Nowadays, consumers’ attention is constantly divided across various platforms and apps, which poses a challenge to many businesses: how to cut through the noise and engage with their target audience effectively.
An interesting outcome is how marketplaces or retail media networks (RMNs) enhance their tools and capabilities through platforms to solve this problem. One example is foodpanda’s panda ads, which offer advertising opportunities to brand partners, helping them reach millions of digital-savvy customers beyond the usual channels.
“Retail media has been booming in Asia in recent years. panda ads provides an innovative set of advertising tools across foodpanda’s in-app and off-app channels to help our app users discover ads for products and services tailored to their daily needs,” said Amer Bakshi, Head of Enterprise (Advertising & Partnerships, Corporate & pandago) at foodpanda Philippines.
Current retail media advertising landscape
Simply put, retail media advertising involves placing ads on a retailer’s website or app, like foodpanda, to boost brand and product awareness or influence sales for merchants and external brand partners. “For foodpanda, these ads are designed to fit into the customer’s journey seamlessly without disrupting their shopping experience, which can appear on the homepage, menu page, or order tracking page of our app,” Bakshi noted.
Across Asia, retail media sites are becoming key hubs for digital ads, expected to surpass mainstream digital platforms in ad spending. Based on a 2023 survey by Carousell Media Group and Interactive Advertising Bureau Southeast Asia and India (IAB SEA+India), 99% of Asian marketers and advertisers will increase their spending on retail media over the next months.
With over 76 million users and one of the highest mobile penetration rates, reaching 144.5% of the total population last year, the Philippines is at the forefront of a rapidly expanding digital marketing scene. According to Eight Media, ad spending in the country is also expected to rise, with an annual growth rate of 9.7%.
“Unlike traditional media networks focused on selling impressions, retail media is more effective because customers are more likely to buy when they’re actively shopping. Retailers gain valuable insights into customer preferences, improving marketing, inventory management, and product offerings,” explained Bakshi.
He added that the rich first-party data is precise since it comes directly from their app users’ buying behavior and preferences while ensuring that the data they collect adheres to privacy regulations.
Expanding from a quick-commerce platform to adtech solutions
Recognizing the growing demand for retail media advertising, foodpanda launched panda ads, its advertising technology ecosystem, to assist brands across Asia.
“From a branding perspective, panda ads represents all the ways a brand can partner with foodpanda but it’s not limited to just ads on the app,” shared Bakshi. “Brands can also tap into our off-app channels or enter into collaborative partnerships with foodpanda.”
Since its initial launch in 2021, panda ads has formed partnerships with several brands such as Coca-Cola, Unilever, Mars Wrigley, Frito-Lay, Converge ICT Solutions, IKEA, Moneymax, Banco de Oro, and Prime Video. “We provide our partners with solutions that range from in-app display ads, email marketing, push notifications, to product sampling, and help them engage with digital-native customers who want greater choice and accessibility, convenience, and a personalized experience,”said Bakshi.
“We offer advertisers the opportunities to tap into our full-funnel marketing solutions on foodpanda and tailor the channels to help the brands reach their objectives. I believe this makes panda ads stand out from other partnerships.”
What else to expect from panda ads
With the expansion of the retail media advertising landscape, Bakshi revealed that they are looking at launching new and exciting features this year as they work on scaling their offerings.
“We’re continuously working on more full-funnel solutions (both on & off the app) to meet advertisers’ needs. At the same time, we’re adding value to foodpanda customers by highlighting deals, products, and brands that are relevant to them.”