Tesco builds on deal with GroupM for retail media boost

Tesco’s data-driven retail media and advertising operation has signed a new deal with WPP-owned GroupM designed to drive delivery of data-led solutions, education, and innovation across all facets of retail media.

While the two parties have worked together for a number of years, this move is focused specifically on the burgeoning retail media market and covers on-site, off-site, and connected store offerings.

It is claimed the partnership creates a framework for a more strategic and differentiated operating model, delivering value against GroupM’s core pillars of commercial, data, innovation, technology and education.

It will also see the establishment of an in-store screen partnership – claimed to be an agency first – taspping into the Tesco Connected Store, as well as early access to innovations within the Tesco Media & Insight Platform and a direct feedback loop into the product ad propositions team to help shape future offerings.

GroupM’s teams will have access to Tesco Media & Insight Platform’s insights module via the DunnhHumby Sphere AI-driven self-serve platform as well as dedicated advanced client success support, while both parties will explore possibilities to improve implementational planning with refined bespoke audiences.

Meanwhile GroupM will also establish a Tesco Media & Insight Platform “champions programme” for select individuals across the group who will act as internal ambassadors for the platform, while joint publicity initiatives will further promote the role of retail media and help to scale its adoption by leading brands.

Tesco Media & Insight Platform client development director Nick Ashley said: “This is a major landmark for us in developing a large-scale strategic partnership with one of the world’s leading networks, representing so many exciting brands.

“Through the arrangements, GroupM will benefit in numerous key areas in retail media across data, insights, and strategic planning, which will enable its clients to truly harness the power of retail media – in all its forms – for measurable commercial advantage.

“It’s a further example of how Tesco Media & Insight Platform is enabling agencies and their brands to deliver ever more exciting and commercially effective campaigns.”

The agency maintains that with data becoming ever more important in the planning and buying process on behalf of its clients, this was a determined effort to align with one of the largest retailers in this space and help advance conversations around positioning its clients and brands in an environment that benefits brand, client and agency.

GroupM UK chief operating officer Luke Bozeat added: “We have worked successfully with Tesco Media & Insight Platform for several years and are delighted to take this a major step further through committing to a long-term strategic partnership.

“The unique attributes of the platform give us, and our clients, the opportunity to truly explore the full gamut of opportunities offered by retail media and puts us at the forefront of initiatives to drive further innovation in this area. We look forward to a long and mutually successful collaboration.”