Russian food retailer X5 Retail Group (X5) has partnered with internet company Mail.Ru to launch a new application, which measures the impact of targeted online advertising on offline sales.
The solution has already been tested by global media group Dentsu Aegis Network.
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The partnership between Mail.Ru Group and X5 will enable myTarget platform clients to access the anonymised data of X5 consumer behaviour, with a view to enhancing the accuracy of advert targeting and linking advert impression data with sales performance at its retail chains, including Pyaterochka, Perekrestok and Karusel.
X5 Retail group strategic marketing and planning director Vadim Kapustin said: “Comprehensive knowledge of customer behaviour, individual needs and preferences is what every retailer, telecom operator, bank and mass market company needs.
“At X5, we use accumulated purchasing data for effective marketing communication in the interests of food producers.
“By offering the opportunity to assess the actual impact of digital advertising campaigns on sales in the company’s stores, we provide food manufacturers with a powerful tool for optimising marketing costs.”
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By GlobalDataFor this test, the Russian food retailer has created an anonymised customer segments for specific advertisers, by segregating potential customers into groups based on their consumption patterns.
According to the company, this mechanism will not only improve the efficiency of online advertising campaigns but will also help advertisers to better understand the demand curve for specific products.
Mail.Ru Group vice-president and commercial director Elina Isagulova said: “We help advertisers achieve the best conversion rates through continuous improvement of myTarget functions.
“Today, as part of our partnership with X5 Retail Group, we are pleased to offer our customers new opportunities to assess the effect on offline sales of online ads, coupled with new targeting opportunities.
“With a wider range of customer segments available, businesses are able to select target audiences for advertising messages as accurately as possible.”
