Last updated on October 29th, 2024
In a new whitepaper, Albertsons Media Collective has shared a preliminary framework to standardize specifications, methodologies, terminology and disclosures across retail media networks.
The collective, the retail media arm of Boise, Idaho-based Albertsons Cos., is hosting a discussion on the topic – Transforming Retail Media Through Standardization – alongside leaders from Omnicom Media Group, Pinterest and R3 at the Cannes Lions International Festival of Creativity.
In a statement, Albertsons Cos. SVP of Retail Media Kristi Argyilan explained the company’s reasoning.
“While retail media is booming, the lack of standardization has produced an unnecessarily complex, inefficient and costly ecosystem,” she said. “For retail media to achieve its full promise, we must tackle the issue of standardization head on.
“To ensure the survival of this industry, we must come together toward a greater goal. We believe this framework will serve as a starting point for creating a unified approach to retail media standardization. Setting a new gold standard is the first stepping stone to revolutionizing how advertisers, agencies and retail media networks work together.”
The first version of the framework introduced by Albertsons Media Collective concentrates on four areas: product characteristics, performance measurement, third-party verification and capabilities.
The framework will be finalized after pressure-testing industry-wide priorities and ensuring executional feasibility. Guided by an advisory group, this framework will also expand and evolve further to support key initiatives by the IAB.
Aaron Sobol, head of U.S. media investment and partnerships for Unilever, said the company is “supportive of this workstream.”
“We believe it’s essential for the industry to come together to tackle standardization when it comes to attribution, measurement, frequency of reporting and transparency,” he said. “We continue to be an advocate for industry-wide solutions.”
According to eMarketer estimates, retail media networks will bring in $106 billion in U.S. ad spending by 2027, more than double the $45 billion expected in 2023.
“Omnicom Media Group shares Albertsons Media Collective’s commitment to assuring advertisers can have confidence in their retail media investments, and their belief that confidence can best be achieved through standardization,” said Ben Hovaness, SVP of marketplace intelligence.
“That’s why OMG created the Council on Accountability and Standards in Advertising, and why we stand with The Collective as active advocates for assuring clarity, safety and transparency in this rapidly growing investment channel.”
In addition to benefiting stakeholders across the retail media value chain, standardization may improve the consumer shopping journey. Personalized ads on retail media networks, based on consumer opt-in data, help shoppers find products that align with their needs and desires.
