In 2022, retail media spending surpassed $40 billion, prompting businesses to accelerate their efforts to adopt suitable processes and solutions to overcome growing challenges and stay aligned with technological advancements and innovations. With digital advertising spending exceeding $600 billion, one of the prominent topics in the CPG sector throughout the year was the rising importance of retail media. Given this landscape, it has become essential for retailers and suppliers/sellers to adopt contextual solutions that simplify decision-making and enable large-scale performance measurement.
This is where Vivid-Studio proves invaluable as a comprehensive platform for developing business applications. It enables organizations to create tailored apps that automate workflows and processes while being powered by advanced AI/ML models. Despite its sophisticated capabilities, Vivid-Studio provides a user-friendly interface that businesses can easily use to monitor, track, optimize, and achieve their objectives.
At VividCo, Vivid-Studio is a crucial part of our journey in retail media solution development. Its core principles of adaptability and accessibility guide how we design forward-looking solutions. In this article, we will explore how Vivid-Studio effectively addresses retail media challenges and how it empowered us to build a custom banner pricing solution for one of our major retail clients.
How Vivid-Studio supports retail media
As retail media marketing becomes increasingly vital in the highly digitized post-pandemic landscape, having an AI application suite tailored to these emerging needs is critical. Our retail media suite, extensively developed using Vivid-Studio for current and future requirements, assists businesses at every stage of the RMM lifecycle:
1. Media planning: Efficiently distributing investments across different channels and media formats, providing insights on optimal marginal spending, keyword recommendations for sponsored listings, budget and spend optimization, and planning for on-site, off-site, and email campaigns.
2. Media sales & partnership: Boosting sales for suppliers and retailers while offering insights into advertiser relationships and partnerships.
3. Performance reporting: Comprehensive tracking of retail media performance with extensive reporting tools, channel and campaign analytics, brand and supplier insights, real-time campaign monitoring, and queue management for processing and delivery.
4. Yield & pricing: Managing banner ad pricing and optimizing yield.
5. Customer insights: Understanding customer journeys and purchase behaviors, audience segmentation and targeting, and generating actionable recommendations through audience queries.
6. Ad operations: Comprehensive management from booking to billing, including selecting appropriate creatives and setting prices for ads.
In focus: How Vivid-Studio revolutionized banner pricing for a leading home improvement retailer
Previously, the client's teams relied on manual methods, such as spreadsheets, to enter data and make crucial decisions regarding banner pricing strategies. This approach required significant human effort and coordination, which led to inefficient pricing strategies, redundant and overlapping entries, and unsold banners, resulting in financial losses.
After identifying the problem, we developed a solution that minimized the need for manual effort, eliminated redundancies, and provided accurate pricing, inventory forecasting, and automated process management. Using our proprietary accelerator platform Vivid-Studio, which already had a prototype for banner pricing in retail media, we built a scalable, fully automated web tool for managing on-site banner campaigns. This solution aimed to deliver data-driven pricing recommendations. The system offered the client’s sales teams automated insights such as:
- The best times to schedule a banner,
- The number of advertisers booking a banner slot,
- Advertisers currently on hold,
- Banners already set for sale,
- Banners requiring attention from Ad Ops teams,
- Banners currently available in inventory,
- Dynamic inventory tracking,
- Notifications for sold-out inventory,
- Strategies to free up inventory,
- Availability for upcoming fiscal weeks,
- Pricing strategies for future events,
- Traffic forecasts and changes, etc.
Our focus was on delivering a seamless end-to-end user experience while maintaining customizability. The banner pricing solution built on Vivid-Studio not only featured an intuitive user interface (UI) but also reduced manual involvement by incorporating validation checks for tasks such as banner booking, media pricing, reservations, and sales processes. Additionally, the solution ensured pricing compliance and optimized inventory utilization, as it was specifically designed for the client’s product environment.
Ultimately, Vivid-Studio's capability to support the development of business applications allowed us to enhance the client’s revenue from on-site banner campaigns by over 35% while reducing unsold banners and operational costs. With a dedicated on-site team continually generating data for the tool, we are now collaborating on updates and maintenance efforts.
What makes Vivid-Studio unique in retail media
Vivid-Studio stands out because it was developed with adaptability as its core feature. We recognize the importance of a platform that can seamlessly adjust to meet customer requirements or new demands. As a result, it supports easy updates and ensures minimal turnaround time for any changes. Our open-source approach to client solutions also fosters trust. Solutions built on Vivid-Studio come with comprehensive architecture tailored to the client’s product environment, including integrated cloud services (data ingestion, hosting, processing, backups, syncing, etc.) and robust firewall security.
In the post-pandemic era, retail media marketing has become a trending topic, and businesses are eager to adopt suitable solutions despite its relatively recent emergence. For Vivid-Studio, these features are inherently built-in, positioning it uniquely in the market to capitalize on the rising demand for retail media solutions.
Are you looking for an analytics partner with experience and expertise in retail media marketing? Learn more about our RMM capabilities and how we can assist you here.