# IAB study: 43% of marketers underutilize in-store retail media despite full-funnel belief

*Recognition of point-of-purchase screens as conversion drivers outpaces budget allocation, signaling first-mover arbitrage for physical brands.*

By **Jenny Huang Goodman MPA MSc MHSA, Principal** — The Stash Edge, Hako Shikin LLC.
Published 2026-10-13.

Canonical: https://www.pops4.com/stash/articles/grocery-tv-iab-2026-10-13t06-4
Subject: Grocery TV / IAB
Tags: retail media, in-store advertising, point of purchase, conversion, arbitrage, grocery tv

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According to research from the Interactive Advertising Bureau and Grocery TV, **43%** of marketers acknowledge they underutilize in-store retail media even as they recognize its full-funnel value. The gap between understanding and deployment creates an opening: the channel works, most competitors hesitate, and the cost per impression remains a fraction of digital display.

The study found marketers now view in-store retail media—screens near endcaps, checkout, and refrigerated aisles—as capable of driving awareness, consideration, and conversion within a single shopping trip. Unlike banner ads that chase attribution across devices, a message on a grocery store screen reaches a shopper with a cart, a list, and immediate purchase intent. The shopper sees the ad, walks twelve feet, and puts the product in the basket. Attribution is the receipt.

The mechanism is environmental capture. A shopper in a store has already committed time and attention to the category. The in-store screen does not interrupt; it participates in the purchase decision at the moment of highest relevance. Brands that secure placement near complementary products—hot sauce beside tortilla chips, batteries near toys—convert awareness into transaction within minutes. The store becomes the media, the aisle the landing page.

Yet despite documented efficacy, nearly half of surveyed marketers admit underinvestment. The hesitation stems from unfamiliarity with buying processes, perceived complexity in creative adaptation, and inertia around established digital channels. The result: in-store retail media remains underpriced relative to performance, and early adopters capture share of mind before competitors recognize the arbitrage.

The steal for a physical-product brand is direct. Identify three grocery or convenience chains in your distribution footprint that operate in-store digital networks—Grocery TV, Cooler Screens, and Vengo serve thousands of locations. Request a media kit. Most networks offer geo-targeted buys starting at **$500** to **$1,500** per month for a regional cluster of stores. Negotiate a test flight: two weeks, ten stores, daypart rotation near your category.

Produce one static creative in 16:9 or 9:16 format—product shot, benefit line, call to action. In-store audiences tolerate no subtlety; the ad must communicate in three seconds. Example: protein bar brand runs a fifteen-second loop showing the bar, the protein count in **bold white numerals**, and the text "Aisle 7." No URL, no QR code. The conversion happens offline, immediately.

Measure with retailer sell-through data for the test stores versus matched control stores in the same chain. If the test group moves **8% to 15%** more units during the flight, scale the buy to additional regions. In-store retail media does not require attribution platforms or multi-touch models. The store scans the proof.

The broader pattern: channels work best when competitors undervalue them. In-store retail media sits in the same adoption curve that programmatic display occupied in 2009 and connected TV in 2017—recognized by early operators, ignored by the majority, and mispriced accordingly. Brands that move now secure positions before cost-per-thousand rates normalize. The arbitrage window remains open because **43%** of the market hesitates. That hesitation is the opportunity.

## The takeaway

In-store retail media converts at point of purchase while competitors underspend; test with $500 geo-targeted flights and measure via store-level sell-through.

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## Publisher

**Hako Shikin LLC** — Virginia Beach, Virginia. Founded 1997. ASI 217876 · DUNS 18-204-6339.
Principal and author: **Jenny Huang Goodman MPA MSc MHSA**.

- Author: https://www.huanggoodman.com/about
- LLM context: https://www.pops4.com/stash/llms.txt
- MCP endpoint, for AI agents: https://mcp.pops4.com/mcp
- Client dashboard: https://dashboard.pops4.com/
- Catalogue: 70,000+ products, 200+ brands