News – Week in Focus
Shoppers are more than twice as likely to trust personalised advertising, according to the latest dunnhumby report.
The customer data science company released the report, Retail Media: technology, trust, and retail experiences reshaping shopper decisions, on 22 April. It aims to provide clarity on what shoppers want from retail media and their attitudes towards new technologies.
The key findings show that seven in 10 shoppers are likely to trust personalised ads, compared to generic advertising, which is trusted by just a quarter.
It also finds that 91% are comfortable sharing transactional data if it leads to more relevant advertising.
Michael Schuh, head of retail media at dunnhumby, said: “Retail media is transforming at an extraordinary pace, but the shopper perspective is often missing.
“This report changes that, showing how people engage with retail media so that we can design solutions that genuinely add value to their lives.
“Today’s world is filled with marketing messages, so it’s vital retailers and brands break through the noise with deep shopper loyalty and quality engagements – to build trust, create the best shopper experience – and ultimately grow their business.”
The study suggests that shoppers not only understand that their data is being seen and used, but the majority actively support it, as long as it’s in exchange for more relevant, timely, and tailored communications.
For example, personalisation still needs to drive tangible value to shoppers. When ranking what matters most in personalised suggestions, the most popular responses are price or discounts (55%), ease of purchase (48%), discovering new products (46%), and relevance to their interests (42%).
The report also argues that the opportunity for retail media lies in pairing trusted favourites with relevant recommendations.
66% of respondents said they tend to choose familiar products, and 71% said they enjoy discovering new brands while shopping. By combining the two, retailers can ensure that shoppers feel understood and make discovery feel valuable rather than intrusive.
Despite this openness towards personalisation, shoppers are wary of automation, with almost half describing agentic shopping as intrusive or unnecessary.
There are still opportunities for retail media to embrace other types of innovation.
Popular options included personalised pricing (64%), in-store screens with product suggestions (56%), and tailored health suggestions (54%), demonstrating that new technology must have a practical impact on the personal shopping experience.
The study surveyed respondents from across the US and UK and found that US shoppers are generally more positive about personalised suggestions than their British peers.
Nonetheless, the patterns across both markets are similar, with shoppers wanting retailers to know what they buy and their budget.
Similarly, younger shoppers aged 18-34 want retailers to understand their lifestyle, diet, and personal values, too.
