Albertsons Companies, the third largest grocer in the United States, is embarking on contextual commerce. In a joint press release with the “shopper-tainment” platform Firework, the grocer announced Wednesday (September 22) that it was launching videos and live broadcasts.
When initially launched, the partnership will feature âshort video content and culinary experiences,â followed by expansion in 2022. The partnership also creates additional ad sales opportunities for the grocer, with the platform enabling to Albertsons to sell video ads to brands.
âThis partnership is an important step in Albertsons Companies’ digital transformation journey to redefine customer engagement in the grocery retail space,â said Chris Rupp, Director of Customer and Digital at Albertsons Companies, in a statement. âIt’s not just about creating new ways to present our products. It’s about bringing fun and inspiration to digital shopping to make online experiences as fun as discovering new products in our stores.
Albertsons is far from the first grocer to launch into purchasable video content. The leader in the space has been Walmart, which offers several in-commerce video series, featuring prominent celebrity collaborations, including its ‘Cookshop’ food videos, its Make it with Walmart interactive business (and Family oriented Snacktivities. and its in-store augmented reality (AR) integrations. Earlier this month, the retailer partnered with media giant Meredith Corporation to create purchasable ads that allow consumers who interact with the media company’s content to add ingredients directly to their electronic carts. Walmart.
Additionally, many retailers, including Walmart, have moved into purchasable live streaming beyond the grocery category. Amazon, Nordstrom, Abercrombie & Fitch, Sephora and Clinique are among the brands and retailers that have entered this rapidly changing space.
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Sure enough, the data shows that live trading is on the rise. Coresight Research predicts that the U.S. direct-to-home shopping market will reach $ 11 billion in 2021, a sharp increase from $ 6 billion last year. For a glimpse into the future, the direct shopping market in China, which has been a leader in direct commerce, grew 280% from 2017 to 2020, reaching about $ 171 billion in 2020, according to an analysis by McKinsey, with the sector expected to reach $ 423 billion by 2022.
In addition, the PYMNTS study, The Bring-It-to-Me Economy, created in collaboration with Carat byFiserv, who surveyed more than 5,200 U.S. consumers, found that far more than half (57%) now order groceries online, with 46% of all consumers doing so more often than before the pandemic.
Read more: New Study: Bring It On Me Economy Grows As Consumers Adopt Home-Centered Lifestyles
What the experts say
Culinary content of the type included in this partnership is uniquely purchasable, with the necessary ingredient purchases that accompany any recipe making the format a natural fit.
“The content of recipes has always been incredibly purchasable”,Jason Young, president of digital marketing platform Chicory, told PYMNTS in an interview. âWhat is happening is that we now have all the pipes connected so that you can go very directly from content like recipes to transactional moments. But if you look at recipes historically, they’ve always been a point of inspiration, a starting point in the food buying process.
Additionally, online commerce allows retailers to bond emotionally and drive sales.
Whether you’re Peter Frampton or Paul McCartney or Garth Brooks or Matthew McConaughey, or the Hungry Monkey Baking Company in Illinois, what you’re trying to deliver – whether it’s for your fans or your customers – is the same. thing â, TalkShopLive Founder and CEOBryan mooresays PYMNTS. âYou say, ‘Come in and have an experience. Let me tell you the story of my product. ‘ And this is really where we see sales momentum and sales conversion. “
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