IAB Europe’s Industry Development & Insights Director, Marie-Clare Puffett, shares her thoughts on the need for standardisation in in-store Retail Media, the challenges buyers encounter due to fragmentation, and how rapid, widespread adoption of standardised practices can unlock the full potential of Retail Media for both brands and retailers.
Retail Media has become an indispensable channel for brands seeking to reach consumers at key decision-making moments. The rapid expansion of Retail Media Networks (RMNs), both online and in-store, reflects the growing significance of advertising within retail environments. However, despite its rapid growth, in-store Retail Media suffers from a fragmented ecosystem that lacks cohesive standards. A gap that is particularly problematic for media buyers, who are trying to navigate inconsistencies, and invest confidently in this channel.
In-store Retail Media helps influence consumers when they are closest to the point of purchase. From digital screens and shelf displays to interactive scanners, in-store advertising has the potential to reach audiences in highly relevant and engaging contexts. While data-rich environments and precise targeting often drive online Retail Media, in-store offers unique value by capturing consumer attention in physical retail spaces.
The absence of standards, however, has left the potential for scale and efficiency in this space largely untapped, with advertisers wary of inconsistent metrics, technological fragmentation, and operational challenges.
According to IAB Europe’s Attitudes to Retail Media Report, 60% of buyers report that fragmentation and lack of standardisation within RMNs are significant barriers to investment. Buyers face several hurdles in navigating the current ecosystem:
The faster the industry can adopt standardised approaches to measurement, ad formats, and reporting, the quicker both brands and retailers can unlock new advertising opportunities. Quick adoption of standards will enable more agile and adaptable marketing strategies, allowing retailers and advertisers to capitalise on evolving consumer behaviours in real time.
Without swift implementation, brands risk falling behind competitors who are already leveraging in-store Retail Media as a critical component of their omnichannel strategies. Speed matters not just for retailers but also for brands looking to enhance their return on investment (ROI) by making data-driven decisions based on clear, standardised metrics.
One of the most significant challenges for buyers is the inability to accurately measure the impact of in-store media campaigns. Unlike digital media (and online Retail Media as covered in IAB Europe’s Retail Media Standards here), where metrics such as click-through rates, impressions, attribution, and conversion rates are standardised, in-store media operates in a slightly grey area.
However, standardised measurement practices are essential for accurately assessing ROI, and would provide:
One of the most promising developments in the move toward standardisation is the collaborative release of the In-Store Retail Media Definitions and Standards by IAB Europe and the IAB. Together, we have created a unified set of standards that retailers and buyers can adopt across different markets, making it easier to implement Retail Media strategies globally.
By embracing consistency across regions, brands and retailers can achieve:
The rapid expansion of RMNs and the unique advantages of in-store Retail Media make it clear that this channel is poised for significant growth. However, this growth can't be fully realised without addressing the critical need for standardisation. By adopting consistent metrics, operational processes, and data-sharing frameworks, the Retail Media ecosystem can become a more navigable, scalable, and valuable channel for advertisers.
IAB Europe and the IAB’s In-Store Retail Media Definitions and Standards have been created to provide unified definitions, measurement guidelines, and best practices for ad formats and store zones, helping advertisers and retailers tap into the growing potential of in-store advertising. Through a shared language for in-store digital media, they aim to help capture ad budgets traditionally allocated to linear TV and out-of-home (OOH).
The standards are now open for public comment here until 1st November, with the final set of standards set to be released in November.