The Retailers Must-Know Kit: more online shopping and spike in digital programmatic ads this season

“Retailers will be the biggest spenders of any industry on digital ads”, says eMarketer.

In their latest Retail Round-up eMarketer has curated some key articles and forecasts with aim to help retailers prepare better for the upcoming peak of the shopping season. On another glance, the report provides with interesting insight into what are the key trends into the digital ad world and what is there to expect in the next months.

To go back to the opening statement - the reason why retailers are expected to be the biggest spenders: “This year, US consumers will spend $74.93 billion on purchases made via mobile phones, tablets and other internet-connected mobile devices, amounting to 22.0% of retail ecommerce sales and a tiny 1.6% of total retail sales.” For this reason eMarketer forecasts an ad spending jump in the US retail industry up to 16.8% ($12.80 billion), expected to nearly double by 2019.

The sheer sight of the numbers can make your head spinning but in simple words this season online shopping is going to be one of the main channels for consumer interaction. Consumers are increasingly preferring the easiness and simplicity of the digital purchases - check, click, buy and get the item on the very next day. Done deal.

Next topic on the list sends a powerful message across the market - digital programmatic ads are becoming the retail-industry’s favourites. Again US leads the way with retailers spending 70.0% of digital display budgets on programmatic buys this year. To put this in figures, the industry is expected to spend around $3.71 billion on programmatic digital display ads in 2015.

An interesting finding is that among the main reasons why marketers use programmatic buying, “branding awareness” finds itself in the top positions. eMarketer states that more than six in 10 UK and US marketers use programmatic branding campaigns. 64% name increased efficiency as top reason, while reduced overall advertising costs, ability to optimize and target the right audience in real time and higher ROI follow to complete the top 5.

With these forecasts in sight, we can easily say that this year will mark a new milestone in the digital advertising sector. The certainty is that January will bring us an outlook of the industry that we haven’t seen before. Most importantly, programmatic buying has definitely taken on the steady course to establish itself as leading model for advertising decisions.