Macy's Inc. has partnered with technology provider Rokt to enhance its retail media network using artificial intelligence, aiming to personalize the shopping experience for customers.
The Macy's Media Network connects advertising partners with customers and leverages Rokt's AI technology, which is informed by over 4 billion transactions annually. This partnership will support Macy's credit card enrollment and its Star Rewards loyalty program.
Launched in 2020, the retail media network began integrating Rokt in fall 2023, serving ads on the order confirmation page post-transaction. The majority of Macy's revenue now comes from digital advertising, including on-site and off-site media.
Macy's Media Network's strength lies in its first-party data, which is crucial as third-party cookies are phased out. This data allows for targeted advertising and effective marketing attribution, especially as most customers use traceable payment methods.
Since the full integration of Rokt, Macy's Media Network has expanded its advertising capabilities, allowing non-endemic brands to advertise to its customers. Rokt utilizes AI and machine learning to optimize ad placements, ensuring that the right offers reach the right customers at the right time.
This development is significant as it reflects the growing trend of retailers using AI to enhance customer engagement and drive sales.