Dive Brief:
- Hy-Vee unveiled at Groceryshop this week in Las Vegas the launch of RedMedia, its full-scale, in-house retail media network, per a Friday announcement.
- The platform will connect the grocer’s brand partners with its customer base across numerous platforms and help build brand affinity as well as personalized interaction for shoppers.
- Regional grocers are finding ways to create retail media networks that are on par with national grocers as these services become an essential part of the grocery industry.
Dive Insight:
Hy-Vee’s RedMedia platform enables advertisers to reach specific customer bases across multiple digital platforms, including Hy-Vee digital platforms, in-store advertising and “brand-safe sites,” according to the announcement. In turn, shoppers receive personalized ads and messages from brands based on their purchasing behaviors and brand preferences.
Jason Farver, Hy-Vee RedMedia’s president, said in a statement that leveraging insights gathered from the new in-house platform will lead to an improved customer experience “by reaching the right customer at the right time with the right product offering.”
The grocer added it is in a unique position to offer brand information that goes beyond “simple demographics and wide-ranging buying behaviors” because of its broad business portfolio, which includes grocery, pharmacy, dietetics, specialty health care, banking and more, per the press release. In addition, Hy-Vee’s footprint spans more than 285 retail locations across eight Midwestern states.
Approximately two weeks prior to RedMedia’s announcement, Hy-Vee posted at least two job listings for a Retail Media Analyst position, which aims to provide insights and analytics to support the Hy-Vee sales teams and brand partners as well as drive effective retail media campaigns.
While RedMedia is Hy-Vee’s first in-house retail media platform, the grocer is not entirely new to the space, having partnered with Citrus Retail Media in 2019. Citrus provides retailers like Hy-Vee with a retail media platform.
Regional grocers typically rely on third parties, like Citrus, Pacvue or Instacart, to create and operate their retail media networks. Giant Eagle recently launched an entirely in-house network called Leap, which leverages the grocer’s customer loyalty program.
