In an era where having a digital presence is as important as having a physical one, retail onsite display advertising has become an indispensable tool for retailers aiming to drive sales. With 69% of consumers researching online before making a purchase, onsite advertising offers retailers a chance to capture potential buyers’ attention at a critical point in their purchasing journey. This direct form of advertising allows retailers to showcase their products and promotions right where consumers are most likely to engage: on their websites and apps.
In this blog, we explain why onsite display advertising is becoming essential for every retailer. We’ll further explore how these impactful ads can enhance your brand’s visibility and bottom line by converting casual browsers into devoted customers.
What is Onsite Display Advertising?
Onsite display advertising is the practice of showing digital ads on a retailer’s website or mobile apps directly where potential customers are engaged in shopping or browsing activities. It is similar to shelf-talkers, panels, and point-of-sale displays in the brick-and-mortar store, even though it operates in the digital realm.
Just as shelf-talkers and point-of-sale displays draw attention to products and encourage impulse buys in a physical store, onsite display ads aim to achieve the same effect online. They are strategically placed to catch the eye of the shopper, offering promotions, highlighting new arrivals, or suggesting items based on the shopper’s browsing history and preferences. Here is an example of onsite display advertising:
Onsite display advertising, combined with closed-loop measurements and contextual targeting, allows retailers to use their digital real estate to display ads of brand partners. This approach increases the likelihood of conversion.
What is the difference between onsite and offsite retail media?
The key difference between onsite and offsite retail media lies in the location and context of the advertisements. Onsite advertising occurs within the retailer’s platform, directly engaging consumers already in a shopping mindset. On the other hand, Offsite advertising involves placing ads on external websites and platforms (like Google and social media sites such as Facebook and Instagram), aiming to attract potential customers to the brand’s site.
This fundamental difference significantly impacts the conversion. Onsite ads benefit from high relevance and intent, as they reach consumers at a point where they are more likely to make a purchase. Offsite ads, while casting a wider net, may not capture the same level of purchase intent.
Unlike traditional advertising, onsite display ads:
- Offer Targeted Visibility and help you reach the right audience at the right time with laser-sharp targeting based on browsing behavior, purchase history, and demographics.
- Boost Product Discovery by showing relevant new products, highlight promotions, and encourage cross-selling and upselling, increasing average order value.
- Build brand awareness and loyalty through engaging creative formats and targeted messaging, fostering deeper customer connections.
How traditional display advertising differs from retail onsite advertising
While both display and onsite retail advertising aim to capture the attention of potential customers, they differ significantly in their approach and impact. Display advertising, often used for top-of-the-funnel engagement, casts a wide net to build brand awareness and attract traffic. These ads appear across various websites and platforms, not necessarily where the consumer is shopping.
Onsite retail advertising, however, is inherently more contextual and targeted. It is designed to influence customers who are already browsing a retailer’s website, making it more relevant.
| Feature | Traditional Display Advertising | Onsite Retail Advertising |
|---|---|---|
|
Placement
|
Across various external websites
|
On the retailer’s own digital platform
|
|
Intent
|
Primarily for brand awareness and attraction
|
To influence purchase decisions and enhance product discovery
|
|
Context
|
Less context-specific, broader targeting
|
Highly contextual, based on real time browsing and search behavior
|
|
Engagement
|
Top of the funnel targeting
|
Bottom of the funnel targeting
|
Benefits of onsite advertising
Onsite advertising offers many benefits for both the brands utilizing the ad space and the retailers offering it. For brands, it provides a direct line to engaged consumers, increasing visibility and driving sales for specific products. The targeted retail display ads ensure advertising budgets are spent efficiently.
Retailers on the other hand, benefit from an additional revenue stream through the sale of onsite ad space. Also, by offering relevant products inline with the search intent and consumer preference, retailers can enhance the overall shopping experience, encouraging longer browsing sessions and increased purchase rates. Creating a mutually beneficial symbiotic relationship between the brand and retailer.
To maximize the impact of onsite display advertising for retailers, a robust adtech platform is a must, and this is where FCC’s Ads Manager comes into picture. A pivotal tool for creating and managing retail media campaigns, it offers various ad formats like display ads, product contextual ads, and product listing ads. This versatility allows retailers to monetize their online presence effectively and engage with brands on their retail platforms.
Connect with our retail media experts today to know how FCC can help you boost your retail sales with targeted advertising.
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