Retail Media
08 May 2023
Macy's in-house ad business grows to the wider web via The Trade Desk
The partnership is the first of its kind for the Macy's retail media network.

Photo by Taraqur Rahman on Unsplash
The partnership is the first of its kind for the Macy's retail media network.

Department store retailer Macy’s is making a big expansion in digital advertising through a new deal with an adtech heavyweight.
On Monday, Macy’s announced a new partnership with independent media buying platform The Trade Desk.
The partnership will allow advertisers to access shopper audiences from the Macy’s and Bloomingdale’s brands through the Macy’s Media Network, which is the department store chain’s in-house publisher.
It’s the first deal of its kind for Macy’s. Like many who are growing their retail media arms, the company is already putting customer data from loyalty programs to work for advertising on its own web properties. Through The Trade Desk, it is now making that data available to any advertiser, including brands whose products are sold at Macy’s and Bloomingdale’s.
Macy’s said it can provide access to 42.7 million active shoppers at Macy’s and 4.1 million at Bloomingdale’s. According to SimilarWeb, macys.com is the most-visited fashion and apparel site in the U.S. This will be combined with The Trade Desk’s reach to more than 100 million households, offering inventory across a range of surfaces including streaming TV.
“By working with The Trade Desk, we are empowering advertisers to optimize their media campaigns with a highly desirable and engaged audience set,” said Melanie Zimmermann, vice president of Macy’s Media Network in a statement. “We are excited to partner with the world’s leading advertisers to make their media matter.”
For The Trade Desk, Macy’s is the first apparel retailer to enter the company’s retail audience offering.
“Macy’s, Inc. is among the world’s renowned retailers with iconic brands like Macy's and Bloomingdale’s. And giving all advertisers the opportunity to layer on shopper and purchase insights from these retailers will help inform their media buys,” said Ben Sylvan, GM of Data Partnerships, The Trade Desk. “This partnership enables brands to buy tailored ads across the open internet, including connected TV, and drive efficiency to make the most of their advertising investments.”
It’s the latest sign that retailers are a fast-growing segment of the digital advertising ecosystem. As ecommerce grew, retailers activated advertising on their websites to add digital business lines of growth through retail media. Macy's was among them, and the department store in September launched a third-party marketplace in a bid to grow its assortment. It's a move out of the playbook of Amazon, which is the leader in retail media. More traffic and assortment means advertising grows more valuable.
But the Macy's opportunities to grow a retail media business don't end with its owned websites. Macy’s partnership with a top demand side platform shows how the first party data from purchases and loyalty programs that is used for onsite advertising can also be valuable to advertisers across the web, as well.
Campbell Soup Company CEO Mark Clouse offered thoughts on messaging amid inflationary shifts in consumer behavior.
After months of elevated inflation and interest rate hikes that have the potential to cool demand, consumers are showing more signs of shifting behavior.
It’s showing up in retail sales data, but there’s also evidence in the observations of the brands responsible for grocery store staples.
The latest example came this week from Campbell Soup Company. CEO Mark Clouse told analysts that the consumer continues to be “resilient” despite continued price increases on food, but found that “consumers are beginning to feel that pressure” as time goes on.
This shows up in the categories they are buying. Overall, Clouse said Campbell sees a shift toward shelf-stable items, and away from more expensive prepared foods.
There is also change in when they make purchases. People are buying more at the beginning of the month. That’s because they are stretching paychecks as long as possible.
These shifts change how the company is communicating with consumers.
Clouse said the changes in behavior are an opportunity to “focus on value within our messaging without necessarily having to chase pricing all the way down.”
“No question that it's important that we protect affordability and that we make that relevant in the categories that we're in," Clouse said. "But I also think there's a lot of ways to frame value in different ways, right?”
A meal cooked with condensed soup may be cheaper than picking up a frozen item or ordering out. Consumers just need a reminder. Even within Campbell’s own portfolio, the company can elevate brands that have more value now, even if they may not always get the limelight.
The open question is whether the shift in behavior will begin to show up in the results of the companies that have raised prices. Campbell’s overall net sales grew 5% for the quarter ended April 30, while gross profit margins held steady around 30%. But the category-level results were more uneven. U.S. soup sales declined 11%, though the company said that was owed to comparisons with the quarter when supply chains reopened a year ago and expressed confidence that the category is seeing a longer-term resurgence as more people cook at home following the pandemic. Snacks, which includes Goldfish and Pepperidge Farm, were up 12% And while net sales increased overall, the amount of products people are buying is declining. Volumes were down 7%.
These are trends happening across the grocery store. Campbell is continuing to compete. It is leading with iconic brands, and a host of different ways to consume them. It is following that up with innovation that makes the products stand out. Then, it is driving home messaging that shows consumers how to fit the products into their lives, and even their tightening spending plans.
Campbell Soup is more than 150 years old, and has seen plenty of difficult economic environments. It is also a different business today, and will continue to evolve. At the end of the day, continued execution is what’s required.
“If it's good food, people are going to buy it, especially if it's a great value,” Clouse said.