Albertsons dives into CTV advertising and revamps in-store retail media with new pilot programs.

Albertsons launched its retail media network in 2021, allowing consumer packaged goods (CPGs) to advertise on its website and app through partnerships with CitrusAd and Merkle. Recently, Albertsons dives into CTV advertising and revamps in-store retail media with new pilot programs, enhancing its offerings significantly.

Since its inception, the Albertsons Media Collective has undergone substantial evolution. It now introduces CPGs to connected TV (CTV) advertising through its latest feature, Collective TV. According to eMarketer data, CTV is now the “fastest-growing major ad channel in the US of all formats.”

Retail Brew had the opportunity to speak with Evan Hovorka, VP of product and innovation at Albertsons Media Collective, at the Interactive Advertising Bureau’s Connected Commerce Summit last month to discuss the company’s retail media strategy.

Albertsons dives into CTV advertising and revamps in-store retail media with new pilot programs. Hovorka shared insights on their recent innovations, particularly in CTV, digital out-of-home, and in-store advertising. He noted that traditional managed service models don’t quite fit all CTV use cases, leading to a tailored approach for Collective TV with three distinct channels that cater to different buying behaviors.

The first channel is DIY, a self-service option where CTV inventory is purchased via Trade Desk, utilizing audience insights and measurement capabilities. The second is a premium service that involves curated partnerships with platforms like NBCU and YouTube, primarily targeting CPGs who want comprehensive managed service execution.

As Hovorka mentioned, “The premium piece will be our primary offering in the coming year.” This service is already available and is expected to grow as they expand inventory sources and test additional buying platforms.

The third channel focuses on syndication, where Albertsons collaborates with inventory providers, offering insights and audience measurement to major publishers like NBCU and Disney, who often sell their inventory directly.

Turning to in-store retail media, Hovorka explained that while the company has had in-store channels for years, these have typically been siloed—consisting of shelf talkers and printed signage. However, there’s a shift underway, particularly with fuel stations, where screens can be monetized, especially during the holiday season.

“We’re piloting that this holiday season,” Hovorka said. Customers at Albertsons, Safeway, or Jewel-Osco will notice screens at deli counters and point-of-sale locations. The pilot aims to determine what products are relevant for customers, such as quick snacks for those filling up their vehicles.

Looking ahead, Hovorka expressed excitement about the collaborative environment in retail media. “Companies like Google and Meta are showing up with dedicated RMN teams, fostering innovation and partnership,” he noted. This collaborative spirit has created fertile ground for new developments in the sector.

In summary, Albertsons dives into CTV advertising and revamps in-store retail media with new pilot programs, demonstrating a commitment to evolving their retail media strategy and enhancing consumer engagement across multiple platforms.