The report, titled ‘Retail Media Mirage: How the Growing Divide between Retailers and Brands Threatens Retail Media’s Potential,’ is based on an in-depth survey involving more than 300 decision-makers from both brands and retailers.
According to the survey, a staggering 78% of brands find it challenging to justify increasing their investment in retail media.
Greg Stevens, founder and president of Turbyne, emphasizes the seriousness of this issue, particularly since a significant portion of brands collaborate with only a handful of retail media networks.
The report highlights that 40% of brands work with fewer than three retail media networks and another 42% work with four to six. The projected growth of the channel is contingent on brands diversifying their spending across various retail media networks.
Massive Gap: Retailers Versus Brands’ Perception of Value Delivery
One of the most significant revelations from the survey is the glaring gap between retailers’ perceptions of the value delivered by their retail media networks and brands’ actual satisfaction with these networks.
While 65% of retailers anticipated their clients would give the retail media experience an A grade, only 6% of larger brands ($500m+) expressed satisfaction with their retail media experience.
Additionally, the report highlights that brands, on average, work with an extensive array of media partners, media agencies, and ad tech platforms, revealing the challenges associated with managing such complex networks.