Why is in-store Retail Media an under-invested channel, despite its significant traffic potential?
IAB Europe and the IAB have taken major steps to address this, collaborating to deliver the final comprehensive In-Store Retail Media Definitions and Measurement Standards.
After two months of open feedback, we thank all of our industry partners for their input and are pleased to release the final and improved version of the standards here.
This initiative wasn’t a solo effort. IAB Europe and IAB, collaborated with numerous Retail Media Networks and retailers to create a robust and industry-wide accepted standard. This collaborative approach ensures broader adoption and promotes greater transparency within the Retail Media ecosystem.
The Focus: Defining In-Store Retail Media
At the heart of this initiative lies a clear definition of what in-store Retail Media is: advertising inventory that leverages retail data for planning, execution, and measurement within a store’s physical environment.
As Yara Daher, Retail Media Consultant at IAB Europe noted in her ‘Coming out of Denial’ blog post last month: “All In-Store Media is Retail Media: In-store Retail Media merges experiential marketing with digital strategies”.
Whilst the definition encompasses a variety of formats, the focus of these standards is on digital screens, audio, and connected shopping formats. Other formats will be included in future iterations.
This document is by no means the final word – it’s a foundation for industry dialogue, and we understand that it doesn’t perfectly apply to every store format or every category. We are committed to working closely with the industry to provide specific examples, detailed explainers, and further definitions to make this work even more tangible and applicable.
Key Definitions and Metrics in the Standards
The definitions and standards included in the final document introduce essential terminology and metrics, including:
- Store Zones: The store locations are categorised into five zones: exterior, entrance, checkout, aisles, and other. These zones offer targeted advertising placement and analysis.
- Media Metrics: Metrics such as ad loop duration, ad segments, ad units, and ad unit length, provide a framework for understanding ad delivery.
- Impression Metrics: This section clarifies different types of impressions: ad play, gross impression, the opportunity to see, and likelihood-to-see. This emphasises the importance of viewable impressions for a more accurate measure of ad visibility. The guidelines clearly outline the methods for measuring digital place-based media, adhering to the IAB/MRC Retail Media Measurement Guidelines.
- Sales Measurement Metrics: The document outlines recommended reporting durations: 30 days pre-exposure, campaign duration, and 30 days post-exposure). It also defines different sales measurement approaches, such as sales lift, brand sales lift, sales variance, brand variance, and incremental sales/brand lift. The importance of test vs control, multivariate testing, and one-to-one methodologies (though requiring substantial tech investment) are discussed.
- New to Brand/New to Category: These metrics help clarify how to classify shoppers based on their purchase history with specific brands or categories, aiding in campaign effectiveness measurement.
With its ability to blend experiential and digital strategies, in-store Retail Media holds great potential for brands and retailers alike. These definitions and standards aim to align the industry and enable all stakeholders to speak a common language to unlock growth opportunities.
Commenting on the final release of the standards, Jeffrey Bustos, VP, Measurement Addressability Data at IAB said, “These standards lay the groundwork for transparency and consistency in in-store retail media by focusing on what matters—clear definitions and measurement methodologies. It’s about understanding the true impact of campaigns and driving better outcomes for brands and retailers. This collaborative effort is a big step forward for the industry.”
We invite you to explore the final standards here.
