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Storming the Store with In-Store Innovation
Author: Retail Media World |
January 12, 2025
Articles

As retail media networks (RMNs) continue to prove their value, the conversation is shifting from online to in-store, unlocking new opportunities for advertisers and retailers alike. At the recent What’s In Store for Retail Media Networks event during the NRF 2025 and presented by STRATACACHE, industry leaders from Macy’s Media Network and CVS Media Exchange shared their insights on how retailers are navigating the in-store media landscape while maintaining a seamless omnichannel experience.

The In-Store Retail Media Opportunity

The panelists — Michael Krans, Vice President of Macy’s Media Network (MMN), and Brendan Rodgers, Lead Director of Commercialization at CVS Media Exchange (CMX) — painted a detailed picture of an evolving in-store media landscape. While digital retail media has seen explosive growth, physical stores remain a critical touchpoint for customers. Both Macy’s and CVS recognize the potential of in-store media but are approaching its implementation with careful consideration to enhance the customer experience rather than disrupt it.

Macy’s Approach: Thoughtful Expansion: Macy’s has embraced a measured approach, integrating in-store media through digital screens in 98 stores and offering Wi-Fi confirmation page ads. With a long-term strategy, Macy’s is prioritizing customer engagement while ensuring media integrations align with their broader marketing initiatives. As Michael Krans explained, “Any ad experience we introduce must excite customers, compel them to share, and help them find what they’re looking for.”

CVS’s Strategy: Customer-Centric Innovation: CVS, with its 9,000-store footprint, is also leveraging in-store media to complement its digital strategy. CMX is strategically placing digital screens in high-dwell areas such as pharmacy sections and checkout lanes, ensuring relevance without overwhelming shoppers. Brendan Rodgers emphasized the importance of maintaining trust, noting that “just because you can put an ad somewhere doesn’t mean you should.”

Seamless Omnichannel Integration

Both retailers highlighted the need for omnichannel cohesion — ensuring in-store retail media is an extension of digital efforts rather than an isolated initiative.

At Macy’s, the focus is on creating marketing consistency across touchpoints. This includes aligning in-store advertising with seasonal campaigns and digital activations. Michael Krans noted that Macy’s aims to “integrate brand partners into major moments like the Thanksgiving parade and holiday shopping seasons.”

For CVS, the key lies in leveraging customer data. With its ExtraCare program driving 67% of sales, CMX ensures in-store messaging aligns with customers’ online behaviors. Brendan Rodgers highlighted that “15 million customers take action online before visiting a store, and nearly half make a purchase in-store within 48 hours of searching online.”

Building Cross-Functional Collaboration

A recurring theme throughout the discussion was the necessity of internal collaboration. Successfully implementing in-store media requires alignment across marketing, merchandising, finance and store operations teams.

Michael explained how Macy’s RMN is taking the lead in fostering these connections: “Retail media teams must bridge the gap between digital and in-store experiences, ensuring that new initiatives serve both customer needs and business objectives.”

Brendan echoed this sentiment, advocating for regular internal roadshows and workshops to bring teams together. “Getting people in a room to align on strategy makes all the difference,” he noted.

Key Takeaways for Retailers Exploring In-Store Media

For retailers considering in-store media investments, the panelists offered valuable advice:

  • Start with Data: Understand customer behaviors to ensure media placements enhance the shopping experience.
  • Prioritize Customer Experience: Avoid turning stores into overwhelming ad spaces — focus on relevance and value.
  • Align with Broader Marketing Initiatives: Ensure in-store activations complement digital campaigns and seasonal promotions.
  • Foster Internal Collaboration: Success hinges on cross-functional teamwork, so engage all stakeholders early in the process.

Final Thoughts

The future of retail media is undeniably omnichannel, and in-store retail media represents the next frontier. However, as the panelists emphasized, thoughtful execution is key. By prioritizing customer experience, leveraging data-driven insights and fostering internal collaboration, retailers can unlock new revenue streams while strengthening customer relationships.

As in-store retail media evolves, the question is no longer if retailers should invest in it, but how they can implement it in a way that enhances — not disrupts — the shopping journey.