More than half (53%) of CPG advertisers believe Artificial intelligence (AI) will have a “significant” impact in retail media networks improve ad targeting and relevance, while 37% believe the impact of AI will be moderate and improve some aspects but “not transformative.”
This comes from a study by technology company Cooler Screens, which examines how AI could influence and optimize retail media investments and what role it will play in retail media networks both online and in-store. The result comes from a survey of nearly 200 consumer goods advertisers between January 1st and 5th, 2024.
However, not all respondents believe AI will have a “significant” impact on retail media. On the other hand, The data also shows that 9% of them believe that traditional methods will continue to dominate or that AI adoption will be slow, while 1% are unsure about the role of AI in this phase.
The role of AI in analyzing in-store purchasing behavior
On his side, according to the study, 89% of respondents believe AI will play a role Key role in the analysis and leveraging in-store purchasing behavior. Specifically, 45% say AI will be helpful, but “human analysis will continue to be at the forefront,” while 44% believe “it will be essential for real-time data analysis and buyer information.” In this context, 10% believe that in-store data is too complex for current AI capabilities and 1% currently have no opinion on the effectiveness of AI.
AI and personalization
Asked How AI could impact retail media personalization for buyers, More than half said they offer “highly personalized” experiences. Specifically, 52% predict that AI will enable highly personalized shopping experiences; 34% predict some improvement in personalization, but challenges remain; 11% believe AI personalization is overrated with limited use; and 4% of respondents need more information to assess the role of this technology.
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refer to Importance of AI in data integrationmost people believe that will be key to bringing together the retail sector’s fragmented online and offline data sets. In this case, 54% consider AI to be crucial for perfect data integration; 29% consider AI useful but not essential as other tools can also handle data integration; 15% are concerned about the privacy of AI integration; and 2% are indifferent or unsure about the impact of AI.
Impact of AI on efficiency and ROI
On the other hand, people asked whether AI can increase the efficiency and return on investment (ROI) of retail media campaigns: 84% expected a positive effect. Specifically, 45% believe that this will significantly increase efficiency and return on investment; 39% expect a moderate increase in efficiency with an uncertain ROI gain; 13% believe there will be minimal impact on efficiency and ROI gains; and 2% are unsure about the impact of AI in this context.
AI is impacting retail media for CPG advertisers
Respondents were divided on whether AI would usher in “disruptive innovation” or be part of a “more gradual evolution.” Against this background, according to the study, 42% believe disruptive innovations in AI will lead to breakthrough strategies; 41% see AI as part of gradual, not radical, change; 14% consider its role to be secondary compared to other technological advances; and 2% of respondents find it difficult to predict the impact of AI on future trends.