With retail media set to be the fastest growing media channel over the next few years, out-of-home (OOH) is perfectly positioned to turbocharge its growth, writes Aoife Hudson.
The lines between Retail Media and Retail OOH are continuing to blur. According to IAB EU, Retail Media advertising spend in Europe is set to hit 31Bn by 2028, with a 22% growth in 2023 alone – far outpacing the total ad market’s 6% rise. While Retail Media has always played a role in shopper marketing, its influence is accelerating as customer data increases and retailers carve out their media solutions for the market.
As this growth continues, OOH is emerging as the perfect partner – extending reach beyond in-store, reinforcing messaging in the physical world, and ensuring brands don’t lose shoppers at the last hurdle.
What’s fuelling the Retail Media conversation?
With 85% of all US retail sales still happening in store, Retail Media has become a critical way for brands to reach consumers at the right moment. Its ability to leverage first-party data from loyalty programmes like Clubcard’s allows advertisers to target shoppers with precision and measure campaign impact through closed loop reporting.
Secondly, Retail Media stands out for its effectiveness. With 61% of 16-34’s saying they’re more likely to spend more in-store than online, it’s clear how impactful this channel can be. Consumers are most receptive to advertising when they’re actively making a purchase decision, and Global’s Work.Shop.Play study found that 59% of shoppers are likely to buy after seeing OOH within 30 minutes of entering a store.
Thirdly, it’s hard to ignore this channel, given its current growth path. According to Group M Media Outlook study it accounted for 14% of global advertising spend and has doubled its share since 2018. It is also seen to be the 3rd fastest growing channel globally and has been forecasted to exceed TV by 2028.
But retail media trends are now spilling into OOH, proving the importance of the retail environment as a whole. If a connected media plan is the goal, we can do better at aligning OOH and Retail Media.
The Purchasing Journey
The buzzwords dominating retail in 2025? Full Funnel, Omnichannel, Upper Funnel, Lower Funnel, Connected Media Plan.
A successful shopper marketing strategy isn’t about a single moment – it’s about multiple touchpoints with omnichannel approaches proven to drive better results. As highlighted in our Navigating the New Retail Experience piece, the consumer path to purchase is more complex than ever, with retail environments evolving from simple shopping destinations into multi-purpose hubs for experiences and activities.
In this landscape OOH acts as a perfect amplifier priming shoppers and building mental availability before they even enter the store. The focus should be on a Home to Store strategy – ensuring a unified message.
Priming Consumer: Out of Store
As a proven priming tool, OOH keeps brands top of mind in moments that truly matter. With 68% of consumers recalling OOH ads while they are out and about. Our DOOH Effectiveness research shows that consumers are out of home more, engaging in a variety of activities. Not only that, but they are doing these activities more frequently, with 39% driving their car daily, 33% visiting a shopping mall 1-3 times a week, and 34% going to retail stores on the high street 1-3 times a month. This highlights the importance of an omnichannel strategy, with OOH formats strategically placed along high-traffic routes, brands can drive that awareness as decisions are starting to be made. The impact of this priming step clear, with OOH exposure attributed to 54% of in-store visits – proving that driving early awareness in the journey plays a crucial role in converting shoppers at the final moment.
Persuade Consumer: Near Store
As consumers approach the point of purchase, OOH becomes a powerful last-minute touchpoint. 71% of shoppers notice ads right outside retail locations, and at least 48% of Irish consumers engage with retail formats, with main shoppers 12 times more likely than the average adult to take an action as a result of seeing a retail DOOH ad and 33% more likely to purchase a product. This proves that near-store OOH plays a crucial role in reinforcing brand messaging and nudging consumers toward action.
But not all retail environments are the same. Shopping habits, peak times, and consumer behaviours vary, meaning brands need to adapt their retail media strategies accordingly. With 45% of consumer’s daily trips dedicated to shopping and errands, 63% writing a list before they head in-store, and 56% opting for own-brand products – brands must work harder to stand out in those final moments.
This is where creativity and smart targeting come into play. Audience first planning will help you get ahead in the retail environment. Dynamic and Programmatic OOH allow brands to adapt messaging in real-time ensuring relevance at every moment. Whether leveraging first-party data for tailored audience targeting through our in-house DSP Optimise, or responding to time of day, weather, location triggers with dynamic you can ensure the right message, reaches the right people, at the perfect time – proving OOH’s impact beyond upper levels of the brand funnel.
Convince Consumer: In-Store
Once consumers step inside the store, the final opportunity to influence begins. With 75% of consumers engaging with retail media and 42% saying these ads directly impact their purchase decisions – the chance to convert intent into action is now.
Shoppers are visiting grocery stores frequently, with 21% making supermarket trips 4-6 times a week, and 37% stopping by convenience stores 1-3 times weekly. Shopping habits also vary by demographic – 65+ consumers are 57% more likely to do their main shop during the day, while 25-34’s are 54 times more likely than the average adult to do their main shop in the evening, likely after work. Understanding these behaviours is key to ensuring brand messaging lands at the right moment and doesn’t miss the final hurdle.
Retail Media screens and in-store OOH formats, provide the last opportunity to influence decisions, keeping brands top of mind as consumers navigate the aisles. Whether through clever dynamic copy on Tesco Digiscreens or activating at end of aisle with high-impact creative, Retail Media & OOH ensures brands remain visible, relevant and persuasive right at the point of purchase.
At Talon, we understand the evolving retail landscape and how to pair it with shopper behaviour to create the most effective media mix. Brands that get ahead now will be best positioned to reap the benefits. But success in this space isn’t just about in-store presence – it’s about connecting with consumers across multiple touchpoints along their shopper journey.
By working in tandem, Retail Media and OOH ensure a seamless, full-funnel strategy that primes awareness, persuades consideration, and drives conversion. Reach out to a member of your Talon planning team to learn more.