Crealytics, a leading adtech firm in the retail media industry released its Q4 2023 Sponsored Product Benchmarks Report today, “Sponsored Products benchmark Report: Success Factors to Unlock Onsite Retail Media Revenue.” The report uncovers sponsored product trends leveraged by top retail media networks (RMNs) like Amazon and Walmart to maximize ad revenue while maintaining a personalized search experience.
Analyzing over 2,000 keywords across ten major U.S. retail media networks, Crealytics documented data summarized by the following findings:
- Volume of Sponsored Products in Search is on the Rise
- Fixed Ad Placements are in the Minority for the Top 10 RMNs
- When Keyword Search Complexity Increases, Some RMNs Lose Significant Ad Coverage
“Simply adding more sponsored products without considering relevance and search experience will only frustrate customers,” said Andreas Reiffen, CEO and Founder of Crealytics. “This new sponsored product data reveals how leading retail media networks successfully make product discovery frictionless while growing a new revenue stream with ads.”
The report also highlights major opportunities and gaps across retailers and product categories, such as:
- Retailer Insight: As search terms get more complex, a leading American grocery retailer loses 50% coverage per extra word in the search query. This means that sponsored product placements for long-tail search terms are not getting filled.
- Category Insight: 62% of grocery searches across 10 leading RMNs serve sponsored products in search; 65% of fashion searches serve NO sponsored products.
- Subcategory Insight: 83% of “snacks & sweets” searches serve sponsored products in search; 75% of “dress” searches serve NO sponsored products.
The Crealytics Retail Media report is available for free download here.
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