The retail media partnership between @Criteo and @Microsoft is a win for both, even if it suggests Microsoft is getting out of retail media AdTech.
As part of the deal, Criteo will provide retail media inventory to Microsoft’s tens of thousands of advertising clients, all of which are seeking ways to battle signal loss by buying retail media. Criteo has 200+ media partnerships with retailers and can fill that demand easily.
Criteo gets additional retail media sales, Microsoft gets a cut for distribution, everybody’s happy.
Microsoft enters this partnership even though they acquired @PromoteIQ as the basis for their retail media product back in 2019. But it seems that despite this acquisition, Microsoft cannot provide enough supply to fill demand because they don’t have enough partnerships with retailers to provide a sufficient amount of inventory.
But not only does Microsoft’s retail media business development seem to have fallen short in terms of gaining retailers as media partners. Criteo will also provide retail media technology for those retailers that Microsoft does have media relationships with. It seems Microsoft has decided Criteo’s retail media tech is better than whatever became of PromoteIQ’s tech.
This means Microsoft is retreating from the retail media AdTech business while staying in retail media advertising sales and still benefiting financially from that segment’s boom. This comes as little of a surprise. PromoteIQ does not seem to have gone far over the last five years: I’d estimate Microsoft’s retail media business is still below $50M in net retail media AdTech revenue annually. —
Criteo Collaborates with Microsoft Advertising to Drive Retail Media Growth https://prn.to/4cARdh1
Leave a Reply