Scaling Your CPG Advertising Strategy in 2025: The Synergy of DOOH and Retail Media

Table of Contents

1. Key Highlights
2. Introduction
3. Understanding Digital Out-of-Home (DOOH) Advertising
4. The Function of Retail Media Networks (RMN)
5. The Synergy of DOOH and RMN
6. Real-World Examples of Successful Integration
7. Implications for CPG Marketers
8. Conclusion
9. FAQ

Key Highlights

• The integration of Digital Out-of-Home (DOOH) advertising and Retail Media Networks (RMN) is revolutionizing Consumer-Packaged Goods (CPG) advertising strategies.
• DOOH generates strong brand awareness in high-traffic locations, while RMNs deliver personalized ads at the point of purchase.
• By combining these two channels, brands can effectively enhance consumer engagement, drive foot traffic, and capture online conversions.

Introduction

In 2025, the landscape of advertising for Consumer-Packaged Goods (CPG) is evolving at an unprecedented pace, with new technologies and strategies emerging to engage consumers more effectively. A remarkable 70% of purchase decisions are made while shoppers are in a physical retail location, highlighting the importance of brand visibility at the point of sale. This phenomenon underpins the increasing significance of integrating Digital Out-of-Home (DOOH) advertising with Retail Media Networks (RMN). This fusion not only enhances the consumer journey but also creates unprecedented opportunities for CPG brands to optimize their advertising spend and reach.

The synergy of DOOH and RMN is reshaping how brands communicate with consumers, transitioning from broad awareness campaigns to more targeted and conversion-focused strategies. In this article, we will uncover how this integration works, the data supporting its effectiveness, and what it means for the future of CPG advertising.

Understanding Digital Out-of-Home (DOOH) Advertising

DOOH advertising leverages digital screens placed in high-traffic public venues—such as malls, transit centers, office buildings, and urban environments—to deliver engaging content to a large audience. With consumer attention increasingly fragmented due to digital advancements, DOOH provides a unique advantage by capturing viewers when they are mobile and in a receptive mindset.

The Evolving Role of DOOH

Historically, traditional outdoor advertising relied on static billboards, offering limited engagement due to their lack of capacity to adapt to audience changes. However, as technology has advanced, DOOH now allows for real-time content updates and geolocation targeting, providing advertisers with greater flexibility and response mechanisms.

• Dynamic Content Delivery: With the ability to change messages based on time of day, location, or even real-time events, brands can craft offerings tailored to specific audiences—an approach that conventional advertising could never achieve.
• Enhanced Engagement Metrics: As consumers increasingly interact with digital screens, advertisers can now gather data on consumer behavior and engagement rates, allowing for refined advertising strategies that resonate with audiences.

The Function of Retail Media Networks (RMN)

Retail Media Networks represent a powerful shift in how advertising is executed right at the point of sale. RMNs enable CPG brands to push targeted ads on the very platforms where consumers are ready to purchase—from e-commerce platforms to in-store digital displays.

How RMNs Work

• First-party Data Utilization: RMNs leverage valuable first-party data from retailers, allowing brands to deliver highly personalized advertising experiences. This contextually relevant advertising serves as a critical touchpoint during the consumer's decision-making process.
• Immediate Call-to-Actions: With the ability to present exclusive offers and promotions, RMNs engage consumers when they are in a purchasing mindset, leading to increased conversion rates.

The Synergy of DOOH and RMN

The combination of DOOH and RMN creates a robust advertising strategy that effectively bridges broad awareness and exacting conversion-focused tactics.

1. Extending the Consumer Journey

By serving ads in high-traffic locations, DOOH elevates brand awareness and primes consumers before they even enter a retail environment. This strategic positioning is essential as approximately 95% of purchase decisions are influenced by prior awareness and interest generated through impactful advertising.

Key Points:

• Creating Awareness: Located strategically, DOOH ads can spark interest and influence consumer sentiment long before they interact with in-store advertising or e-commerce platforms.
• Seamless Transition: As consumers move from general brand awareness through DOOH ads to tailored messages on RMNs, the advertising message remains consistent and relevant.

2. Tailoring Messaging with Contextual Relevance

The integration of DOOH enables advertisers to fine-tune their messaging based on contextual factors, leading to higher engagement and response rates.

Examples of Implementation:

• Geofencing: Advertisers can employ geofenced DOOH ads that communicate specific promotions based on the audience's current location. For instance, a coffee brand could highlight a nearby store offering a limited-time discount.
• Personalized Experience: Once consumers arrive at a retailer, the personalized messaging received via RMNs ensures that the prior engagement through DOOH translates into actionable insights.

3. Driving Foot Traffic and Online Conversions

One of the primary advantages of integrating DOOH and RMNs is the ability to directly influence consumer behavior, driving foot traffic to physical stores while capitalizing on online conversions.

Tactics to Enhance Engagement:

• Proximity-Based Promotions: Campaigns that incorporate locally relevant messaging encourage immediate action, such as utilizing QR codes to unlock discounts at nearby stores.
• Omnichannel Strategies: By ensuring consistency in branding across DOOH and RMN platforms, brands create an omnichannel experience that reinforces promotional themes throughout a shopper's path to purchase.

4. Advanced Attribution and Data Insights

A significant challenge in advertising has been measuring the effectiveness of campaigns. The evolution of DOOH has introduced sophisticated data analytics capabilities that provide actionable insights.

Advantages of Data Integration:

• Holistic Understanding: By combining data across DOOH and RMN, brands gain a 360-degree view of the consumer journey—tracking engagement metrics from initial awareness all the way to conversion.
• Enhanced Campaign Effectiveness: Brands can quickly adapt their strategies based on performance data, optimizing campaigns for maximum reach and ROI.

Real-World Examples of Successful Integration

Numerous brands have embraced the synergy between DOOH and RMN to great effect. Below are standout cases demonstrating the power of this advertising strategy:

1. Coca-Cola’s Summer Refresh Campaign: Coca-Cola leveraged DOOH displays in urban locations to generate buzz for its new Summer Refresh drink. The ads included interactive elements allowing consumers to scan QR codes to receive exclusive promotions redeemable in local stores. Once in-store, customized messaging through RMNs increased spontaneous purchases, leading to a sales lift of over 25%.

2. Procter & Gamble’s Targeted Health Campaign: Procter & Gamble utilized location-based DOOH ads to promote health-related products during cold and flu season. Ads displayed at pharmacies highlighted specific product benefits and featured QR codes that directed consumers to personalized offers available via the stores’ RMNs. This campaign saw a 30% increase in product sales compared to previous seasons.

Implications for CPG Marketers

As the advertising landscape evolves towards a more integrated approach, CPG marketers must adapt their strategies accordingly.

Strategic Recommendations for CPG Brands

1. Invest in Data Integration: CPG companies should prioritize investments in data analytics platforms that integrate insights from both DOOH and RMNs to enhance campaign effectiveness.
2. Focus on Localized Campaigns: Tailoring advertising efforts to local markets through geofencing and proximity-based marketing can drive higher engagement rates and conversions.
3. Continuous Testing and Learning: Brands should implement A/B testing on messaging and creative approaches to optimize performance and ensure high levels of consumer engagement.

Conclusion

The future of CPG advertising lies in the successful integration of Digital Out-of-Home and Retail Media Networks. By utilizing this synergy, brands can create a more holistic consumer journey that elevates brand awareness, drives foot traffic, and ultimately leads to increased sales. As technology continues to advance, the capabilities and intricacies of these advertising channels will become even more refined, providing CPG marketers with tools necessary to adapt and thrive in a competitive marketplace.

FAQ

What is Digital Out-of-Home (DOOH) advertising?

DOOH advertising refers to digital advertisements displayed on screens in public places, such as malls, transit centers, and urban environments. They are dynamic and can be updated in real-time.

How do Retail Media Networks (RMN) function?

RMNs enable brands to showcase targeted advertisements on retail websites or in-store displays, utilizing first-party data from retailers to personalize messages for consumers.

Why is the integration of DOOH and RMN important for CPG brands?

Combining DOOH and RMN creates a comprehensive advertising strategy that enhances brand visibility, drives consumer engagement, and maximizes conversions across multiple touchpoints in the consumer journey.

How can CPG brands measure the effectiveness of their campaigns?

Brands can measure the effectiveness of campaigns through advanced analytics that track engagement metrics, sales lift, and consumer behavior, enabling continuous optimization of advertising strategies.

What are some successful examples of DOOH and RMN integration?

Notable examples include Coca-Cola’s Summer Refresh campaign, which utilized interactions through QR codes and location-specific promotions, and Procter & Gamble’s targeted health campaign during cold and flu season. Both examples saw significant increases in sales through successful integration of DOOH and RMNs.