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DoubleVerify Research Reveals Retail Media is an Opportunity for Safe Engagement Despite Some Viewability Challenges

Retail media exceeds benchmarks on brand suitability, fraud, and engagement, potentially fueling higher-performing ads

DoubleVerify ("DV"), a leading software platform for digital media measurement, data, and analytics, today announced a preview of findings from its eighth annual Global Insights Report, which analyzes media quality and performance trends across more than one trillion impressions from over 2,000 brands in 100 markets. The proprietary research uncovered the opportunities of and challenges for retail media networks, which continue to gain popularity with their rich consumer data and ability to reach audiences at the point of purchase, especially as cookie deprecation approaches.

This press release features multimedia. View the full release here: https://www.businesswire.com/news/home/20240521475203/en/

(Graphic: Business Wire)

(Graphic: Business Wire)

A retail media network (RMN) is an advertising channel offered by a retailer that leverages their first-party consumer data to target audiences on their own properties and extended networks. RMNs combine two types of inventory for advertisers: Owned & Operated (O&O)—ads that run on the retailer's own sites or apps; and audience extension—ads that use the retailer's first-party data to reach shoppers across the web.

Brand Suitability & Ad Fraud

DV’s findings reveal that RMNs over-index for media quality in terms of brand suitability and ad fraud, with fraud rates nearly one-third (31%) lower than the DV overall fraud benchmark and brand suitability violations lower by 10% than the DV overall brand suitability benchmark.

“As retail media investments surge, these are encouraging numbers,” said Mark Zagorski, CEO of DoubleVerify. “In addition to being rich in first-party data, RMNs see lower fraud and brand suitability violations than do other environments. Ultimately, better media quality equates to better ad performance.”

Viewability & Engagement

While RMNs saw better than average brand suitability and fraud rates, viewability across RMNs is 8% lower than the DV viewability benchmark. Specifically, RMN O&O inventory had an average Viewable Rate of just 36%, while RMN audience extension inventory scored considerably higher, at 73%. This discrepancy reflects the strategic focus of e-commerce platforms, which prioritize enhancing the shopping experience and maximizing conversions, with advertising viewability optimization often taking a backseat.

Regardless, the low viewability score of O&O RMN inventory should not be a cause for concern. DV discovered that O&O inventory effectively targets shoppers when they are most likely to engage, resulting in engagement rates 183% higher than DV's attention baseline.

“The distinct roles of audience extension and O&O inventory in RMNs necessitate a nuanced understanding of KPIs,” added Zagorski. “While audience extension ads boast higher viewability and exposure, it’s important not to overlook the high user engagement profile of O&O inventory.”

Method: The report employs DV technology to analyze over one trillion impressions, both pre and post-bid, and offers a detailed market-by-market analysis for North America, LATAM, EMEA, and APAC. The report also covers video and display impressions from January to December 2023 across desktop, mobile web, mobile app, and connected TV (CTV). The study also includes a global survey conducted by Sapio, polling 1,000 advertisers across North America, LATAM, EMEA, and APAC.

For more information about DV, visit: www.doubleverify.com.

About DoubleVerify

DoubleVerify (“DV”) (NYSE: DV) is the industry’s leading media effectiveness platform that leverages AI to drive superior outcomes for global brands. By creating more effective, transparent ad transactions, DV strengthens the digital advertising ecosystem, ensuring a fair value exchange between buyers and sellers of digital media.

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