We have been a pioneer in retail media since 2020 and have successfully expanded this area. With digital advertising solutions in REWE and PENNY stores, we offer attractive advertising opportunities for retail partners and external brands. This is REWE Group's success story in retail media.
We have been tapping into the retail media sector since 2020 - and have been a pioneer to this day. Four years ago, the buzzword was only known in a niche market, but it has now established itself as an advertising opportunity worth billions. But what exactly does "retail media" mean and why is it so important to us? Retail media literally stands for retail media, i.e. a media offering that a retailer has at its disposal. The term originally comes from e-commerce. It refers to online retailers opening up their own shops, websites or apps for advertising by other brands. In our series, we take a closer look at this still relatively new branch of digital advertising. 
Christian Raveaux, Head of Customer Insights & Media
We recognised the potential of our own "media" early on and invested accordingly. From 2021, we prioritised retail media and invested accordingly in technology, analytics and a dedicated team to enable adverts on our online presence. And we were exactly right with these investments: retail media as an advertising category will continue to develop very dynamically in the coming years. Other forms of advertising such as linear TV will play a lesser role in advertisers' marketing plans in favour of forms of advertising that measurably reach relevant customer segments. Media agencies in Germany also expect retail media to record the strongest growth of all media channels in 2024 *.
It is important to us that we use advertising carefully and in a sensible fit with our REWE and PENNY brands. Our customers should be inspired by relevant advertising.
PENNY has also successfully entered the retail media market and has started the gradual roll-out of innovative screen solutions in its stores. Up to 230 PENNY stores are to be equipped with modern digital screens by the end of 2024. Our discounter is relying on a combination of offer communication, national marketing content and branding content presented in a modern and appealing format. The digital screens will be placed at strategically important points in the stores: in the windows, at the entrance, in the fruit & vegetable section and in the confectionery area. Three to four marketable screens will therefore be available per store, maximising reach and impact.
REWE initially started with Retail Media with adverts in the online shop. However, REWE was quick to transfer the idea of simple digital booking of its own media to its bricks-and-mortar stores. Since 2022, REWE stores have also been successively equipped with digital steles on which digital advertising is also displayed. Over 3,200 stores and their steles now form a strong advertising network that reaches millions of customers every day.
On the one hand, this wide reach makes advertising opportunities attractive for retail partners, who can advertise their brands that are sold in the stores on the steles and screens. On the other hand, the REWE advertising network is also interesting for brands outside the retail sector because they find a ready-to-buy customer base in the stores. "This allows us to generate revenue in areas that were not accessible until recently," explains Christian Raveaux, Head of Customer Insights & Media. He continues: "We can reach customers at the very moment they are shopping. This can immediately and measurably increase product revenue, but it also works very well to make brands better known to customers."
As a further development, advertisers at REWE have certain options to choose from. This means that interested companies can advertise according to federal states, cities, postcode areas, REWE regions or even with reference to the weather, for example. However, distribution-adapted adverts are also possible. This means that the advertising of a manufacturer's brand is only displayed in the stores in which the product is also distributed. Sounds complicated, but it's not. "We have very good capacity utilisation, and you have to apply very early for advertising space during seasonal peaks. The decisive advantage of Retail Media is that advertising customers can book a campaign quickly and easily thanks to our constant technical developments," says Christian Raveaux. The latest variant: advertising in 3D. The first 6-second adverts have already been shown on the steles in selected stores.
