With commerce media, you have access to a wealth of product-purchase data that is generating new types of audience segments. Since retail media advertising is 50% more effective than Social at generating a user response, it’s safe to assume that even early audience segmentation has been successful.

Basic Retail Media Audience Segmentation

How granular you can go will depend on the retail media network (RMN) in question. RMNs will, at the very least, offer different audience opportunities based on who’s purchased your product, who’s purchased a similar product, or who bought an item from the same category.

In the early days of commerce media, retailers were worried about violating privacy regulations, so they took a more cautious approach. Retail media is meant to be a privacy-friendly alternative to third-party cookie-based targeting, after all.

However, privacy laws have since become more defined and widely understood, giving retailers a clear sense of boundaries for respecting user privacy.

Consent For More Detailed Data Collection

Retailers are also finding new ways to obtain users’ consent for more granular data collection. With loyalty programs, for example, retailers can obtain consent from users by offering real value in return.

Commerce Media Audiences Can Go Granular

Retailers are now drilling down to more specific, detailed groupings. They’re creating what are called negative audiences, which are people who have not bought a specific product. There are also audiences based on what a specific person has bought in the past.

User groupings are also being broken down based on recency. Did this person search for a product in the last week or year? This kind of data contributes further to the level of precision you get from commerce media advertising. Given that we’re still in the early days of commerce media advertising, the future of audience segmentation looks bright.