Retail media won’t fix the footfall problem

Retail media won’t fix the footfall problem facing brick-and-mortar stores. Discover why ad revenue might not solve deeper structural issues.

Retail media won't fix the footfall problem - retail media
Retail media won’t fix the footfall problem

Despite the rapid expansion of digital advertising, some analysts argue that retail media will not fix the footfall problem facing traditional brick-and-mortar stores. Before the pandemic, fewer people visited physical locations, leading chains to aggressively build media portfolios to shore up revenue. Selling ad space is not the most effective strategy for survival; it may simply mask a deeper structural weakness.

The Illusion of Revenue

Retailers are essentially monetizing space that already exists, functioning as an additional income stream rather than a growth engine. The retail media model presents a paradox where visibility is prioritized over the message. When retailers charge brands based on placement—whether it is an in‑aisle sign or a screen at a self‑checkout—the price structure often disconnects from actual customer traffic. This creates a scenario where the medium is valued over the medium itself, and the fundamental goal of getting customers through the door is overlooked.

The In‑Store Experience

Traditional retail chains might instead focus on how they can provide clearer incentives for shoppers to visit and spend. A retailer is not, and should not try to be, a media agency. Tinkering with ads to optimise the right message for the right time of day is not the best use of budget, especially when there are not enough people coming into the store anyway. Many categories face increasing difficulty convincing shoppers there is a good reason to venture in‑store when online is more convenient and often cheaper.

Related: Why Big Retail Deals Often Fail

Physical stores should represent a brand in its purest form and showcase what makes it special.

Customers do not visit shops specifically to view advertisements.

Retailers owe it to their customers—and to themselves—to do it better. This means investing in community, customer service, and specialist expertise, which remain essential differentiators.

Related: Quotex Broker Login: A Seamless Gateway to Smart Trading

Grasping what the audience wants, why they want it, and when they are likely to act are the types of signals that can be read across third‑party digital channels, from search to social media and reviews. All offer location insights that can inform business strategy at a local level and the messaging that will help drive footfall. More signage might help people locate the store. A refurbishment might be necessary. Introducing new services could also help differentiate from the competition.

By closing the loop between online intent and offline purchase, it becomes possible to reach prospective shoppers and re‑engage previously active but now inactive customers to bring them to specific stores. Making this work entails shifting from generic national branding campaigns towards local approaches that allocate budgets to specific areas. It requires a more agile approach to planning but can address particular business needs, for example to focus on struggling sites or to bring more affluent customers to a store.

Geotargeting aligned to messaging that underlines what additional value can be unlocked at a particular location presents a compelling proposition. A seasonal offer, exclusive product drop, or an in‑store event might capture attention, but what’s most important is giving customers a reason to keep coming back. This sounds like a lot more work than installing additional DOOH, but using location as the lever to turn an occasional digital shopper into a loyal multi‑channel customer is well worth the effort.

Leave a Reply