A study reveals that the share of drive-to-store investments in the world among retailers will
amount to 55 billion euros in 2019 or 58% of the total advertising expenditure of the sector.
This share should reach 65% in 2023 with € 73bn (+ 36%), growth driven by digital-to-store
On the occasion of the Cannes Lions, S4M, a Drive-to-Store specialist, commissioned IHS
Markit, the first global study dedicated to the share of drive-to-store advertising investments.
While many studies already exist by media, format or medium of purchase, The State of
Drive-to-Store Advertising 2019 is the first study to assess the size of the advertising market, all
media combined, from the angle of the campaign objective drive-to-store.
As part of this study, 400 advertisers from all retail sectors were interviewed to support the
market data and forecasts generated by IHS Markit thanks to more than 15 years of expertise in
the advertising sector.
Drive-to-Store growth is driven by digital
In-store traffic generation has always been one of the main objectives of retail. Advertisers are
attaching more and more of their advertising strategy.
Indeed, Drive-to-Store continues its growth, since global forecasts indicate that it will represent
in 2023 65% of total retailers' advertising investments against 54% in 2018.
This growth is strongly driven by the digital-to-store, the first medium used by retailers to
increase the number of visits to stores. In fact, in 2023, digital will account for 68% of global
drive-to-store expenses compared to 54% in 2018.
Mobile and social networks first and foremost
The rise of the digital-to-store can be explained in particular by a growing demand for efficient
and measurable solutions.
These new innovative solutions were born thanks to the explosion of mobile use and the
technical specificities of the latter, especially geolocated data, which allow brands to link online
and offline worlds.
This is why the Drive-to-Store media mix is likely to evolve in the coming years, driven in
particular by mobile and social networks, considered as the two most powerful media to
generate traffic at the point of sale.
By 2023, mobile will become the favorite channel of French retailers since the study predicts that they will allocate 31% of their advertising spend in Drive-to-Store.
In comparison, the study projects that retailers will spend in 2023 only 5% of their drive-to-store
budget on display, 3% on accompanying leaflets and 3% on the radio.
Despite these numbers, retailers will continue to use traditional media in their media mix to
attract consumers in-store.
However, they will turn to digital solutions such as replay TV, programmatic audio and digital out
of home ...
KPIs specific to retail
The study shows that advertisers who set up a drive-to-store strategy seek above all to measure
the concrete impact generated in their points of sale.
Thus, the number of visits, including incremental visits, and store sales are the first KPIs (Key
Performance Indicators) cited by advertisers to measure the impact of their drive-to-store
Traditional media KPIs such as reach, click-through rate (CTR) and repetition are in last place.
More inclined sectors than others at Drive-to-Store
In France, distribution is the number one sector for Drive-to-Store investments in terms of value,
with € 783 million planned for 2023, ie 83% of their total advertising budget.
However, leading retail brands are not the only ones to invest massively in Drive-to-Store.
Catering is the sector that focuses most of its advertising efforts on Drive-to-Store with 95% of
its budget dedicated to the generation of in-store traffic forecast for 2023.
The other retail sectors (fashion, furniture, automotive, beauty, consumer goods) are however
not left out. For example, the study predicts that in France, 71% of advertising investments for
fashion brands will be allocated to the Drive-to-Store in 2023.
Article taken from E-marketing