Today, (February 29th, 2024) IAB Europe, the leading European-level industry association for the digital marketing and advertising ecosystem, published the first set of recommendations for retail media digital advertising metrics and measurement standards in Europe. The recommendations are open for industry comment and feedback, and will help shape the final standards due to be released in April.

As retail media continues to grow as an advertising channel, media buyers must have consistent metrics with which to compare their investments. In 2023, IAB Europe found that 70% of buyers cited the lack of standards for retail media as a barrier to investment, with media and attribution measurement being cited as the most important areas to address first.

The recommended standards were developed following IAB Europe’s Retail Media Measurement Workshop which brought together 15 retailers from across Europe. This feedback was combined with the ongoing discussions from IAB Europe’s Retailer Council and Retail Media Committee. 

IAB Europe also recognises that progress has been made on the development of retail media metrics definitions in other markets (e.g. IAB US, BVDW in Germany and ISBA in the UK) and this work was used to form the basis for discussions within the workshop. For example, IAB Europe’s recommendations incorporate most of the elements from the now and next sections of the ISBA “Responsible Retail Media Framework”. 

The recommendations address the following areas:

• Primary media metrics (including viewability, IVT) to ensure digital retail media ads adhere to the same standards as other digital ads
• Attribution metrics to ensure that brands are able to compare their advertising investments using a standard lookback window and iROAS definition
• Additional retail media insights to further elevate the unique insights that retail media networks can provide such as ‘New to Brand’

The standards document can be viewed here alongside the FAQs document. The recommendations are open for public comment until the 29th of March 2024. Please send your comments to retailmediastandards@iabeurope.eu 

Jason Wescott – chair of IAB Europe Retail Media Committee, global head of commerce solutions at GroupM  commented on the development of the standards: “There is no clearer example of the importance of IAB Europe and our Retail Media Committee than this work on Retail Media Measurement Standards. Whilst a rapid increase in the number of retailer advertising offers is a wonderful thing for our industry, it has made planning and buying more complicated, with accurate comparisons across providers burdensome, if not impossible. 

We brought the region’s leading digital retail media businesses together to collaborate on a common set of standards that will not only ensure retailers can be consistent with existing digital media standards, but also encompass consistent, retail-centric, metrics spanning sales attribution and sales/consumer insights. This consistency will be a big step towards making the region’s industry more unified and accessible for advertisers. I’m excited to see the first version of these standards and for future iterations, as this channel will continue to evolve.”

Jessica Wegner, vice president new business & retail media, Douglas Marketing Solutions commented on the importance of these standards: “In the dynamic landscape of digital advertising, retail media emerges as a crucial media solution, yet its potential was hindered by challenges such as the lack of standardisation. Only half of buyers currently recognise its efficiency, seeking standards and regulations. To unleash the full power of retail media, addressing this critical gap through standardised measurement methods is paramount. Moving beyond traditional KPIs like ROAS or CPC, the focus on standardisation, particularly in media and attribution measurement, holds the key to unlocking its true efficiency.

As retail media continues to deliver remarkable results, the recent milestone of IAB Europe releasing the first European Retail Media Measurement Standards is a transformative step. This marks a future-changing development, emphasising the increasing acknowledgment of retail media's significance.”

Following the  feedback process, IAB Europe will issue a first version of Retail Media Metrics and Measurement Standards for Europe.