Shopify Reports Impressive Growth in Q3
Outside of the Amazons and Walmarts of the world, Shopify remains a bellwether of the digital commerce industry. Expanding outwards from its consumer brand roots, Shopify reported a 145% increase in B2B gross merchandise value, as well as making inroads into categories like industrial hardware and automotive parts.
Our Take: Shopify, while not currently supported within Pacvue’s suite, is worth paying close attention to as the largest e-commerce platform in the United States. Not only that, they’ve shown that they aren’t afraid of new ventures: They’ve delivered impressive YoY growth off the back of pursuing more B2B opportunities, launched their RMN “Shopify Audiences” in 2022, and even have their own eSports team. We’re excited to see how Shopify will continue to influence the larger digital commerce ecosystem.
Report: 70% of Experts Say Utilizing AI is Essential
According to a new report from Coveo and Harvard Business Review Analytic Services, 70% of eCommerce leaders say that AI is more than important for success, it’s crucial. These leaders say they’ve already seen AI deliver positive results on their business, but there remain a few caveats. Challenges such as data privacy, lack of expertise, and underdeveloped AI strategies are among the most reported. The report echos what we have been saying for over a year – It’s powerful, it’s critical, and it is not as easy to use as some might think.
“The report underscores what we hear every day: AI is no longer a ‘nice-to-have’ but a ‘must-have’ for e-commerce success.” – Sheila Morin, Chief Marketing Officer at Coveo.
Grocery eCommerce Reaches Record Highs
Grocery eCommerce reached a record $10.5 billion last month, largely driven by promotions. Recently we covered how October has become a standout month for tentpole sales events, and this movement within the grocery category looks to be strong evidence that these events make a difference. There could still be some headwinds, though. The number of households who have ever placed an online grocery order moved less than 1%
Our Take: While online shopping is a ubiquitous part of our culture, physical food shopping still has appeal. Grocery is the largest retail category, though, which means a large incentive for retailers to cater to this impulse while also enjoying the benefits of online shopping. Whether more technological advancements are needed, or just more time for consumers to get accustomed to the modern era of shopping, it’s clear that “eGrocery” presents a large opportunity .
CVS and 7-Eleven to Include Programmatic In-store Audio
In-store audio advertising has gotten some major buy-in recently, with CVS and 7-Eleven expanding their programmatic audio capabilities to a combined 18,900 stores across the United States. In-store advertising, both audio and video, is another exciting yet complicated frontier in retail media, where the proper harnessing of data becomes exponentially more complex. Now, the optimal media mix requires consolidating retail media, digital, and OOH advertising data.
Our Take: More is more, but be warned about the dangers of data silos. Brands looking to expand to in-store audio have more than the new ad type to learn, they need to ensure they are properly managing their sales and marketing data. Without a cohesive strategy, and a deliberate media mix, adding another ad type could lead to a lot of wasted spend, and a lot more headaches.
The Evolution of Retail Media: Insights from Pacvue & Criteo
Recently, Pacvue’s President & Co-founder Melissa Burdick shared her perspective on the transformation of Retail Media. In a conversation with the team over at Criteo, she expounds upon what brands and advertisers must keep in mind in the modern age of retail media – connecting the fragmented landscape, understanding the customer journey, and choosing the right strategic partnerships for your business goals. The duality of our industry remains: we must evolve with the changing climate while maintaining our understanding of core tenants.
Overall, though, things are looking bright!
