Tesco targets advertisers with insight-driven platform

tesco 414Tesco is aiming to bolster its appeal to both suppliers and agencies with the launch of a new platform, powered by insight giant DunnHumby, which it is claimed will enable “brands to understand customers like never before and deliver a richer customer experience”.

The move is part of the retailer’s stated plan, revealed in October, to put the Clubcard scheme at the forefront of Tesco’s future strategy.

Not that long ago, the loyalty club had been sidelined for price cuts but now it is being deployed to ramp up personalisation for customers as well as boost targeted advertising opportunities for suppliers across its website and direct to consumers.

Dubbed “Tesco Media & Insight, powered by DunnHumby”, the closed loop platform taps into Tesco Clubcard data and instore insights, and aims to help brands drive more interactive, two-way relationships with customers, and in doing so build stronger connections with them and boost loyalty for both suppliers and Tesco.

The retail giant insists that the combination of Tesco Clubcard – used by more than 20 million households in the UK alone – with its 7 million regular app users, and DunnHumby’s analytics, creates a powerful digital capability.

Tesco Media & Insight will work with brands and agencies to share actionable insight, bespoke to their brand and customer base, to help drive better customer engagement and brand propositions.

Tesco claims its weekly media reach rivals some of the biggest online platforms and this new platform will offer a range of targeting options that mean brands can connect with customers more effectively.

The retailer reckons it reaches 58% of the British population each week, more than Sky and on a par with Facebook and Channel 4, according to head of media Nick Ashley.

The platform features a suite of five products, from one-to-one personalisation through to broader mass reach campaigns.

It will also offers advertisers the chance to use first-party data to target key audiences away from Tesco’s digital store and create customer-led experiential propositions.

The closed loop measurement tools are designed to allow brands to see the true return on spend, which Tesco maintains is an average of with an £6.60:1 with Tesco Media, compared to £3.80:1 on other channels.

Tesco said that three of the insight products on offer will help brands access relevant and comprehensive insights that can inform new product development, packaging, ranging and campaign effectiveness.

This will help Tesco’s partner brands to innovate at speed, ultimately meaning better products and an improved customer shopping experience, the retailer insists.

Tesco chief customer officer Alessandra Bellini said that as the UK grocery sector evolves, the company wants to ensure it provides a more relevant and personalised offer to meet customers’ changing needs.

She added: “Our new platform will bring together the wealth of customer knowledge we have, with the insights from DunnHumby, and use it in a way that helps our brands to be more efficient and targeted and ultimately to serve our customers better. We’re excited to work with our suppliers and agencies to drive better engagement with customers and add value to their businesses.”

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