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For example, Amex worked with a large grocery retailer to target frequent but not loyal customers, offering discounts to encourage higher frequency among those who shop at a retailer once a month and discounts that incentivize larger basket sizes among regular customers. Amex is not launching a FMN, which would leverage first-party data for on- and off-site ad targeting.

All respondents shop for beauty products online or in-store monthly.

CEO and founder Zak Ringelstein wants Zigazoo to be a mainstream healthier alternative to social media, akin to Whole Foods among supermarket chains. 鈥淲e鈥檙e not going to be in a world where social media doesn鈥檛 exist,鈥� says Ringelstein. 鈥淏ut we need to come up with something that is healthier, safer, and protects adolescents from toxicity, bullying, and too much screen time.鈥�.

After closing locations last year, Amazon opened several new Fresh supermarkets in September. 鈥淕谤辞肠别谤测 in person is not something that Amazon's been able to get right,鈥� said our analyst Sara Lebow. 鈥淚鈥檓 fascinated to see if it actually works this time.鈥�. Amazon also quietly added ads to Rufus. 鈥淕en AI and chatbots is just not a space that we've seen ads yet,鈥� said Stambor.

It is also using those brick-and-mortar stores to boost online sales鈥攊t launched store fulfillment in about 100 of its 280 locations in Q3.

So do we think that even if people are maybe getting their prescriptions online a bit more, they're still going to go turn to those pharmacies, to those grocery locations for health clinic related services? Rajiv Leventhal (24:18):.

Amazon is also trying to give its grocery business a boost. Shoppers who visit an Amazon Fresh store during Prime Day will receive 25% off their purchases, while those who order from Amazon Fresh online get $20 off purchases of $100 or more. And in a Prime Day first, Amazon teamed up with Priceline to offer exclusive travel discounts to take advantage of strong travel demand.

Only 13% of Gen Zers say store rewards/loyalty programs are the most important factor in grocery store selection. What it means for 2025: Another sign of Gen Z鈥檚 interest in value, Gen Z looks to loyalty programs to maximize their purchases.

Pepsi is accused of offering an unnamed big-box retailer鈥攚hich sources identified to CNBC as Walmart鈥攁n unfair price advantage over competitors ranging from big grocery chains to local convenience stores. The FTC鈥檚 suit argues that Pepsi violated the RPA by giving Walmart advantages, such as 鈥減romotional payments鈥� and advertising, which it did not offer to rival retailers.

More Chart of the Day:. 9/6 - Retail media closes the deal. 9/5 - Beauty researchers bypass department store. 9/1 - Gen Z鈥檚 big grocery search. 8/31 - Our Amazon power rankings. 8/30 - TikTok's time takeover.

Other sectors with high conversion rates and CPAs were clothing, shoes, and jewelry (conversion rate of 5.5%; CPA of $66) and grocery and gourmet food (4.94%; $53). Some sectors had much higher CPAs with low conversion rates. Home and kitchen had CPAs of $77 but a conversion rate of just 1.3%. Automotive had the highest CPAs at $78 but held a 1.4% conversion rate.

While it remains to be seen whether the company鈥檚 customers will embrace the opportunity to arrange for furniture assembly or landscaping services through the platform, the success of other initiatives, including a travel booking service and grocery delivery, is empowering Uber to look for more expansion opportunities.

Chewy reaps the rewards as pet spending shifts online: Meanwhile, Petco is hoping a partnership with Uber Eats and a new direction under CEO Joel Anderson will help narrow the gap.

Initially unique, Eataly combined dining and grocery shopping under one roof, attracting many customers to its Italian marketplace. However, as local stores now offer international and specialty foods, Eataly鈥檚 novelty has faded, making it primarily a tourist attraction, said Stambor.

Baby boomers are more brand-loyal than US adults across multiple categories, according to Morning Consult. They show the highest brand loyalty (76%) for groceries and household goods.

Even as grocery price inflation eases, consumers continue buying store brands. When asked what鈥檚 driving the trend, roughly two-thirds of shoppers mentioned factors like quality, taste, and store brands鈥� ability to meet specific dietary needs, per an FMI consumer survey. Private labels differentiate retailers鈥� offerings.

Why it matters: Albertsons will account for 8.8% of US grocery sales and 2.7% of grocery ecommerce sales in 2024, according to our November 2023 forecast. That means the business has a massive audience when it comes to advertising. We expect to see more retail media networks partnering with ad tech companies to serve these large audiences this year. 2.

As the channel grows, retailers outside of grocery, like Ulta Beauty, are experimenting with how to use it to reach customers in more targeted, engaging ways. Ulta Beauty鈥檚 retail media network, UB Media, offers its partners on-site and off-site ad formats, including display, sponsored search, video, and social media. 鈥淲e have 600 brands that are active in our stores and 辞苍濒颈苍别,鈥� said Crossan-Matos.

Adobe Analytics predicts UK shoppers will spend 拢17.2 billion ($21.19 billion) via BNPL services online in 2023, which is around 10% of total retail ecommerce spend. Electronics and fashion are the top categories for BNPL payments, but UK consumers are also using the service to pay for day-to-day essentials such as groceries and fuel, and to fund holidays. BNPL platforms are evolving beyond payments.

He added that 鈥渜uick commerce will work in grocery and some adjacent categories,鈥� but Singh is skeptical of success in other categories that are led more by assisted browsing behavior. In China, the quick commerce industry has struggled with rising costs and price competition in recent years.

I think the point here is that it's foolhardy for grocery brands to rely on online advertising alone. There's been a big surge towards E-commerce, and we've seen a big surge towards retail media as a result, but most sales are still happening in brick and mortar stores.

On today鈥檚 podcast episode, we discuss what鈥檚 fueling Amazons online shopping revenue, how much its advertising business is contributing to its total revenue, and how significant its cloud business has become. Tune in to the discussion with Senior Director of Podcasts and host Marcus Johnson, Senior Director of Briefings Jeremy Goldman, and Analyst Rachel Wolff.

But demand has waned post-pandemic, and many consumers are ditching drugstores altogether in favor of online retailers. For example, CVS is closing about 10% of its locations. We forecast that CVS retail clinic patients will decline 4.6% next year and 7.9% in 2026. Walgreens plans to close 1,200 stores over the next three years.

Private labels make up nearly a quarter (23.8%) of total grocery units sold, according to July 2024 data from Numerator. While Aldi is the No. 1 private label retailer in the US, with private label representing 80% of its total units sold, Kroger鈥檚 Smart Way is the fastest-growing private label, increasing its unit volume 135% YoY, per Numerator.