Can Retail Media Crash the Cool Kids’ Party?

"Retail media" and "convergence" were among two of the biggest marketing buzzwords in 2021. Retail media networks seemingly mushroomed up out of nowhere, multiplied, expanded and got ever more sophisticated. As for convergence, the continued fusion between streaming, social media, commerce and livestream shopping made it hard to delineate one from the other when it came to media advertising categories. So what happens when retail media converges with livestream shopping? Talk about strange bedfellows. Let's put it this way: If the classic brick-and-mortar retailer and the sparkly TikTok maven went to high school together, they probably wouldn’t sit at the same table in the cafeteria. But commerce is commerce. Whether it’s paper coupons or TikTok influencers, there’s always going to be new ways to sell stuff. So it makes sense the two worlds are colliding. But let’s back up. This has been simmering for a while now. Retail media firms have been hard at work enriching their offerings, including social media options like Facebook, Instagram and Pinterest, with the occasional Snapchat thrown in for good measure. So livestream shopping is a natural evolution of what’s already been happening. The state of play Here's a quick overview of how the main players have (or haven’t yet) incorporated livestream shopping into their offerings. Amazon Live has been running a livestream shopping experience for over a year now with a QVC Plus feeling and the bonus of a very short path to purchase. It's not exactly “cool” though. Target hasn’t dipped its toes into livestream shopping yet. But it’s already built a solid pipeline to generate influencer content with its #targetstyle and #targetfinds hashtags as well as an easy way for shoppers to upload stylish photos in product reviews. These hashtags and images on Instagram are also turning up in Google search results as content. Walmart’s foray into TikTok livestreams over the last year have probably been the most notable forays. Walmart kicked off Twitter’s first-ever shoppable livestream over the holiday season with a variety show-style event starring singer/social media star Jason Derulo. He highlighted all kinds of Walmart sundries including electronics, home goods, clothing and holiday décor, and even sprinkling in a few surprise guests. Throwing your own party In other corners of the marketing universe, besides these relatively few examples of brands dipping their toes into the world of livestream shopping, influencers have been turning up in a few retail media decks. So while retail media isn’t quite crashing the party yet, it's working up the nerve to knock on the door. It's also become clear that it’s not “a” party being crashed but multiple parties. Case in point: Walmart streamed its live shopping efforts across eight social and media platforms including the usual suspects as well as BuzzFeed's Tasty, IGN, TalkShopLive and YouTube. Walmart’s strategy seems to be creating its own party rather than crashing someone else's. Home Depot has been working from a similar playbook. Since September 2020, the retailer has continued to produce DIY workshops on everything from toilet installations to seasonal decorating but on its own site, not via social media outlets. However companies are doing livestream shopping, while it isn't the “norm” today it's certainly getting there. Users in Asia, specifically China, are proving that like most things that are exclusive and cool, parents eventually show up and take over, especially as consumer shopping habits keep turning toward digital (or hybrid, with offline experiences). So, is retail media crashing the party? Yes. There’s revenue to be made there. There are plenty of other parties for retailers to crash though, don’t worry—Supergreat, anyone? (The beauty platform already has a relationship with Ulta.) Where does this leave us in the funnel? Up top. Where does this leave us on the “cool” scale? Down low. But hopefully when we meet in the middle, it won’t be too slow. What Does the Ideal Retail Media Network Look Like?

Retail Media Advertising

Can Retail Media Crash the Cool Kids' Party?

Commerce and social media are converging—but on whose terms?

Elizabeth Marsten

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Elizabeth Marsten