EU Retailers Leverage AdTech Innovations, Data to Deliver Tailored Customer Experiences

Thanks to a combination of real-world and online advertising assets that reach an audience of millions, retailers like Dutch multinational retail group Ahold Delhaize, which is popularly known for operating supermarket chains Albert Heijn and Delhaize in the Netherlands, are increasingly diversifying their revenue streams with investments in retail media platforms.

Earlier this month, the firm acquired a minority stake in Belgian AdTech startup Adhese in a move to secure its footing in the fast-moving omnichannel digital advertising space.

Related: Retailers Make Bigger Moves Into Digital Advertising

Over in the U.K., other players are also making moves in the AdTech space.

Through its partnership with dunnhumby, and JCDecaux, British retailer Tesco now operates the largest network of retail-based digital display advertising screens in the country, with over 500 digital displays located in and around its branches.

As well as creating an opportunity to target shoppers on their way into a store, Tesco’s SmartScreen technology offers advertisers a chance to target different stores at different times based on Tesco’s own footfall data.

Data-Based Advertising for Retail Partnerships

As well as having a significant mix of online and physical real estate, major retailers also have access to the kind of customer data that advertisers’ dreams are made of. As a result, retailers can deliver targeted ads with pinpoint accuracy by joining forces with the right partner, and in turn monetize the detailed buyer profiles they’ve spent years developing.

One of the first movers in the field was leading French retailer Carrefour, which launched its advertising and data platform, Carrefour Links, last year.

Part of its multibillion dollar digital transformation strategy, Carrefour Links aims to help the firm’s partner companies measure their end-to-end marketing campaigns — from online ads to in-store transactions.

With a retail empire that spans multiple brands each with its own in-store and online offerings, Carrefour’s European customer base is huge and engages with the company at a scale that has allowed it to build Europe’s single-largest data lake. And with all that information combined, Carrefour can offer advertisers a service few online-only platforms can even come close to providing.

Similarly, with its investment in Adhese, Ahold Delhaize stated that it is accelerating the development of “innovative digital advertising opportunities for B2B partners across Europe to create more tailored and relevant customer experiences.”

Albert Heijn, which is the Netherlands’ largest grocery chain by number of stores, will take the lead in rolling out the new partnership through its AH Media Services division.

Already, AH Media Services is a data powerhouse that analyzes the 15 million transactions Albert Heijn processes in an average week. Of these, the supermarket claims that 80% involve the use of an AH Bonus card, which ensures the retailer captures the richest, most detailed data about its customers, no matter how they shop or pay.

Related: How Loyalty Programs Can Help UK Shoppers Fully Embrace Mobile-Assisted Retail Experiences

With a detailed picture of its customers’ purchasing habits, Albert Heijn is able to identify specific consumer groups at the request of its advertising partners.

For example, when Coca-Cola approached the retailer in search of a group of traditional Coke drinkers it could target for a campaign that would lead them to switch to a low-sugar alternative, Albert Heijn was able to help through its bonus card data.

The consumers were then contacted with offers of free samples and special deals on Coke Zero. And of those offered a free sample, 12.4% participated, while 4.2% of those who were targeted with deals took advantage of them, per data from Albert Heijn.

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