The reason behind commerce media solutions and ecosystems is of course to make marketers’ (be it Media Buyers, Affiliates, Agencies, or Brands) lives easier by introducing improved efficiency and reach to all advertising endeavors.

It also facilitates the processes and boosts performance for media companies and owners, by giving publishers a tool to monetize every purchase-driven visitor.

But none of this would be valid without the shoppers themselves, who are practically the creators of commerce media. Why?

Simply because these mechanisms are a direct response to how modern customers finalize purchases and use digital media.

Read on to discover how they shape modern performance marketing.

What is Commerce Media?

Commerce media are elaborate systems of programmatic online advertising opportunities for advertisers and publishers, that basically enable brands and their representatives to gain visibility in a plethora of placements covering the entire user shopping path. Essentially, it allows relevant advertising to be displayed to shopping-driven Internet users in all the customer touchpoints they encounter while navigating the Web.

It’s a way to encourage new customers by attracting them even during the first stages of their product discovery. Be it research, inspiration, or social media exploration – with efficiently designed commerce media, brands are now able to reach them with relevant offers that not only drive growth to the brand but also bring convenience to the users.

It is also a way for businesses to nurture loyal customers by reaching a new form of visibility – also connected to a full-funnel advertising experience. With commerce media, brands don’t need to rely on BOFU (bottom of the funnel) exposure alone.

Commerce Data Leverages Privacy

The major benefit of commerce media is the fact that it operates entirely on safe first-party customer data, making it the ultimate and future-proof solution that utilizes intel about intent and transactions to effectively build customer relationships by delivering relevant advertising offers that deliver richer consumer experiences.

For media buyers and publishers, it is a chance to improve targeting and create more effective advertising. Advertising that is rich and smartly answers consumers’ questions instead of just utilizing their demographic profile. This is a way to build a digital advertising strategy that is privacy-oriented and in the meantime, reflects the modern customer service philosophy.

Connects Media Consumption with Purchases

With commerce media employed, brands are finally able to measure engagement on different stages of the online purchase path. They are also able to determine which impressions deliver the best results in terms of profitability through different marketing opportunities. All while leveraging first-party data over third-party cookies.

McKinsey calls this “Closing the loop between media impressions and commerce transactions”, and with the use of shoppable advertising, live commerce, and content-embedded placements, this is really the case. The new, large-scale discovery of modern customer preferences means that advertisers and publishers can now access increased profitability simply by finding out the best match for their offering.

Benefits for Shoppers

Finally, the shoppers themselves. Let’s look at what commerce media is through their eyes.

There is no denying that we spend increasingly more time before the screens, and the pandemic had a lot to do with that. Some sources say that an average person spends even 13 hours online every day, unlocking their phones ca. 344 times. Each of these unlocks and online sessions is filled with digital touchpoints where the user is exposed to content and information.

Banner blindness is not a new concept, and research shows that 86% of consumers are affected by it, completely ignoring “traditional” display advertising. This creates a necessity to use audience insights to actually respond to their needs. This way it’s no longer a challenge to compete for shoppers’ attention, as commerce-media-based advertising utilizes user interest.

The real challenge is finding the correct placements to properly nurture the consumers’ needs. This is achieved via:

• High personalization of the experience
• User-friendly placements
• Context-based advertising
• Targeting users with shopping intent
• Leveraging safe, first-party data
• Offer relevance
• Interest match
• Financing facilitation
• Making the buying journey fast and with no disruptions

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