Singapore-based grocery retailer FairPrice Group will now allow media buyers to tap into its shopper data to activate media on channels outside its properties like over-the-top (OTT) platforms, digital audio and digital out-of-home.
Traditionally, advertisers invest in retailers’ owned and operated media through their trade marketing budgets. These are usually bottom-funnel campaigns with strict return on advertising spend targets.
The retailer's partnership with The Trade Desk will instead see advertisers tapping on their national marketing budgets to drive upper-funnel offsite campaigns. By pairing retailers’ data to consumers’ preferred media channels on the open web, brands not only benefit from better decisioning, but they can also connect ad exposures to actual purchases.
According to eMarketer, 40.7% of China’s digital ad spending in 2022 went towards retail media networks owned by the likes of Alibaba and JD.com. This spending is far more than in the US, where 14.5% of digital ad spending went to retail media networks owned by the likes of Amazon, Walmart, and eBay.
During the pandemic, FairPrice saw its online transaction value surged by four times that of offline transactions in the last 12 months. As Singapore reopened, the retailer noticed 67% of its online customers returning to shopping offline.
The platform will allow brands and agencies wanting to leverage retail data to access FairPrice’s more than 2 million NTUC Union and Link Members, including over 700,000 FairPrice app users. It will also offer closed-looped measurement capabilities to allow brands to measure how their digital ad campaigns are driving both in-store and online sales within FairPrice stores.
“Through this partnership, FairPrice Group aims to help brands unlock meaningful opportunities to better connect with our customers,” said Alvin Neo, the chief customer and marketing officer at FairPrice Group.
“As we enter the era of consent-based marketing, we look forward to working with The Trade Desk to harness the power of retail data to gain better insights to reach and serve consumers in relevant and beneficial ways”.
For FMCG brands like Johnson & Johnson which relied on in-store activations like endcap displays and aisle placement in the past, FairPrice’s retail media platform will allow them to invest in an offsite omnichannel approach that fully leverages the retailer’s platform to reach consumers.
“We are looking for future-proofed, data-driven ways to run impactful campaigns that will create meaningful, personalized content for our consumers,” said Enshe Manto, media and precision director for brands like Neutrogena, Aveeno and Listerine at Johnson & Johnson in APAC.
“This partnership offers a unique opportunity for us to drive better control and decision making. It allows us to more accurately reach our valued consumers on FairPrice Group’s owned websites and the open internet, while also measuring the impact of our media investment in ways previously unavailable.”