Co-op has launched what it claims is the UK’s first retail media network in the convenience sector, promising to help brands reach new audiences and improve advertising relevancy for shoppers.
The ‘Co-op Media Network’ brings together the retailer’s in-house team and its long-term agency partner Threefold, which is owned by SMG – the largest operator of retail media networks in the UK.
The group stated that the Co-op Media Network would deliver a new proposition that capitalises on Co-op’s strengths relating to the scale of its operations and the uniqueness of convenience shopping, compared to traditional, big box retailers.
It highlighted that the network will enable brands to have opportunities to connect their goods and services to interested Co-op shoppers in offsite digital media channels. This will enable brand advertisers to improve their media efficiency by focusing their advertising spend on shoppers who are more likely to engage with their products.
Kenyatte Nelson, Chief Membership & Customer Officer at Co-op, commented: “This is a momentous move for Co-op and one that will solidify our position in the retail media sector. Co-op is a leader in the convenience market and we will use our strengths to replicate our successes as a media owner.
“Co-op’s nationwide network of frequently shopped smaller stores drives increased opportunities to see for brands’ advertising campaigns, and the unique impulsive nature of convenience shopping missions creates untapped occasions for brands to grow their sales. Convenience shopping and supermarket shopping are different purchasing occasions, and brands will see greater sales and brand-building benefits by executing media against both.”
Samuel Knights, CEO at SMG, added: “This moment marks a true evolution in Co-op’s media capabilities. There’s now an ever-growing opportunity for brands to strategically connect with a distinct group of convenience shoppers with precision, ensuring the right messages are received by the right customers.
“As the importance of retail media continues to grow within the broader marketing mix for brands, SMG’s proprietary software product, Plan-Apps, will help brands investing in Co-op Media Network to gain a comprehensive understanding of performance and measure the high ROI that convenience media can drive. We’re so excited to see this come to life.”
NAM Implications:
- Simply a continuous flow of good quality first-party data…
- …to drive high-margin incremental revenue…
- …straight to the bottom line.
- Then over to the Co-op vs its rivals.
