Retail media elevates the role of the physical store as an advertising medium to new heights, says Christian Bönnelyche, senior advisor at BizLab. The classic store advertising, often called Below the Line (BTL) or promotional advertising, is no longer something to be hidden away – quite the opposite. With retail media, BTL gains a new status as a potentially powerful revenue engine for the pressured retail industry.

“I think that retail has long underestimated the potential of its own store environment. People have simply had a little low self-confidence. Now is the time to be proud of the physical store as a media channel – where purchases are made, where decisions are made,” says Christian.

He continues: “With the right technology, in-store advertising will not only be about to show a message “It’s about measuring exactly who sees it, when, for how long, and even how the customer reacts. It’s a game-changer for an industry with squeezed margins.”

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Retail media gives retailers the opportunity to sell target groups instead of space, to offer programmatic buying and to build a whole new ecosystem for in-store advertising. Here, retailers can find new revenue – in the combination of physical presence and data-driven advertising.

Now they are there good examples both internationally and in Sweden, which allows several retailers to develop their own retail media investment. “But it requires both strategy and a strong operational focus. Just because the opportunities exist does not mean that everyone will succeed. Combining infrastructure, packaging towards selling to target groups, programmatic sales and of course continuing to have relevant messages for your customers, you can both increase sales but above all media revenues,” continues Christian.

“This is just the beginning.. We will see more and more examples where in-store advertising is no longer seen as a boring complement to both traditional marketing and digital advertising – but as an obvious part of a modern media strategy. Retail media will become an increasingly obvious part of the media mix because it is in stores that the real value is created.” concludes Christian Bönnelyche