that it will attract more advertising dollars as marketers find buying space and measuring success far less complex. 

Topics covered in the IAB In-Store Retail Media Standards and Definitions 

The IAB has focussed on the following areas: 

• Definitions: Clear terminology for the components of any in-store digital Retail Media components.
• Formats: Recommendations regarding the formats for in-store advertising placements.
• Store Zones: Classification of critical areas within stores where media can be deployed (e.g., entry, checkout, aisle) in a standardized way. 
• Measurement: Guidelines for tracking, reporting, and analyzing campaign performance across various in-store formats.

In-Store Retail Media Formats 

The formats which are most extensively explored within the standards and definitions are digital signage, where Scala is a market leader, as well as audio and connected shopping formats which are any retail strategies that combine online and offline shopping channels to create a seamless shopping experience such as in-store hand scanners or retail apps. 

In-Store Retail Media Zones 

The IAB and its contributors, which in Europe included 14 retail media operators, including Ahold Delhaize, Douglas Marketing, Solutions, Kingfisher, MediaMarkt, Schwarz Media, Tesco Media, and Insight Platform, identified five zones in which retail media can be placed. These zones are especially relevant for digital displays, where marketing messages should perform different tasks to reflect where shoppers are in their journey. 

The zones identified by the IAB are:

• Zone 1 – Exterior to Store
• Zone 2 – Entrance and Out of Category 
• Zone 3 – Check out
• Zone 4 – In Aisles 
• Zone 5—Other and Connected Store. This is a catch-all term for areas between the check-out and exit of the store. These may include concessions such as coffee shops or banks, as well as customer service areas. 

In-Store Retail Media Measurement 

In the part of the standards and definitions that will potentially have the most profound industry impact, the IAB sets out a preferred way to sell and assess the success of in-store retail media campaigns. Most interesting to the Scala team is the recommendation that  Likelihood-To-See (LTS) Impressions be used as a key metric to judge in-store retail media placement and performance. IAB recognizes that Likelihood to See is determined using sensor or analytic technology and that this could have data privacy considerations. 

As part of the STRATACACHE family of companies, Scala works closely with Walkbase, which provides highly accurate and anonymous in-aisle store data to determine traffic in-store, customer journeys, and shopper behavior. The Walkbase set of analytic tools works with Scala’s integrated display technology to provide valuable insights on the most effective places to situate a digital display and how many people would have likely seen that display. Not only does this solution answer the GDPR-compliant needs presented in the IAB standards and definitions, but it can also help retailers across a host of in-store operations, including merchandising, staffing, and enhancing the customer experience within the store. 

The work the IAB and its collaborators have done to bring standardization to in-store retail media is very welcome. By providing a universal language and framework, brands can compare retail media networks fairly and allocate budgets accordingly. The emphasis on measurement feels especially important given the questions around the transparency and validity of online programmatic data. By setting out a clear rubric for in-store retail media measurement at the relative infancy of the in-store offering, best practices are established up front, allowing marketers to have greater confidence in their ability to create, book, and optimize marketing campaigns. Retailers will have a means by which to measure customer behavior within their store and use this data to optimize not only their in-store retail media offering but also the experience of shoppers visiting their store. As the experts in the From Traditional to Targeted: The Evolution of Agency and Brand Spending masterclass all state, it is ultimately by centering the customer experience that brands and retailers will achieve real retail media success. 

Learn more about the IAB’s standards and definitions for in-store retail media and the impact these terms will have for retailers and advertisers for their strategy in the From Traditional to Targeted: The Evolution of Agency and Brand Spending Masterclass, which is available to watch now. You can access all of the masterclasses of What’s in Store for Retail Media Networks, presented in cooperation with DMEXCO, here.