In today’s rapidly evolving advertising landscape, effective measurement is crucial for brands seeking to understand consumer behavior and optimal go-to-market strategies. As brands navigate the complexities of multi-channel ad campaigns, the need for improved measurement practices is becoming increasingly apparent. The IAB Connected Commerce Summit emphasized enhanced advertising measurement during their two-day conference, as we heard from industry experts, executives, and brands about some of their core obstacles heading into 2025. This post explores insights from recent discussions on the challenges and innovations in advertising measurement, emphasizing the core theme of enhancing measurement across various platforms.
The Challenge of Walled Gardens
One of the primary obstacles advertisers face is the existence of walled gardens – platforms that limit data sharing and insights. These silos make it difficult to assess campaign performance comprehensively, causing brands to question the holistic value of their marketing plan. Guest speakers from CVS discussed some of their challenges in depth, as well as their plan going forward: enhancing their advertising data by adopting ID measurement guidelines, striving to create standardized metrics that can bridge the gaps created by these walled gardens. By working collaboratively with industry stakeholders, CVS aims to simplify measurement processes and enhance transparency for advertisers.
Integrated Approaches in Shopper Marketing
Mars Corp has recognized the importance of integrating shopper marketing with traditional media and online retail. Their team’s focus in 2025 is on the entire consumer journey, ensuring that marketing efforts are aligned across all potential touchpoints. Additionally, Pentaleap emphasized breaking down silos by building teams that merge media efforts across channels. This collaborative approach not only streamlines measurement, it also enhances the overall effectiveness of marketing strategies, creating a more seamless experience for consumers.
The Role of AI in Measurement
Artificial Intelligence (AI) is transforming the advertising landscape, yet many brands grapple with understanding its full potential. The IAB speakers explained that they receive daily inquiries about AI use cases, with perspectives varying significantly, depending on individual roles and experiences. Companies like Mars are committed to responsible AI usage, ensuring that innovations in measurement are ethical and beneficial for consumers, and at the same time confirming high quality in AI-influenced output. As brands explore AI capabilities, it is essential to remain vigilant about its limitations while harnessing its power to drive insights.
Growth of Digital OOH Advertising
Digital out-of-home (OOH) advertising is poised for significant growth, particularly in the consumer-packaged goods (CPG) and grocery sectors. As companies like Albertsons work to integrate measurement across platforms, digital OOH presents a unique opportunity to combine traditional shopper marketing with digital insights. GroupM notes that OOH can effectively fill the gap between retail media and television in the marketing funnel, providing valuable insights that drive consumer engagement in brick-and-mortar settings, while still facing obstacles in B&M data collection and measurement.
Cross-Platform Measurement Developments
Recent initiatives, such as Sam’s Club launching their own retail media network, highlight the growing importance of first-party data in advertising measurement. Brands like Chobani are leveraging this data to refine their audience targeting and enhance shopper marketing efforts. With a focus on creating an omnichannel experience, companies are increasingly tying point-of-sale data back to digital interactions, allowing for a more cohesive understanding of consumer behavior, even as the cookie landscape shifts.
Evolving Shopper Experience
As digital video content rises in prominence, brands must adapt to meet changing consumer expectations. IAB market research indicates that 70% of digital video advertisers leverage commerce video, underscoring the need for relevance in advertising content. Platforms like Pinterest are capitalizing on this trend by utilizing extensive data sets to refine their marketing strategies. Understanding audience behavior and segmentation has become essential, allowing brands to create personalized and engaging experiences across various channels.
A Complex Future
My perspective leaving the conference is that improving measurement in advertising is vital for brands looking to thrive in a complex landscape, and agencies should be ready to accommodate. By addressing challenges posed by walled gardens, embracing innovative technologies like AI, and fostering integrated approaches across channels, advertisers can enhance their measurement strategies. As the industry continues to evolve, it is crucial for brands to remain agile, leveraging new data insights and technologies to create meaningful connections with consumers.
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