There’s no denying it—we've all been bombarded with ads while trying to browse or shop online. And while the retail media industry is growing rapidly and projected to explode into a trillion-dollar market soon, the real question is: are retailers actually connecting with customers, or are they driving them away with intrusive ads?
How do you capture attention without alienating consumers?
The high-stakes balancing act
Retail media offers incredible opportunities, letting brands connect with consumers at the point of purchase. Yet, traditional advertising methods can backfire as consumers are bombarded with ads daily, leading to ad fatigue and annoyance. 73 percent of desktop users find online ads to be a major frustration, making it a top issue they want resolved. Additionally, 61 percent of U.S. adults said they are less likely to buy products or use services from companies that repeatedly display the same ads (Retailwire). In a nutshell, online consumers are not happy with the digital advertising experience, so the key challenge for retailers who are looking to remain competitive is simple: deliver relevant messages without disrupting the shopping or browsing journey. Afterall, 76 percent of users prefer ads that align with their interests.
This is where ad filtering comes in as a strategic advantage. Forget the misconception that ad filtering is just another form of ad blocking. Unlike ad blocking as you know it, ad filtering allows users to see nonintrusive, relevant ads that they are open to engage with. It empowers users to control their experience while enabling retailers to engage with their users meaningfully, improve the online experience and continue their monetization strategies.
Video: How ad filtering works
Benefits of ad filtering for retailers
Improving user experience, supercharging engagement
Ad filtering demonstrates respect for the user's online experience. A recent study reveals that 89 percent of surveyed users wish there were limits to the number of ads shown and/or their disruptiveness when visiting a website or streaming content for free. Ad filtering addresses this head-on by delivering ads that enhance, rather than detract from, the browsing experience. When ads are relevant and nonintrusive, users are more likely to engage. In fact, 83 percent of ad-filtering users are generally happy to see noninvasive, relevant ads.
Read more about ad-filtering users
Driving ROI
Filtered ads connect with a highly desirable audience. The data shows that ad-filtering users often represent a tech-savvy demographic, are well-educated and frequently hold decision-making power within their households. These users are receptive to ads that align with their preferences, leading to higher conversion rates and a greater return on ad spend. They are also receptive to brand messaging and are less likely to leave a page because they aren’t overwhelmed by repetitive ads.
Spending more time on a page increases the likelihood of higher cart values and lower cart abandonment rate, which is beneficial for retailers in the long run.
Embrace transparency
Transparency builds trust and fosters a positive user experience. As noted, 89 percent of users want better ways to control their ad experiences when using the internet on their devices, so why not meet them in the middle?
According to research by the Acceptable Ads Committee, users value advertisements that align with their browsing goals. They also appreciate transparency, relevance and variety in messaging. Thoughtful ad placement and integration into website content can further improve user experience.
Integrating ad filtering into your strategy
As consumers become increasingly discerning, ad filtering will become an essential component of successful retail media strategies. Delivering relevant, nonintrusive ads that prioritize user experience allows retailers to build stronger connections with their target audience and drive superior results.
Recognizing the unique environment of retail media experiences, the Acceptable Ads Committee (AAC) [an independent organization that researches and governs the Acceptable Ads Standard] is actively developing a more tailored approach to its standards for retailers. This principles-based approach aims to address the specific needs of retail media, ensuring that ad filtering can effectively support both user experience and retailers’ goals in this rapidly evolving landscape. Do you want to contribute to ongoing research and help shape the browsing experience for millions of users? Reach out to the AAC if you want to redefine the standard for retailers.
Ad filtering isn't just a fleeting movement—it's a strategic imperative for thriving in the competitive retail media landscape. By prioritizing respect and relevance, you can build lasting relationships with your customers and drive sustainable growth.
Discover how ad filtering can transform your retail media strategy—click here to learn more!
