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Myths and truths: what you haven’t understood about Retail Media

The Retail Media market continues to grow rapidly in Brazil, but its understanding is still surrounded by many misconceptions. Recently, we conducted an internal survey with the experts at RelevanC to identify and debunk the main myths of this segment. The responses were revealing: each professional brought a valuable insight that helps clarify the real potentials of this strategy that has already revolutionized retail. Check out the myths we are going to debunk:

It all boils down to ROAS

““Thinking that everything boils down to ROAS is a view that limits the potential of campaigns, ignoring the understanding of the shopper and essential metrics such as acquiring new shoppers and lifetime value, for example. Retail Media goes beyond quick results, being a powerful strategy for market expansion, loyalty, and long-term growth,” explains Rafael Schettini, Head of Data & AdOps at RelevanC.

This point raised is essential for those who truly want to use Retail Media to its full capacity. By reducing metrics and analysis exclusively to the immediate return on advertising investment (ROAS), strategic data such as acquiring new consumers and the long-term consumer value (lifetime value) are overlooked. Retail Media allows, when well executed, to build a solid base of new customers and drive loyalty strategies, contributing significantly to continuous brand growth, and not just to immediate results.

Digital is not the only focus

Retail Media is not just about the digital. “In most brick & click retailers, transactions occur in physical stores and the ability to connect online impressions with on and offline conversions is what sets apart in this thriving market that is Retail Media.”, shares Luciane Luza, Senior AdOps Analyst at RelevanC.

This is an important reality of our market: most retail transactions still occur in physical stores. The strategic differential of Retail Media lies precisely in the ability to unite these two universes, digital and physical. Brands and retailers need to understand that Retail Media is not limited to digital but enhances physical operations through the integration of data and behavioral insights obtained on digital platforms, allowing for a deeper and more comprehensive understanding of consumer purchasing behavior.

Investment in Retail Media comes from the Trade Marketing budget

“Actually, Retail Media goes beyond the traditional scope of Trade. Many activations happen off-site (programmatic media, social media activation, CTV), reaching consumers outside the retail environment. Budgets from the Branding, Performance, Marketing, and Media areas also need to come into play, as Retail Media delivers results in both awareness and conversion. More innovative brands are even creating new specific budgets for Retail Media and measuring incrementality and brand lift in this new scope”, explains Amanda Passos, Data Coordinator at RelevanC.

For many years, Retail Media has been seen exclusively as an evolution of Trade Marketing. However, this approach is outdated in light of the reach and results provided by current retail media. 

Retail Media demands a more strategic and integrated view that goes beyond trade, bringing funds from areas such as Branding, Performance Marketing, Communication, and Media. Major advertisers have realized that a specific budget for Retail Media is a strategic investment in awareness, conversions, and brand strengthening, showing how this discipline is truly multidimensional.

Retail Media is more than just traffic and visibility

“Retail Media not only increases visibility, but also directly influences consumer purchasing decisions at the crucial moment. By strategically placing ads on retail platforms, brands can impact the consumer when they are most likely to make a purchase, significantly increasing conversion rates. This strategy allows brands to connect with consumers at all stages of the sales funnel, from awareness to the final purchasing decision” Bruna Cioletti, Sr. Account Manager at RelevanC.

The truth is that Retail Media is more than just a visibility tool. It is a strategy capable of directly influencing the consumer’s decision at the most critical moment, the purchase. 

Positioning ads strategically, reaching the consumer in the right context and moment, has a profound impact on conversions. Additionally, Retail Media offers comprehensive action throughout the sales funnel, from brand awareness to the final purchase decision, becoming a powerful tool to ensure concrete results in all stages of the consumer journey.

Retail Media is only for immediate sales

“Although Retail Media’s conversion ability is one of its great strengths, restricting this strategy only to short-term sales is a misconception. When well planned, Retail Media also contributes to brand building, increased recognition, and consumer loyalty. It allows brands to maintain a constant presence throughout the customer journey, not only in the final purchase decision stage,” explains Caroline Mayer, VP of RelevanC in Brazil.

This myth is one of the most common – and one that most limits brands’ vision of Retail Media’s potential. In fact, its ability to impact the consumer at the moment of purchase is unquestionable. However, this impact extends far beyond immediate sales. By maintaining a continuous and relevant presence in digital and physical retail environments, brands build lasting relationships and increase their recall in the consumer’s mind.

Well-utilized Retail Media integrates awareness, consideration, and loyalty campaigns, becoming a strategic asset to accelerate individual sales and sustain long-term brand growth. It is an evolution of campaign logic: from isolated actions to an “always-on” presence, aligned with shopper behavior throughout the entire buying journey.

The real potential of Retail Media

These myths and their respective deconstructions made by our experts demonstrate that Retail Media goes far beyond what many still believe. This modality is not just a tool for immediate results, an exclusively digital strategy, or just another line of investment within Trade Marketing. It is, above all, a strategic discipline that combines digital and physical, integrates different marketing areas, influences purchase decisions in critical moments, and generates sustainable results in the long term.

For brands and retailers who wish to navigate successfully in this transforming scenario, it is necessary to overcome these limiting perceptions and embrace the true potential of Retail Media. Only then can they ensure concrete and lasting results, delivering complete and consistent experiences for their customers and consumers.