AI-powered decisioning is transforming how retail media networks operate, and Hightouch stands at the forefront of this revolution with a freshly announced $80 million funding round at a $1.2 billion valuation.
In this conversation with Ian Maier, Ad Tech and AI Lead at Hightouch, we explore how composable CDPs are dramatically reducing implementation timelines for retailers launching media networks. Unlike traditional CDPs that require months of data migration, Hightouch's solution sits atop existing data infrastructure, allowing enterprise retailers to activate their first-party data across channels in a matter of weeks rather than months.
Maier shares a compelling case study of wearable technology company Whoop, which replaced scheduled email blasts with AI-driven decisioning and saw a 10% incremental lift in cross-sells. Beyond performance improvements, their marketing team now spends less time on operational tasks and more on high-value creative work – a double benefit that showcases AI's true promise in marketing.
The retail media landscape faces significant fragmentation challenges with over 200 networks now operating. This proliferation creates difficult choices for advertisers who must decide where to invest their budgets. Maier explains that success for retail media networks increasingly depends on making the buying process frictionless while demonstrating true incrementality – proving their platforms drive sales that wouldn't have happened otherwise.
Looking ahead, Hightouch is developing solutions that allow retail media networks to create holdout groups across channels, enabling true incrementality testing that advertisers can access through intuitive dashboards. This capability addresses one of the industry's most pressing needs, as evidenced by Maier's observation that "9 out of 10 folks at NRF said the word incrementality at least once" during presentations.
For brands navigating the complex retail media ecosystem and retailers looking to maximize their media revenue, understanding these technological advancements isn't just advantageous – it's essential for staying competitive as the space continues its explosive growth.