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Top five retail marketing challenges in 2024

Published: October 15, 2024 by Experian Marketing Services

Strategies to overcome retail marketing challenges in 2024

The questions that keep retail marketers up at night have evolved significantly over the last decade. It wasn’t long ago that marketers would spend their time debating which highway to place their billboard on, whether or not their next TV commercial should be comical or heart-tugging, or even what the optimal time of day was to blast an email campaign to their entire customer list. In 2024, retail marketing has new challenges on the radar.

The rise of omnichannel retailing

The modern, digital-savvy customer expects a flawless and interconnected shopping experience across touchpoints — one of the many reasons omnichannel marketing is on the rise. Research shows that over half of B2C consumers engage with between three and five channels whenever they make a purchase. For businesses, omnichannel engagement is a lucrative opportunity; McKinsey reports that customers who engage across channels shop nearly twice as much as those using a single channel and usually spend more money.

However, the rise in omnichannel engagement also presents several retail marketing challenges, such as the complexity of managing vast amounts of data and piecing together an accurate picture of consumer behavior.

Data and identity-related retail marketing challenges

Today’s data-driven environment has turned the retail marketing landscape on its head, and businesses have a whole new set of struggles that revolve around identity and data. We identified the top five retail marketing challenges and how to solve them.

1. Knowing what data to capture

In the omnichannel era, online and offline data is abundant. When a customer shops at a physical store, they create data points like:

  • What items they purchased
  • What time they visited
  • How long they were there

When the same customer shops online, they create a whole new set of data points, such as:

  • What device they used
  • Which items they browsed but didn’t purchase
  • How long they spent on specific pages

The vast available data can overwhelm retailers and make it a challenge to determine which data points to prioritize. Start by identifying the challenge you’re addressing. By defining your problem, you can better decide which data is most relevant. For instance, if you’re optimizing the timing of incentives, analyze when customers shop most frequently and customize offers based on individual behavior patterns.

How Experian’s Activity Feed can help

Experian Activity Feed connects online and offline data to promote precise targeting and measurement across mobile, web, connected TV (CTV), and more. We provide addressable insights that work across all channels by integrating real-time device IDs, cookies, and IP addresses. Our case study with Cuebiq, found here, discusses how we used Activity Feed to deliver in-store lift analyses to Cuebiq’s clients.

Because our impressive breadth of addressable data works across channels, we’re perfectly positioned to be your comprehensive identity solution, as we’re capable of addressing the entire U.S. population. With access to over 250 behavioral and demographic attributes per individual, our data fills in audience gaps to help you create a complete customer profile.

2. Understanding customer behavior

The complexity of modern consumer behavior is growing, and one of the biggest retail marketing challenges is merging all this information into a single unified customer view. With consumers moving seamlessly between devices like tablets, mobile phones, and laptops, retailers face the grueling task of keeping up with their fragmented journey.

For instance, a customer may spot a pair of shoes in-store, add them to their cart via mobile due to long cashier lines, and finish the purchase later from their laptop. However, if they cannot be recognized across these touchpoints, they may abandon the purchase out of frustration. Retailers need solutions that link offline customer relationship management (CRM) and purchase data with a customer’s online activity, regardless of channel or device.

This is where Experian identity resolution and Graph come into play.

How Experian’s Graph and identity resolution can help

Experian’s identity solutions help brands resolve disparate data by merging fragmented identifiers into a singular customer profile for a 360-degree view. We ensure each touchpoint is connected, whether the interaction happens online or offline, across mobile apps, or in-store. This enables retailers to recognize the same customer across various devices and enhances the customer experience by keeping items in their cart and personalizing their journey across platforms.

With Experian’s identity graph, brands can further enrich these customer profiles with digital identifiers that span hashed emails (HEMs), cookies, mobile device IDs (MAIDs), IP addresses, universal IDs, and CTV IDs to create a more accurate, actionable view of consumer behavior. We rebuild the graph weekly, which ensures persistent and refreshed connections between households, individuals, and their devices. This ongoing linkage allows for precise targeting and measurement over time and aligns with privacy standards and compliance obligations.

By organizing identity into households and device IDs and enriching them with marketing data, brands can gain deeper customer insights, addressability across devices, and the ability to measure the impact of their retail marketing strategies.

3. Building trust between consumers and your brand

Trust is the foundation of online relationships, and consumers who trust your brand are likelier to share their data. To establish this trust, retailers must collect customer data transparently and respectfully.

According to Experian data, 80% of consumers believe more transparency around the use of their information fosters greater trust in a business. Additionally, the same data revealed that 56% of companies plan to invest more in transparency initiatives, such as consumer education, clearer terms of communication, and consumer control over personal data.

Experian’s commitment to data accuracy and transparency further strengthens this trust. Our data is ranked #1 in accuracy by Truthset, which means you can power smarter insights, targeting, and measurement using the highest-rated, most reliable data to build customer profiles.

4. Establishing customer loyalty with retail marketing

Today’s consumer has many opportunities and choices available at their fingertips, which makes it harder for retailers to build and maintain customer loyalty. Signal loss and the rise of omnichannel media consumption have made it even more of a challenge to keep loyal customers.

By using data and insights to interact with people more meaningfully, you can overcome these difficulties to provide a more personalized, relevant experience and establish loyalty. Experian’s new Digital Graph and Marketing Attributes solution makes it easier to do just that.

Experian’s Digital Graph and Marketing Attributes solution

Using our Digital Graph and Marketing Attributes, you can gain comprehensive insights into consumer behavior by combining offline and digital data through our Living Unit ID (LUID). Our Digital Graph provides robust digital identifiers like MAIDs, CTV IDs, HEMs, and universal IDs, while our Marketing Attributes offer detailed consumer insights spanning age, gender, purchase behaviors, and content consumption habits. With this data, you can create relevant messaging and informed audience segmentation to enhance your personalization and targeting efforts across all digital channels.

Using our solution can help you deliver what customers need when they need it — like winter gear before a ski trip or swimwear before a beach vacation. These personalized experiences drive additional revenue and build lasting relationships that keep customers coming back, establishing a strong foundation of loyalty in an increasingly competitive market.

5. Finding your technology solution

Retailers need to integrate technology to make their data actionable and use it to streamline the customer experience. They need to integrate data storage platforms with fulfillment and reporting solutions, such as email service providers, display networks, and marketing intelligence tools. Whether retailers are exploring the industry or gearing up to make a substantial investment in the right technology partner, it’s vital to ensure you evaluate potential partners equally and consistently.

Experian works with major platforms, marketers, and agencies, meaning we have existing partnerships across the ecosystem for you to connect with that can bring your consumer data to life and meet your needs. Our offline and digital graphs are baked into partner integrations so customers can achieve higher match rates that improve addressability.

Strategies to help you overcome retail marketing challenges

When it comes to modern retail marketing, you’ll need to take a strategic approach to handle emerging challenges. Here are five retail trends of 2024 to consider integrating into your retail marketing strategy:

  1. Use predictive analytics: Data can be overwhelming, but you can analyze historical purchase patterns to capture and prioritize the most relevant data for your retail marketing efforts.
  2. Optimize omnichannel campaigns: Cross-channel data integration can help you ensure consistent messaging, provide a seamless experience, capture a unified view of customer interactions, and improve engagement.
  3. Personalize experiences with AI: Utilize AI data capture across touchpoints to create personalized recommendations and tailored experiences that resonate with individual customer preferences and behaviors.
  4. Adopt dynamic pricing: Use real-time data to adjust prices based on customer behavior and market conditions so your pricing strategies align with current demand and maximize revenue.
  5. Invest in customer experience tech: Virtual fitting rooms, augmented reality, and other advanced technologies allow customers to engage with your brand across platforms, which can improve their shopping experience.

Utilize Experian’s retail media network (RMN) solution

Experian’s solution for RMNs is another tool for overcoming retail marketing challenges. We empower RMNs to better understand their customers with unified views of online and offline behavior across channels and extend their reach across environments.

Using our top-ranked identity and audience services, we can help RMNs access expanded customer insights, enhance cross-channel audience targeting, and improve real-time measurement and attribution to enable precise, streamlined, personalized omnichannel campaigns. Our solution’s integration with major platforms improves data match rates and addressability so retailers can overcome data fragmentation and optimize their retail marketing strategies.

Experian can help advance your retail marketing strategies

Experian can help retailers effectively use data and insights to interact with customers and prospects meaningfully. Our data and identity solutions help you deliver relevant, impactful messaging to ensure the customer who puts shoes in the cart at the store is the same customer who wants to finalize their transaction later that evening online.

As the holiday season approaches, it’s time to refine your retail marketing strategies and connect authentically with shoppers. With over a billion consumers preparing to shop, Experian offers 19 new syndicated audiences available for activation across major ad platforms, including TV and programmatic, to help you reach the most relevant prospects. Whether you’re targeting discount seekers, last-minute gift-buyers, or frequent travelers, our audiences align with diverse shopping styles and preferences. Choosing the right audience segments aligns your holiday marketing efforts with consumer expectations and maximizes impact.

With our tools, you can seamlessly connect with the same customer across various channels, whether they’re shopping in-store or online. Embrace the holiday season confidently, and let Experian help your retail marketing strategy shine.


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Top 10 audiences for Q2

At Experian, we understand the critical role that audience targeting plays in the success of marketing campaigns. That's why we're excited to share this curated list, aimed at helping agencies and media buyers plan their campaigns and effectively reach their audiences with precision and confidence. Here's a look at the Experian audiences that were the most popular in Q2 2023. Which ones will you add to your Q2 campaign planning? Our top 10 audiences for Q2 Fitness enthusiast Lifestyle and Interests (Affinity) > Health & Fitness > Fitness Enthusiast In-store high spender on baby products Retail Shoppers: Purchase Based > Shopping Behavior > Baby Products: In Store High Spenders Has a bachelor’s degree Demographics > Education > Bachelor Degree In-market for an SUV and CUV Autos, Cars and Trucks > In Market-Body Styles > SUV and CUV In-market for a mid-size truck Autos, Cars and Trucks > In Market-Body Styles > Mid-Size Truck Homeowner Demographics > Homeowners/Renters > Homeowner In-market for a small, mid-size SUV Autos, Cars and Trucks > In Market-Body Styles > Small Mid-Size SUV In-market for a full-size truck Autos, Cars and Trucks > In Market-Body Styles > Full-Size Trucks In-market for a full-size SUV Autos, Cars and Trucks > In Market-Body Styles > Full-Size SUVs Household income level Demographics > Household Income (HHI) > $75,000+ Our top 5 audiences by vertical Which audience segments were the most popular by advertiser vertical? Advanced TV Household income level Demographics > Household Income (HHI) > $75,000-$99,999 Interested in dogs Lifestyle and Interests (Affinity) > Pets > Dogs (FLA / Fair Lending Friendly)1 Homeowner Demographics > Homeowner/Renter > Homeowner Household income level Demographics > Household Income (HHI) > $100,000-$124,999 Interested in arts and entertainment Lifestyle and Interests (Affinity) > Art and Entertainment > Visual Art and Design (FLA / Fair Lending Friendly) Agency Dog owner Lifestyle And Interests (Affinity) > Pets > Dog Owners Cat owner Lifestyle And Interests (Affinity) > Pets > Cat Owners Active investor Lifestyle And Interests (Affinity) > Investors > Active Investor Mutual fund investor Lifestyle And Interests (Affinity) > Investors > Mutual Fund Investor In-market for a full-size SUV Autos, Cars and Trucks > In Market-Body Styles > Full-Size SUVs Auto In-market for a new car Autos, Cars and Trucks > In Market-New/Used > New Car In-market for a used car Autos, Cars and Trucks > In Market-New/Used > Buyer Used In-market for a Honda Autos, Cars And Trucks > In Market-Make And Models > Honda In-market for an auto loan Financial FLA Friendly > In Market Auto Loan In-market for an auto lease Financial FLA Friendly > In Market Auto Lease Did you know? Consumers looking to buy a new vehicle prefer streaming TV, digital newspapers, and email for communication2. By merging our TrueTouchTM engagement channel audiences with our Auto in-market audiences, you can effectively target these consumers through their preferred channels. TrueTouch facilitates personalized advertising campaigns by predicting consumer preferences, ensuring messaging styles align with the right channels and calls to action. By understanding what types of media people prefer, you can match the best way to talk to them with what to offer, using the right channels for personalized ads. No consumer is the same – and you need to engage with them on their terms to successfully market to them. Financial Active in the military Lifestyle And Interests (Affinity) > Occupation > Military – Active In-market for a credit union loan Financial FLA Friendly > In Market Credit Union Loan 40-49 years old Demographics > Ages > 40-49 30-39 years old Demographics > Ages > 30-39 Small business owner Consumer Behaviors > Occupation: Small Business Owners Health 25-29 years old Demographics > Ages > 25-29 30-34 years old Demographics > Ages > 30-34 Weight conscious Lifestyle and Interests (Affinity) > Health & Fitness > Weight Conscious Moms interested in fitness Lifestyle and Interests (Affinity) > Moms, Parents, Families > Fitness Mothers High spenders at vitamin/supplement stores Retail Shoppers: Purchase Based > Health and Fitness > Vitamins/Supplements: Vitamins/Supplements Retail & CPG Dog owners Lifestyle And Interests (Affinity) > Pets > Dog Owners Cat owners Lifestyle And Interests (Affinity) > Pets > Cat Owners Fitness enthusiast Lifestyle and Interests (Affinity) > Health & Fitness > Fitness Enthusiast Interested in healthy living Lifestyle and Interests (Affinity) > Health & Fitness > Healthy Living High spenders at vitamin/supplement stores Retail Shoppers: Purchase Based > Health and Fitness > Vitamins/Supplements: Vitamins/Supplements Activate the right audiences with Experian When you choose Experian’s syndicated audiences, you gain access to over 2,400 audiences that span across 15 verticals and categories. These audiences are directly available for activation on over 30 platforms and can be sent to over 200 media platforms. Experian is ranked #1 for data accuracy (as validated by Truthset) and Experian Marketing Data is the foundation for successful targeting, enrichment, and activation. For a full list of Experian's syndicated audiences and activation destinations, download our syndicated audiences guide. Need a custom audience? We can help you build and activate an Experian audience on the platform of your choice. Connect with our audience team Check out other seasonal audiences you can activate today. Footnotes Fair Lending Act Friendly audiences: “Fair Lending Friendly” indicates data fields that Experian has made available without use of certain demographic attributes that may increase the likelihood of discriminatory practices prohibited by the Fair Housing Act (“FHA”) and Equal Credit Opportunity Act (“ECOA”). These excluded attributes include, but may not be limited to, race, color, religion, national origin, sex, marital status, age, disability, handicap, family status, ancestry, sexual orientation, unfavorable military discharge, and gender. Experian’s provision of Fair Lending Friendly indicators does not constitute legal advice or otherwise assure your compliance with the FHA, ECOA, or any other applicable laws. Clients should seek legal advice with respect to your use of data in connection with lending decisions or application and compliance with applicable laws. Experian looked at our Auto and TrueTouch audience data to understand media preference trends over the past year. Latest posts

Apr 09,2024 by Experian Marketing Services

Six alternatives to third-party cookies

With the impending deprecation of third-party cookies, marketers find themselves at the crossroads of innovation and adaptation. As we bid farewell to this identifier, the emphasis shifts to forging deeper connections, understanding customer needs, and navigating the marketing landscape with data-driven precision. At Experian, we stand as your trusted partner, committed to guiding you through this transition. In this blog post, we'll explore: How third-party cookie deprecation is impacting digital advertising Six alternatives to third-party cookies and where they fall short How Experian can help you navigate a cookieless world Four ways third-party cookie deprecation is impacting digital advertising Third-party cookie deprecation is causing significant challenges within the AdTech industry, manifesting in four key areas: Reach: Advertisers and demand-side platforms (DSPs) will face difficulties in reaching their target customers due to the absence of third-party cookies. 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Google Privacy Sandbox The primary goal of Google’s Privacy Sandbox is to continue to deliver valuable consumer information that yields relevant marketing and media strategies, while protecting a user’s privacy.   How these alternatives to cookies fall short While it's promising to see numerous alternatives to cookies emerging, it's essential to recognize that each alternative has its limitations and is not a perfect one-to-one replacement for third-party cookies. Let’s review the shortcomings of these alternatives, and then we’ll walk through how Experian can help you navigate these alternatives to cookies. 1. First-party data  First-party data, which is data directly collected from your users with their consent, is highly valuable. However, you will likely face limitations in terms of the number of consumers in your database, the identifiers linking them, and the insights into their demographics and behaviors. 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Data collaboration  Data collaboration is beneficial for enhancing your consumer data and informing your strategies. However, it can introduce potential data security risks, if not done in the right framework, and may lead to subpar matching results due to issues like data hygiene or discrepancies in identifiers. 6. Google Privacy Sandbox  Google’s Privacy Sandbox aims to balance effective advertising with consumer privacy and data security. However, it lacks transparency and has yet to prove its effectiveness, raising concerns about whether it meets industry standards. How Experian can help you navigate a cookieless world As an industry innovator and leader in data and identity, we've developed solutions to address the challenges posed by the shift away from third-party cookies. Our products are designed to adapt to these changes and ensure your success. We've anticipated industry shifts and proactively prepared our offerings to support you through this transition. Below we outline how our products are ready to support you through the transition away from third-party cookies. Graph The Experian Graph facilitates connectivity without relying on cookies. Our Graph helps ensure connectivity by supporting a variety of addressable identifiers, not limited to but including universal IDs, like Unified ID 2.0 (UID2) and ID5's universal ID. Whether you have first-party data or not, our Graph can be used to expand the reach of your first-party data or provide you with access to the full scope of our Graph's 126 million households and 250 million individuals. Activity Feed Supported by our Graph, Activity Feed can help you deliver digital connectivity and resolution in a cookieless environment. Activity Feed can resolve disparate activity to a single, consumer profile. It can expand the quantity of addressable identifiers associated with your first-party consumers. Additionally, Activity Feed, by joining disparate activity and identifiers, provides clearer insights, more addressable targets, and more holistic measurement. Our Marketing Attributes and Audiences In a cookieless environment, our Marketing Attributes and Audiences provide valuable information and insights about who your consumers are, like their demographics, shopping patterns, and more, to facilitate more informed decision-making. You can use our Marketing Attributes and Audiences to enrich your first-party data, giving you crucial insights into your customers so you can make informed, strategic decisions. They can be matched to universal identifiers, expanding their utility. Additionally, our Marketing Attributes and Audiences are sourced from non-cookie dependent offline and digital sources, ensuring they are unimpacted by third-party cookie deprecation.   Collaboration While third-party cookies have primarily served to connect data in the industry, many companies are turning to data collaboration in lieu of having third-party cookies. In doing so, they can connect data with key partners, which they can use to make better media decisions. Experian Collaboration helps make data collaborations better, powering higher match rates by using the various identifiers supported in our offline and digital graphs. Through our current support of collaboration in three environments, within Experian, through crosswalks, and in clean rooms, such as AWS, InfoSum, and Snowflake, we ensure that you only share the data you intend to share, while the sensitive information remains secure. This way, your partner and you can focus on how to use the data to benefit you and not on anything else. Get started with alternatives to third-party cookies today  While many view the deprecation of third-party cookies as disruptive, we see it as an opportunity for the industry to embrace a new era of advertising while prioritizing consumer privacy. Achieving this balance is crucial, and Experian's solutions are here to help you navigate it effectively. As the AdTech industry gravitates toward a few tactics to effectively advertise in the cookieless future, Experian is here to understand your core needs and recommend products that will help.    In a rapidly evolving marketing landscape, Experian stands as your trusted partner, offering expertise in data-driven and identity solutions. Connect with our team to seamlessly transition into these alternatives to third-party cookies, ensuring your marketing strategies remain effective, privacy-compliant, and focused on meaningful connections. Get started today Latest posts

Apr 02,2024 by Hayley Schneider

Unlock omnichannel advertising performance through Experian’s 2,400+ syndicated audiences within the Flashtalking platform

In the ever-evolving and soon-to-be cookieless advertising world, brands and agencies need help finding and maintaining access to accurate and comprehensive marketing data that enables them to reach the audience segments that matter most. Flashtalking by Mediaocean and Experian have a collaboration in place to do just that. Through this partnership, Experian’s more than 2,400 syndicated audiences are available for activation within the Flashtalking platform and its Social Ads Manager. “There are a lot of audience segments and data disappearing within the advertising industry right now because of the deprecation of third-party cookies, but Experian’s syndicated audiences are built for this new privacy-first world. Through this partnership, Flashtalking's clients gain access to some of the industry's most actionable on-the-shelf and custom audience capabilities for activation and targeting across the publishers and social platforms that matter most. It’s as easy as identifying the segments that matter to your brand and activating them everywhere they exist with a few simple clicks.” – Ben Kartzman, COO, Flashtalking by Mediaocean This partnership unites the power of Flashtalking's best-in-class independent omnichannel advertising platform with Experian’s comprehensive audience intelligence, which spans 126 million households and 250 million consumers. “For the same reason that brands are investing more deeply in first-party data in the wake of third-party cookie deprecation, having access to the right audience segments has never been more important. Mediaocean offers access to the only independent ad server that’s powering truly omnichannel, personalized experiences, and we’re thrilled to be amplifying their ability to do that through Experian’s expansive audience segments.” – Colleen Dawe, Director, Sell-Side Sales, Experian The Flashtalking Social Ads Manager has long-standing relationships and technical integrations with all major platforms, including Facebook, Google Demand Gen, Instagram, LinkedIn, Pinterest, Snap, TikTok, and a forthcoming integration with Reddit. Experian data can be deployed through custom and syndicated segments within these platforms, providing clients with both reach and precision. The power of the Experian – Flashtalking collaboration Benefits to marketing organizations that tap Experian data and audience segments via the Flashtalking platform include the following: A unified customer view: Marketers can use Experian's comprehensive data within Flashtalking to create a unified view of the customer across multiple channels. This helps craft cohesive marketing strategies that deliver consistent messages, enhancing customer experiences and brand perception. Enhanced targeting and personalization: Marketers can access Experian's detailed audience segmentation and insights within Flashtalking to target campaigns effectively. They can personalize messages at scale based on demographic, psychographic, and behavioral data to increase engagement and conversion rates across all channels. 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Experian has found that automotive advertisers build segmentation using four major data categories: Automotive Demographics Lifestyles and Interests Retail Shoppers: Purchase-Based Directly within the Flashtalking platform, multiple syndicated audiences from Experian in each major data category specific to automotive are available that brands and agencies can activate on-the-shelf to reach consumers with targeted messaging and retargeting. Experian and Flashtalking are future-proofing advertising Together, Flashtalking and Experian will ensure advertisers can continue to deliver personalized, relevant, and impactful messages and experiences to consumers despite ongoing shifts within the data-driven marketing landscape, including the deprecation of third-party cookies in Chrome. This partnership offers greater access to audience segments built on privacy-safe insights with expansive reach, scale, and flexibility. Connect with us to learn more about how you can access Experian’s syndicated audiences through Flashtalking by Mediaocean. About Flashtalking by Mediaocean Flashtalking unleashes the power of creative to make media work better. As the leading independent platform for personalization and intelligence across all marketing channels, our Creative Ad Tech bridges the gap between creative and media. We provide AI and automation to connect the silos between teams and deliver more efficient production, versioning, and distribution of creative. Our solutions operate at scale across CTV, Video, Display, Social, Native, Audio, DOOH, and Retail Media channels. As part of Mediaocean, Flashtalking is tied into the industry’s core ad infrastructure for omnichannel planning, buying, and billing. Visit flashtalking.com to learn more. Latest posts

Mar 28,2024 by Experian Marketing Services

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