
In this preview of AdExchanger's new podcast Inside the Stack, TripleLift Chief Revenue Officer Ed Dinichert shares his take on the evolution of retail media with AdExchanger head of communities Lynne D Johnson. Listen in to hear how AI, creative and...
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Lyndee Johnson
Foreign. Hey, Ad Exchanger talks listeners. We have a new different podcast for you called Inside the Stack where we interview leaders in ad tech. Give it a listen. I'm Lyndee Johnson, Content Director, Communities for Ad Exchanger and Ad Monsters. Today we're discussing what's next in retail media with Ed Dineshir, CRO of triplelift. Triple Lift is the creative SSP that's transforming digital advertising through creative technology and innovative ad formats so that publishers, advertisers and agencies achieve measurable outcomes while enhancing user experiences. This episode is sponsored by Triple Lift, the creative SSP that transforms digital advertising through creative technology and innovative ad formats. Triple Lift helps publishers, advertisers and agencies achieve measurable outcomes while enhancing user experience. Hi, I'm Lyndee Johnson, Content Director, Communities for Ad Exchanger and Ad Monsters. Today we're here with Ed Dineshire, Chief Revenue Officer at Triple Lift. Hi, Ed.
Ed Dineshire
Hi, Lynn. It's great to be here. Yes, thanks for inviting us.
Lyndee Johnson
Yes. Today we will be discussing the evolution of retail media from the formats that drive real outcomes to the innov that actually matter, whether you're a brand or a retailer or just trying to make sense of this off site surge in retail media. This one's for you. So, Ed, I wanted to just set the stage a little bit and talk about what's happening in the retail media landscape today. There's a lot of expansion and experimentation going on. What stands out for you?
Ed Dineshire
Yeah, it's a very, very large practice and retail media certainly will become a default currency in the next few years. I don't even know if we're going to call it retail media in the future or not. I think retail media targeting and metrics will just become a default definition of online advertising. From my point of view, it's very big. It's nearing $200 billion, where I think projections are around 180 billion this year. And offsite in particular is growing fast at 65%. That's a projection from eMarketer from last year. So there's definitely something going on with offsite, which is the first kind of thing that I see, which is saturation probably of on site inventory for some retailers and a need to do on site and off site. The second trend is full funnel. There's no old formats and all experiences from CTV to online video to display to search. All this combined and giving you, whether you're an advertiser agency or even just like a researcher in the space, the ability to look at the sequencing of messages that drive performance and that can be consideration of a product, purchase of a product, lifetime value of a new customer or an existing customer or net new to brand, acquisition of customers. And I think the third thing I see is the booming of video and the importance of creative as video is booming. Video in the form of connected tv. But that's so on my video. And I think the importance of creative is now forefront through just the realization that a creative message that is good or animated and good is better than a static experience. So if I recap full funnel capabilities, video and animated creative and the importance of creative and saturation of on site, which increases the importance of offset.
Lyndee Johnson
That's very interesting and it's great that you mentioned creative. I was at a recent SIM summit where they did a study and it seemed like everyone's not putting as much of an emphasis on creative for right now. You know, SIM talks to TV and video people and ctv. So it was interesting to me that they as an organization are looking for brands to start thinking about creative. More like everyone was so focused on data the past few years that people haven't been focusing on creative as much as making sure creative is personalized to meet the right people at the right time. Right. I'm curious where you see Triple Lift fitting into this whole onslaught of retail media spend that is happening now.
Ed Dineshire
Yes, Triple Lift has been focused on creative since its birth 13 years ago. It's been worded into the native formats. And native is a protocol in programmatic advertising that is enabling advertisers to upload their own components and make the ads in milliseconds in the bitstream and make them render on any size beyond the iframe of sight. And so we've been playing with creative components since 13 years. The difficulty in doing this is to do it at scale. You can do manual campaigns on I would say 60, 65% of the Internet with a manual format and a manual setup. But what we really want to do is to get this automated format that would just morph on all the publishers with a native experience. And when I say native, it's non IAB formats to render beyond the iframe and just take the real estate that is out there with premium publishers and make the ad better. And that's what we do. And there's not a lot of folks that can do this. You're either a manual network and you're doing 60, 65% reach or you're a very large SSP that is close to 100% reach, but you're not able to do this special formats, you're really doing just IAB formats. We're right in the middle here. We have 90% plus reach in the US and many other countries that we are established in and we have this capability with permanent publishers at scale programmatically self service. 99% of what we do self service today when I say self services traders within agencies that are operating the campaigns on their own. Like we don't, we don't program the complaints. We help them and we help them optimize. So this notion of at at scale programmatic creative technology is what is differentiating us. And so in retail media we've been able to reinvent ourselves in realizing that there's a lot of components that exist on detailed pages of various retailers. There's if you think about it, hundreds of millions of components sitting out there in this billions of detail pages. And the idea is to make it easy for brands so that they can use these components that are sitting there and we make it a seamless experience for them. They just give us the SKU or the asin Amazon single identification number in the case of Amazon and we work backwards SKU or ASIN and we create the ad in milliseconds and we make it of any size. So it's just the start of the journey because there's a lot to do in video using these components. Right now we're really in the static image era and we're going to go through the, the era of video this year. We already did some first strides on CTV and we're going to do more on online video and CTV this year.
Lyndee Johnson
Okay. And I, I can definitely see that being very important for brands as brands are going to be really excited that at can you guys are releasing a study or a guide that you did on retail media. So maybe you can tell me, you know, give me the highlights of that without digging too deep into that. But also I know that from that report that what I'm seeing is that off site which you mentioned earlier, is really having a moment right now. I'm just curious about what's driving the momentum of off site for retailers right now and how are brands having to rethink their approach because of it. You already talked about the creative. Are there any other aspects that brands are rethinking? So to rephrase my question, I kind of asked you a three part question if you could share some like what can people expect from this report that you guys are releasing? That's 1, 2, 1. What's driving the momentum of off site for Retailers and three, how are brands having to change their approach when it comes to this? Yes.
Ed Dineshire
Well, thank you for these three great questions. In one, the idea of this guide that we are releasing is to get some basics confirmed and acquired for everyone and then to give some tips on what the industry is telling us. So we, we interviewed a lot of people around different brands and agencies and, and publishers in this survey and what we got is that the first, first outcome is that retail media is a, a given. Like 94 of the paramedic marketers in the US have used it and 95% plan to do it again in the next 612 months. So that's a given. So it's just ticking the box here on retail media is not a, you know, it's not a fling. It's there. 84% of the same people are saying that they're using offsite and they actually the same amount said that they consider off site working meaning like met or exceeded expectations. So it is a sign that offsite is not its infancy. It's probably just like getting off the ground. I think the retail media space has been driven by the most performant format. It's very much like the Google days with search and all the solutions that they deployed after. So search keyword based targeting, CPC solutions are the most effective solution. They, they're highly targeted and they deliver a last leg kind of performance to, to brands that is really tying back to a direct performance which usually is either a visit on the detail page. So what we call the consideration or sales, what is new here is I think and Google fixed this years ago is a saturation on some keywords in terms of pricing. So the keyword price is skyrocketing. If you go on retailer websites like Amazon you see a ton of search sponsored ads results on the, on the results page. And that creates challenges for brands because they probably are reaching prices on some categories and definitely not saying it's the case on all categories but on the most mature categories I would say probably CPG or even like computer electronics like what we call hotlines there. The price of these keywords is probably getting to a point where search may be in terms of ratio of performance decreasing and getting to levels that are probably reaching like amazing display results. And so that's creating a blur in the, in the boundaries here on what should be your format mix. And if you get to go to saturation on search ads, what is the next best thing to invest on? And I think what we see is that the next best thing to invest on is high impact display or differentiated display or video solutions on site and off site, the retailers. That's what the guide is telling us. And to be efficient then you have to have a good creative because more than 70% of the performance of a campaign is actually driven by the creative itself. And you're right to call out that the industry has been clearly obsessed with targeting and measurements for the last decade, let's say even 15 years. But now with Gen AI and AI and all the solutions that are out there, I think people realize that they can probably do much, much better in delivering creative experiences for shoppers and users versus what they do right now. So there's a realization in this guide that creative is a huge opportunity for brands to just differentiate them themselves and probably outpace their competitors. You think about you're doing the same thing that everyone else. If you want to be one step ahead, it's very likely about going outside of just search on site. So doing off site and finding ways to have a very efficient and differentiated creative experience so that you are outpacing your competitors in the next few months.
Lyndee Johnson
Right. And I think your own study even talked about like there's that you guys have seen from the folks that you guys spoke to like a 40% projected increase in spend going forward. So even more. Yeah. So how do you think marketers should make these retail media dollars do more for them? Like how, how do they really make these retail media dollars work? You, you, you talked about performance a little bit, but can you dig into that a little more?
Ed Dineshire
Yeah, I think it's really about format mix. I think this is the year, I think so. We, we've been lucky to have beautiful and brilliant interviewers. Interviewees, Sorry, in our study, like from brands and agencies. And these people are, I don't remember which one is saying this, but it's basically saying that retail media is at like a middle school right now. It's trying to figure itself. And I think that's a beautiful analogy. The story, I would interpret it in a way that format mix is a big way to drive growth. So how much search ads do you want to put versus online video or CTV or display mix in there? And how will you know that this is the right mix? I think the infancy years have been just overspent or not overspent but over index, that's the right verb, over index on search ads. And then over time what you realize is that if you do the right sequencing or mix of spend, a brand to be bought needs to be known. And so you may have to do a bit of awareness before the search ad is actually delivered. So this is the kind of like format mix or format mix modeling that you can figure out through tools like Clean Rooms that you can really discover and realize if they work or not. So I think in terms of how to generate growth, it's all about having the right format mix. The balance between on site and off site. The, the ability to combine your promotion life of your products, if it's a product on the shelf with your advertising pressure. So when I say promotion is like, do you want to reduce the price of your item by X? It's a cost at the end of the day for advertisers. Whether you reduce the price of your item or you advertise for costs and it's just dollars out of your pocket. But having the right mix of promotion and pricing is making the campaigns much more efficient. And then if you plan this right, meaning you know ahead of time, the reduction you're going to do on your price and then you promote it right, you have the right off site and on site mix and the right format, then you will very likely get much higher results. The thing is like most brands are acting in urgency and they don't have the ability to do this, to plan ahead and have this pricing post promotion thinking. But I think that's, that's a big hit here.
Lyndee Johnson
Okay, so beyond the mix of formats, as far as being engaging to consumers, what do you think are the best steps forward for brands there beyond the format mix? And you also talked about video before and you mentioned beautiful creative. What is beautiful creative? Can you explain that? Yes.
Ed Dineshire
Yeah. So in our report we found a lot of responses from the people we interviewed that they agree that off site ads that have moving elements receive higher engagement versus static ads. Like 88% of the marketers said that it's animated better than static, which may not be a surprise, but you never know. And then 70% of the respondents said, I saw that campaigns that used creative technology received like when I say creative technologies like DCO or high impact formats or native formats, they receive higher engagement than campaigns with standard IAB formats. And then finally, like 82% of the people we interviewed agreed that the quality of the creative and retail media off site advertising is a critical part to achieve their hierarch API. So what does that mean, like higher quality? It means that there's a bunch of stuff, first is the rendering technology, so the ability to take these components and then in milliseconds create the right mix and the right creative Experience. So the size of the creative, the rendering, there's like so many screens right now between mobile desktop, tablets and all to manage. Like that's what the FFF technology has been working on for so long is we have 100,000 dynamic templates that have been deployed with thousands of publishers, permanent publishers. And so we have secured this primary quality placements with the publishers and they trust us to actually render the ads the way we want. We can technically break their pages. We're the probably the only one SSP that can break something in pictures of an ID if we screwed it up. So that's a big responsibility and mistrust between us and the publishers allow us to create the right placements and to deliver the best rendering for these ads using the best assets that we find with the retailers on their page. And that's the beauty of a beautiful creative. It's the association, it's a flywheel between publisher, us in the middle, the advertiser and agency and the retailer. So there's a lot of folks in the room here to make this work.
Lyndee Johnson
I understand it now and that just sounds so scary. As someone who has for many years represented the publisher, it sounds scary to hear that someone can break your page.
Ed Dineshire
But yes, technically that's true.
Lyndee Johnson
But to hear and understand that it comes with an understanding of, you know, who you're reaching and how you're reaching them. Right. With the, in the, with the best and most engaging creative format that is has the ability to perform the best. I think that. And that matters for every publisher. Right?
Ed Dineshire
Yes, absolutely. Absolutely right. And it's years of, you know, trust building with each party here.
Lyndee Johnson
Right.
Ed Dineshire
That's a very unique DNA that we have.
Lyndee Johnson
Yes, yes. One thing I often hear when we talk about retail media, and especially when you get the mix of retail media and ctv is this idea of closed loop attribution. But I've also heard that that closed loop attribution can be a double edged sword. Do you have any thinking around that whether closed loop attribution is working the way it's supposed to be working when we're talking about retail media?
Ed Dineshire
Yeah, so I mean closed loop attribution is. Yeah, it's a big word for sure. There's different attributions methodology by retailers. That's what I tried to say earlier in the. And the definition of measurement and attribution is really different for each retail media network. So that's, that's the closed loop attribution that you talked about. If you're thinking about the close to the Distribution that will work with everyone at the same time. Literally today doesn't exist, it's just not there. There's a lot of people that are trying to bridge that gap, but it's just not there. So every retailer will get back to you with a definition of what they have for their own stuff. But there's not a cross retailer thing. And the IAB is also working on this to try to mitigate that gap too. It's a Herculean effort. And then you have the cross channel attribution. So retailers are not just online, they're in store. And that's also a challenge. Again, what I said earlier about clean rooms, Amazon has a lot of sophisticated solutions for this, but to my knowledge, not a lot of retailers have got to this degree of sophistication to tell you how much has been driven in store versus digitally and all that. So the future is likely going to be more in the simplified kind of clean room environment. Specifically with AI, I think there's a lot of things that were impossible before AI because the workflows and the quantity of data would be unbearable, like too cumbersome to do. But in the age of AI, there's likely ways in the next year, two years, maybe three years that AI will be able to find ways to simplify these workflows and find the right solution to sort out what is in store versus what is digital and help brands to do this in the right way. But in the end I think all brands are searching for the same thing, which is how do I find the incrementality formula in all this? Like that's the, the question I had when I, I spent a decade at Amazon Ads was pretty much every brand was asking me like what's the incremental effect? And that's a difficult question because I don't think that you can solve it for all. Incrementality is a thing that you can do brand by brand based on what each brand believes is recognize attribution, if that makes sense. So P and G will have a very different definition than Unilever. And that applies to all companies really. So if there is a custom solution that can help companies to define what they think performance is, and when I say performance it can be like sales and incremental sales, then it's possible. And so I think through clean room solutions and all the innovations we're going to do on format, mix and creative and everything I talked about over time will give keys to marketers to really define what real incrementality means. And then Closed loop attribution may not be possible, but at the very least, like a fair definition of performance for each advertiser may be real.
Lyndee Johnson
Okay, all right. That makes a lot of sense. And I'm graduating. Yeah. Because there's no standard on what increments. Yeah. On what incrementality means for anyone. At this point. I want to zoom out a little bit. I'm glad you mentioned the future. You keep bringing up data clean rooms and AI. I know that's definitely going to be a part of this future. What do you see beyond data clean rooms, DCRs and AI as reshaping the space for the long haul? And also what are you most excited about as you look into the future? Like if you put up your, you know, your little crystal ball or something like that?
Ed Dineshire
Yeah, I think so. AI is definitely a big part of it. And AI to me, just because AI is such a buzzword and a real thing at the same time. What I call AI these days is three things. It's individual productivity being improved. So you and I just using AI tools every day, doing better work every day. And that's really up to each professional to figure out how they can use AI on a productivity level individually. The second level is workflows, workflow optimization. And I think we in this industry have been probably mixing up what machine learning is versus AI. And I think we're about to find out what AI can bring, which is more decisioning, not just machine learning, if that makes sense. And then the third application will be new products like products that actually have autonomy and decisioning. And I think that will. It's just starting to pop up. And some products seems, seem real, some seem like glorified machine learning. So that's AI. So on AI, if we get these three kind of levers or layers, I think AI will have a true role to play in creative. If you do play with AI creative tools, you realize that there's a lot of things that are possible. You can make an image, a static image, like animated, very easily. You've seen this. Amazon actually released this I think a year ago now. Give me an image and I will make an animated environment around it. So that's there already. I think the impact is real. There's video creative, you can create from scratch. I think this is more far fetched at this point. I think brands will take more time. I think only a handful of brands have dared to do something fully with a fully video AI video at this point. But for us, I think this is enabling workflows that we could never imagine before. So if you think about everything I said about the creative that we can create, the next stage, I think is for us to create creative insights and the ability to have, when you have one creative to maybe do like 20 variations or 50 variations and then expose these variations to multiple audiences programmatically and figure out what is the one difference between the variations of the different creatives you have that was more meaningful to a specific group. And I think this is the era of creative insights for Programmatic and that's going to happen and I think that's going to be the next generation of campaign optimization for programmatic advertising. And that was not possible before because it was way too much work to do this manually. But now that you have tools to create 20 or 50 variations of a single creative and then use Programmatic to expose all these variations to different groups and then get back to you and tell you what works, I think AI will allow this to be possible now. So very excited about this and I think there's much more to come. That's the first one and I think the second one is video in general. I think between CTV and online video creatives, the ability to use the components that I talked about before, which has been very much the static image experience. There's a whole door to video formats using components. And so we're actively working on this with major retailers that we've been able to work with. We've been very lucky to work with Amazon as our first retailer for our unique formats, which has been a blessing. We've been live since a year now on our static image format. To my knowledge, we were the first to launch it. And there's really not a lot of players right now that use it. And so we have big projects to make this video friendly using the components and make sure that we can help the video landscape to be more dynamic with this components, our components getting in and the video experience. So that's the second one I think is very, very soon. It's not a years away. It's like next year, next 12 months kind of thing. And the last one is probably Omnichannel. So everything I said about clean room, I think I talked about this. So I'm not going to be very short. But the ability for clean room to just be easier and more autonomous to get the insight back to the brands versus being data analysts doing this all day long. So it's going to democratize more insights to more brands if done right, which I think will happen.
Lyndee Johnson
That sounds awesome. So to sum up with what you said the first thing sounded like AB testing on steroids basically. Right. So it's like.
Ed Dineshire
Yeah.
Lyndee Johnson
And then this kind of dynamic video, unique video formats that uses retail competence. Right. And then like Omnichannel will really be here because we keep hearing about Omnichannel being here, but you're saying it's really going to be here within the next year.
Ed Dineshire
Yeah, I think it will come because it's much simpler to execute now. It's an exactly. I think a B testing like what you said is exactly. It perfectly writes a much shorter way than what you said. But this notion of having the creative insights so easily available and delivered to so many people and optimize not to like a personalized, like one on one degree, but almost is a first. It's the first time it's possible, I think.
Lyndee Johnson
Well, it all sounds very exciting, Ed. And we're looking to see more of what Triple Lift will be doing in the space to help move retail media along and further down the funnel. Excuse my pun. Thanks again, Ed, for your time. It was wonderful having this conversation with you today. And again, this episode of Inside the Stack is sponsored by Triple Lift, the creative SSP that transforms digital advertising through creative technology and innovative ad formats. Triple Lift helps publishers, advertisers and agencies achieve measurable outcomes while enhancing user experience.
AdExchanger Talks: Inside the Stack - What's Next in Retail Media with TripleLift CRO Ed Dineshire
In the latest episode of AdExchanger's "Inside the Stack," host Lyndee Johnson engages in a comprehensive discussion with Ed Dineshire, Chief Revenue Officer (CRO) at TripleLift. The conversation delves into the evolving landscape of retail media, exploring key trends, challenges, and future directions that are shaping the industry.
Lyndee Johnson opens the discussion by highlighting the significant expansion and experimentation within retail media. She prompts Ed to share his observations on what stands out in the current landscape.
Ed Dineshire emphasizes the burgeoning scale of retail media, predicting it will soon become the "default currency" in online advertising. He notes, “[Retail media] is nearing $200 billion, where I think projections are around 180 billion this year” (02:23). Ed identifies three primary trends:
Johnson highlights a recent study from the SIM Summit, noting a renewed emphasis on creative quality amidst a heavy focus on data-driven strategies. She asks Ed how TripleLift fits into the surge of retail media spend.
Ed Dineshire responds by outlining TripleLift's long-standing focus on creative innovation. He explains that TripleLift has been pioneering creative components for over 13 years, enabling advertisers to create adaptive, native ad formats that render seamlessly across various publishers and device sizes. “We have 90% plus reach in the US and many other countries… it’s just the start of the journey because there’s a lot to do in video using these components” (08:30).
Johnson inquires about TripleLift’s recently released study on retail media, seeking key highlights without delving too deep into the data.
Ed Dineshire shares several critical findings:
Johnson notes a projected 40% increase in retail media spend and asks Ed for strategies on optimizing this investment.
Ed Dineshire emphasizes the importance of a balanced format mix. He advocates for integrating various advertising formats—search ads, online video, CTV, and display—to create an effective advertising sequence. “It’s all about having the right format mix…the balance between on site and off site” (14:26). Ed suggests that an optimal mix can enhance awareness before driving direct response actions like purchases, thereby increasing overall campaign efficiency and performance.
Moving beyond format mix, Johnson probes into strategies for enhancing consumer engagement.
Ed Dineshire discusses the concept of “beautiful creative,” which entails using dynamic and animated elements to boost engagement. He cites survey results where 88% of marketers observed higher engagement with animated over static ads, and 70% saw improved performance with creative technologies like Dynamic Creative Optimization (DCO). “The quality of the creative and retail media offsite advertising is a critical part to achieve their higher API” (17:26). Ed elaborates that beautiful creative involves sophisticated rendering technology and trusted partnerships with publishers to deliver seamless and impactful ad experiences across multiple devices and platforms.
Johnson brings up the complex issue of closed loop attribution in the context of retail media and CTV, asking Ed for his perspective on its effectiveness.
Ed Dineshire explains that closed loop attribution remains a significant challenge due to varying methodologies across different retail media networks. He states, “there’s no distribution that works with everyone at the same time” (20:59). While efforts like Clean Rooms and advancements in AI are paving the way for more streamlined attribution processes, Ed acknowledges that a universal standard is still lacking. He envisions future solutions that leverage AI to simplify workflows and provide clearer insights into both online and in-store performance, enabling brands to better understand the incremental impact of their campaigns.
As the conversation winds down, Johnson asks Ed to share his vision for the future of retail media beyond data clean rooms and AI.
Ed Dineshire outlines three key areas of excitement:
The episode concludes with Johnson expressing enthusiasm for TripleLift’s innovative approaches and their role in advancing retail media. Ed underscores TripleLift’s unique position in enabling high-quality, scalable creative solutions that enhance both publisher and advertiser outcomes.
Quote Summary:
This episode of "Inside the Stack" provides valuable insights into the dynamic and rapidly evolving world of retail media. Ed Dineshire of TripleLift shares his expertise on the importance of creative innovation, the challenges of attribution, and the promising future driven by AI and omnichannel strategies. Brands, advertisers, and agencies looking to navigate the complexities of retail media will find this discussion both informative and actionable.