Sales Capabilities of The Future
Segment Focus 3 of 4
Leveraging Insights For Retail Media Joint Wins
May 23, 2024
Thought Logic’s Sales Capabilities of the Future report is an annual analysis of the current marketing landscape that is based on in-depth interviews with leaders in the Consumer Packaged Goods (CPG) industry. In it, we uncover transformative trends that impact market forces on leaders and organizations.
The full report, available here, uncovers four priority sales capabilities that are crucial for organizations to focus on. Over the coming weeks, we will provide a short brief of each of those priority areas, which is expanded upon in the report.
The third of the four priorities is Retail Media Joint Wins, an ROI-driven view that presents opportunity to deliver results as consumers are shopping.
Emerging models will guide resource allocation and measure return
Retail Media networks are evolving in sophistication and significance, with the best among them proving to be intelligent investments that attract Marketing budgets beyond traditional Sales channels. For most retailers, these networks represent a critical profit stream and strategic priority, emphasizing the need for clarity in value propositions to differentiate funding requests effectively.
However, manufacturers are grappling with simplistic ROI models that often end at Return on Advertising Spend (ROAS). Retail Media holds the promise of influencing the behavior of specific priority shoppers, prompting manufacturers to prioritize networks capable of segmenting and directing programming at these individuals. Moreover, they seek networks that can demonstrate campaign performance and share data transparently for joint insight development.
With nearly 90% of grocery sales still occurring in physical stores, Retail Media Networks that deliver seamless omnichannel sales attribution will be well positioned to capture CPG advertising budgets.
– Insider Intelligence, eMarketer
Untapped opportunities in Retail Media
Applying traditional Revenue Growth Management (RGM) principles and strategies through Retail Media networks offers avenues to enhance profit by optimizing mix and package assortment with the precision promised by these networks. This involves segmenting shoppers and strategically promoting specific packs to drive overall mix, capitalizing on the targeted capabilities of Retail Media networks.
Additionally, developing dynamic pricing models in collaboration with retailers is essential. This entails cultivating campaigns that allow both retailers and manufacturers to adjust discounts and supply based on the response from media network initiatives. By jointly targeting shoppers to either incentivize or discourage specific purchase behaviors, retailers gain a significant advantage, underscoring the importance of being the first to adopt such approaches.
Retail Media Networks are a prime opportunity to bridge the physical and digital shelf and truly leverage the power of analytics to make the most of every trade and marketing dollar, which is rightfully scrutinized.
– Forbes
Watch a replay of our Sales Capabilities of the Future webinar: Click here
Read the full Sales Capabilities of the Future report: Click here.
Other featured segments of our Sales Capabilities of the Future report include Talent Requirements, Technology-Fueled Insights, and the development of Strategic Partnerships.
Thank you to our participating partners:
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