Loblaw set to debut in-store audio advertising network

Loblaw Cos., Canada’s biggest food and drug retailer, is slated to launch an in-store audio advertising network in selected locations this month.

Partner Stingray Advertising said Tuesday that it’s working with Loblaw Media, the grocer’s retail media arm, to expand the Stingray retail audio advertising network into 300 stores in mid-August, including Loblaws, Zehrs, Real Canadian Superstore and other Loblaw Cos. grocery banners.

The collaboration will enable CPG brands, for the first time, to connect with millions of Loblaw shoppers across their in-store journey via Stingray’s streaming audio media technology and Hivestack, Canada’s leading place-based ad server and supply-side platform (SSP) provider, according to Stingray. Reaching customers as they make purchasing decisions and build their baskets, in-store audio can spur product discovery, increase transaction size, and drive engagement for new item launches and offers from Loblaw’s PC Optimum loyalty program, the Montreal-based media and marketing firm said.

“Recognizing our unique ability to connect brands and customers, we’ve been busy over the last few years building an omnichannel retail media network, with both online and in-store capabilities,” Alfredo C.M. Tan, senior vice president and managing director at Loblaw Media, said in a statement. “That’s why we couldn’t be more excited to join forces with Stingray Advertising. Combining their audio expertise with our national network of stores, we’re truly enhancing the audio experience for customers and brands alike.”

Stingray noted that the partnership facilitates national retail audio inventory access in Loblaw locations for advertisers, as well as brings versatility. For example, brands can now integrate in-store audio into their omnichannel media plans through Loblaw Media or pursue a broader retail audio advertising network strategy managed by Stingray, North America’s largest audio advertising network.

“Our relationship with Loblaw Media significantly expands our in-store audio advertising network, opening up an exciting new avenue for advertisers to reach and connect with Loblaw grocery shoppers across Canada through Stingray technology,” explained Eric Boyko, president, co-founder and CEO of Stingray. “Our team is eager to demonstrate the effectiveness of this exciting new retail media channel with advertisers of all types, to firmly establish physical stores as the next major media channel. We look forward to driving real innovation within the growing Canadian retail media category.”

Overall, Loblaw’s retail network spans 2,442 stores, including 561 corporate-owned supermarkets under multiple banners, 543 franchised grocery stores and 1,338 Shoppers Drug Mart/Pharmaprix associate-owned drugstores. Ninety percent of Canadians live within 10 minutes of a Loblaw Cos. store, and the retailer generates over  1 billion transactions annually and draws more than 9 million monthly unique visitors to its digital platforms. Its PC Optimum rewards program is available in 4,500-plus locations and has 18 million members.

Stingray announced the partnership with Loblaw a week after teaming up with Mood Media’s Vibenomics advertising division to form the largest U.S. retail media in-store network. Combined, the Stingray-Vibenomics network will reach over 800 million monthly shoppers via in-store digital audio advertising across more than 25,000 stores—in retail segments such as grocery, drug, convenience and home improvement—nationwide. Citing research from eMarketer, the companies said U.S. retail media spending is projected to rise from to $61 billion by 2024 from $31 billion in 2021.