Co-op: Small store ads four times more effective than larger campaigns
Co-op has said that convenience retail media is up to four times more impactful than campaigns found in larger supermarkets.
Co-op has said convenience retail media is up to four times more impactful than campaigns found in larger supermarkets.
The convenience retailer found that shopper frequency and the unique formats of its smaller stores circa 2,000sq ft meant that consumers had twice the visibility of advertising, triple the attention and quadruple brand recall compared to larger stores (14,000sq ft+).
The retailer partnered with Lumen Research to monitor how shoppers navigated either a small or large Co-op store, on a BBQ shopping mission while wearing unobtrusive eye-tracking glasses. The devices monitored what the shoppers were viewing, the duration of their gaze and retinal movements.
The study also assessed viewability and opportunities to see, indicating instances where advertisements could have been seen without direct focus. Upon leaving the stores, shoppers were tested on brand recall and completed brand choice surveys.
The research found that while larger stores do generate brand-building with shoppers, attention and recall were significantly enhanced in the convenience setting.
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The study also found that retail media was the second most effective channel for brand recall compared to traditional methods – surpassing out-of-home, online banners and social.
Co-op chief membership and customer officer Kenyatte Nelson said: “Traditionally, in-store advertising has been viewed by media buyers as a pure sales activation tool that was great for last-minute promotions but not for brand-building.
“However, this groundbreaking evidence now spotlights retail media, especially in a convenience setting, as one of the most powerful brand recall tools.
“The results from the Lumen Research study showcase the unmatched impact of Co-op’s small-format convenience stores and the findings position in-store advertising as a dual-purpose channel, driving both short-term sales and long-term brand growth.”
Retail media has emerged as one of the big growth avenues for the grocery sector, with Tesco now offering store wrap advertising for big brands.
The supermarket giant wrapped its entire London Wembley store in branded advertising back in May, teaming up with PepsiCo to promote its three major brands: Pepsi, Doritos and Walkers ahead of the UEFA Champions League final.
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