How to Optimize Commerce Media Strategies for Success

Q&A: Proven Optimization Strategies for Commerce Media Ad Success

October 24, 2024

With EMARKETER projecting US ad spending across retail, travel, and financial media networks to reach $88 billion by 2026, brands are doubling down on commerce media strategies to stay competitive. 

The appeal lies in key advantages like closed-loop attribution, proximity to the point of purchase, and unmatched access to first-party data, all of which offer brands unique opportunities to drive measurable results.

However, to fully capitalize on this growing opportunity, brands must know how to optimize their campaigns for maximum impact and ROI.

We spoke with PJ Triboletti, VP of Business Development at Fluent, to discuss how advertisers can refine their commerce media strategies to engage high-intent audiences and increase conversions.

Read the full Q&A for expert insights into:

  • Tools to track and measure commerce media campaigns
  • Top-performing offers in post-purchase environments
  • Strategies for engaging non-endemic audiences 

What factors should brands and advertisers prioritize when evaluating potential commerce media partners?

It is essential to prioritize the alignment of your target demographic with your partner’s audience composition. Whether you’re focused on ROAS or a specific CPA goal, it’s important to strike a balance between achieving scalability and finding the optimal price to maximize value.

When working with a network partner, you also want full transparency into which placements or positions are performing best, whether that’s by vertical, device type, etc. Access to measurement and reporting should be a key consideration when evaluating where to allocate funding for the strongest likelihood of success. 

Which key performance indicators (KPIs) should brands and advertisers focus on to effectively measure the success of their commerce media strategies?

When evaluating campaign performance, customer lifetime value (LTV) should be a top priority. A highly engaging offer can keep acquisition costs lower, like offering a three- or six-month free trial instead of just 30 days. It all comes down to the inferred value of the offer and whether the consumer feels they could find it somewhere else (like on your website or across other channels).

How can brands and advertisers effectively track and optimize campaign performance while ensuring data privacy?

The most effective way to ensure accurate tracking, avoid data fragmentation, and optimize campaigns is by using an event API. This helps align data across advertisers, supply-side partners, and merchants, driving higher performance.

Advertisers who use Fluent’s event API for audience attribution will see better results when compared to pixel placements. This allows them to optimize campaigns across various factors, like audience segments, device types, basket sizes, and even time of day, while ensuring they’re making the most of the available inventory.

Of course, data privacy is crucial. At Fluent, we strictly work within the parameters of the advertiser’s and partner’s privacy policy to help them maintain data integrity and ultimately achieve better performance across their campaigns.

How do post-purchase ads compare to traditional channels like paid search and social, and why are they considered especially valuable for advertisers?

While there are plenty of more “passive” ad placements across the web, post-purchase ads offer advertisers the unique opportunity to reach consumers at the checkout, while they have a credit card in hand. Leveraging a merchant’s first-party data also allows for tailored ad experiences that drive remarkable results.

“In fact, Fluent’s post-purchase CTRs outperform paid search averages by 3x, paid social by 8x, and display ads by a whopping 27x, proving the power of post-purchase strategies in driving significantly higher engagement compared to traditional channels.”

What types of brand offers or promotions tend to perform best in a post-purchase ad environment, and how can advertisers optimize these for maximum impact?

The best-performing post-purchase offers are unique and compelling, distinct from what consumers usually see on the advertiser’s website or other channels. They feel “too good to pass up” and deliver immediate value to the shopper within a very limited character count.

For example, dollar-off discounts consistently outperform percentage-off offers. Consumers prefer seeing “$75 off” over “75% off” because it’s clear and engaging (plus consumers don’t like to do math after they’ve just spent money). 

From an offer-type perspective, streaming offers for both music and video tend to perform well. Offers should align with consumers’ everyday needs or help reengage past users. Timing and perceived value are also key.

Non-endemic ads are becoming more prevalent in commerce media. How can brands that don’t directly sell products on a merchant’s platform tap into this trend to increase sales?

Non-endemic advertisers find value in this inventory because it enables them to reach consumers they wouldn’t typically access, all within a brand-safe environment. To maximize returns, it’s essential to deliver contextually relevant ads that enhance the consumer’s sense of satisfaction after a purchase.

These ads create a win-win situation for both brands and retailers, as they don’t disrupt the buying process. When consumers engage with other commerce media placements, they often leave the merchant’s site, leading to potential lost sales. In contrast, post-purchase placements allow advertisers to connect with consumers on the ecommerce confirmation page, with zero disruption to the purchase journey.

Tune in to our upcoming panel at the virtual EMARKETER Summit to hear more from PJ on how non-endemic ads are reshaping sales strategies for 2025.

Watch Commerce Media's Moment: Navigating New Channels to Drive Sales On-Demand

There are countless major retailers and transactional opportunities that remain untapped for monetization. We’re still in the early days of post-purchase advertising, and I anticipate not only more retailers jumping on board but also new advertisers eager to explore the potential of commerce media placements.

Want to learn how Fluent can help you optimize your commerce media advertising strategy? Contact us here to get started!

Check out more resources to get fluent in:

Commerce Media | Post-Transaction Advertising | Non-Endemic Advertising