
Digital transformation of advertising in network retail. Following the footsteps of Video Analytics in Retail
Advertising is the engine of trade, and it's hard to argue with that! Advertising begins the promotion of any product or service on the market. But this “engine” is outdated, inefficient and noisy. According to a study by the Association of Communication Agencies of Russia, 47% of the Russian advertising market in 2018 was still accounted for by the media (television, radio, press). This means that the “favorite” tool of modern advertisers is “carpet bombing” by advertising to potential consumers, which does not even approximately show the number of “wounded” and “killed”. In simple words, media is a non-targeted and non-conversion tool.
Modern advertising has become an annoying factor for consumers. It is not tactful - it prevents us from watching our favorite shows, reading news, surfing the Internet, listening to music. Advertising is not appropriate - it tries to amuse us when we are sad, to sell what we don’t need is intimidating and infuriating. And this is true not only for classic media, but also for online advertising.
Advertising efficiency is an issue of growing importance for business - perhaps that is why in 2018 the volume of the Russian Internet advertising market showed a record growth of 22% and amounted to 43% of the total market size (Source - studyThe volume of advertising in its distribution media in 2018, the Association of Communication Agencies of Russia). The effectiveness of online advertising, read conversion is a very specific indicator with clear calculation algorithms, but this is true only for e-commerce. In addition, online advertising has flexible tools for targeting and centralized management of marketing companies in different contextual advertising systems. But with all these advantages, contextual Internet advertising is the same annoying factor - it is intrusive, often not relevant and creates the feeling of an observing “big brother”. And she still does not have effective conversion assessment tools for offline business. In harsh conditions of cutting operational bones - increasing the effectiveness of advertising for offline trading is an open question. This market has long been ripe for breakthrough innovative solutions. Addreality presented one of the innovative views on this topic at the Video Analytics in Retail conference.
Advertising of a new generation should take into account not only the needs of the buyer, but also his emotional state, financial capabilities, gender and age, motivation at a particular moment and, most importantly, be relevant. Addreality Solutions is an omnichannel assistant for the buyer in the matter of optimizing his financial expenses for satisfying life needs. From this point of view, it is difficult to find a better place for advertising than the store itself. The buyer who comes to the store has an absolutely understandable motivation to choose and / or purchase the necessary goods.
For effective advertising it is necessary to understand that in a modern consumer society - we do not just buy things, we enjoy the choice and subsequent possession or use. This is true for buyers of all economic orbits, because the act of purchase is the act of exchanging life time spent on generating income for desired goods through money. Regardless of the level of wealth, no one wants to cheapen in this exchange. Effective advertising in the store should not be just an instrument of motivation to buy - there is already motivation - advertising should be a tool to direct the buyer to the correct solution to the problem of exchanging his time, expressed in monetary terms, for goods or services. Exchange beneficial to both parties.

Figure # 1: omnichannel communications solution with a customer in a store
To solve this problem, innovative advertising strategies should be comprehensive and use the most convenient communication channels for the buyer at any given time.
Sound design and audio advertising The
audiovisual design of the store not only creates the atmosphere of the brand, but also allows you to run targeted audio advertising depending on external conditions, for example, the balance in the warehouse or the percentage of loyal visitors, which has a positive effect on the average check.
Interactive Advertising Screens
They allow you to automate up-sell and cross-sell at the checkout and in the trading floor through personalized offers that take into account the basket and purchase history. They allow visitors to be involved in an independent study of the product due to interactive technologies, lift & learn, targeting, recommendations of related products. This communication channel is two-way, which provides the buyer with a simple way to assess the quality of service (with reference to the employee, time and current action / check).
Being installed in the places of product promotion, interactive screens allow you to display real-time targeted advertising content by evaluating, for example, the gender or age of the person watching or based on triggers (face detection, movement registration, the occurrence of a certain date, time, weather on the street, scanning barcode or lifting goods from a shelf).
Video # 1: Unique face recognition technology Addreality Face
Smart price checkers and shelf displays
Allow you to improve the quality of the service due to additional features: monitoring the availability of goods and price tags, the ability to call a consultant, collecting statistics about scanned goods and calls. In addition, they allow you to evaluate your audience through WiFi traffic analysis and face recognition modules and collect statistics on views, audience attention, conversions in views, determining the gender and age of the audience.
LED display cases, columns and media facades I
allow you to create a WOW-effect and actively attract visitors by analyzing the subsequent conversion of advertising content on media facades.
Video No. 2: LED display cases, columns and media facades - iQOS
Video No. 3: LED display cases, columns and media facades - Rive Gauche
Visual targeting technologies occupy a special place among the means of communication with the buyer. Did you know that, according to Oracle, 86% of customers are willing to pay more for a better service? That is why, Gartner reports, around the world 50% of B2C investment projects in 2017 were aimed at developing customer experience. And according to information from the IT integrator Dimension Data, 80% of existing customer loyalty assessment systems do not meet the requirements of companies. (source - Neural network in the service of customer service) That is why it is always important to have the tools to assess the needs of a person, his emotional state, financial capabilities, preferences and, most importantly, overall satisfaction with your service. All this is made possible thanks to video analytics technologies that can recognize our emotions, see our interest or disgust, evaluate our appearance and even take into account current weather conditions. All this allows us to draw conclusions about the advertising offer that is required here and now for a particular visitor, his perception of this offer and the total satisfaction from your store.

Figure 2: Anonymous customer recognition
Possessing the power of omnichannel communication with a customer, one must remember that there is an information gap between the marketing group and local employees, especially when it comes to online retail. Remember how often you had to find out about a particular promotion from advertising sources, but when you arrived at the store, you found out that the employees did not know anything about this promotion activity. Remember the promise and do ? Whatever this happens in your store, you need to have tools for prompt and guaranteed informing employees about new marketing campaigns, such as mobile applications and / or corporate television.
By transforming the store’s advertising materials to the modern level, you get the opportunity to implement complex marketing strategies not only for your own retail network, but also together with your partners, selling them “airtime” and providing unprecedented two-way communication tools with the buyer. At the same time, sales of impressions are carried out in accordance with the practices of aggregators of contextual Internet advertising, which can now work perfectly offline - the cost of an impression is determined in real time by the instant auction method.
Video # 4: Addreality Programmatic advertising sales technologies
Using a modern customer communication tool, it is important to understand that this is just a tool that, falling into unprofessional hands, can not only increase sales, but worsen them. Moreover, a poor-quality marketing strategy using such powerful tools can have the completely opposite effect. When developing advertising companies, remember - respect for the buyer will return to his loyalty to your network.
Modern advertising has become an annoying factor for consumers. It is not tactful - it prevents us from watching our favorite shows, reading news, surfing the Internet, listening to music. Advertising is not appropriate - it tries to amuse us when we are sad, to sell what we don’t need is intimidating and infuriating. And this is true not only for classic media, but also for online advertising.
Advertising efficiency is an issue of growing importance for business - perhaps that is why in 2018 the volume of the Russian Internet advertising market showed a record growth of 22% and amounted to 43% of the total market size (Source - studyThe volume of advertising in its distribution media in 2018, the Association of Communication Agencies of Russia). The effectiveness of online advertising, read conversion is a very specific indicator with clear calculation algorithms, but this is true only for e-commerce. In addition, online advertising has flexible tools for targeting and centralized management of marketing companies in different contextual advertising systems. But with all these advantages, contextual Internet advertising is the same annoying factor - it is intrusive, often not relevant and creates the feeling of an observing “big brother”. And she still does not have effective conversion assessment tools for offline business. In harsh conditions of cutting operational bones - increasing the effectiveness of advertising for offline trading is an open question. This market has long been ripe for breakthrough innovative solutions. Addreality presented one of the innovative views on this topic at the Video Analytics in Retail conference.
Advertising of a new generation should take into account not only the needs of the buyer, but also his emotional state, financial capabilities, gender and age, motivation at a particular moment and, most importantly, be relevant. Addreality Solutions is an omnichannel assistant for the buyer in the matter of optimizing his financial expenses for satisfying life needs. From this point of view, it is difficult to find a better place for advertising than the store itself. The buyer who comes to the store has an absolutely understandable motivation to choose and / or purchase the necessary goods.
For effective advertising it is necessary to understand that in a modern consumer society - we do not just buy things, we enjoy the choice and subsequent possession or use. This is true for buyers of all economic orbits, because the act of purchase is the act of exchanging life time spent on generating income for desired goods through money. Regardless of the level of wealth, no one wants to cheapen in this exchange. Effective advertising in the store should not be just an instrument of motivation to buy - there is already motivation - advertising should be a tool to direct the buyer to the correct solution to the problem of exchanging his time, expressed in monetary terms, for goods or services. Exchange beneficial to both parties.

Figure # 1: omnichannel communications solution with a customer in a store
To solve this problem, innovative advertising strategies should be comprehensive and use the most convenient communication channels for the buyer at any given time.
Sound design and audio advertising The
audiovisual design of the store not only creates the atmosphere of the brand, but also allows you to run targeted audio advertising depending on external conditions, for example, the balance in the warehouse or the percentage of loyal visitors, which has a positive effect on the average check.
Interactive Advertising Screens
They allow you to automate up-sell and cross-sell at the checkout and in the trading floor through personalized offers that take into account the basket and purchase history. They allow visitors to be involved in an independent study of the product due to interactive technologies, lift & learn, targeting, recommendations of related products. This communication channel is two-way, which provides the buyer with a simple way to assess the quality of service (with reference to the employee, time and current action / check).
Being installed in the places of product promotion, interactive screens allow you to display real-time targeted advertising content by evaluating, for example, the gender or age of the person watching or based on triggers (face detection, movement registration, the occurrence of a certain date, time, weather on the street, scanning barcode or lifting goods from a shelf).
Video # 1: Unique face recognition technology Addreality Face
Smart price checkers and shelf displays
Allow you to improve the quality of the service due to additional features: monitoring the availability of goods and price tags, the ability to call a consultant, collecting statistics about scanned goods and calls. In addition, they allow you to evaluate your audience through WiFi traffic analysis and face recognition modules and collect statistics on views, audience attention, conversions in views, determining the gender and age of the audience.
LED display cases, columns and media facades I
allow you to create a WOW-effect and actively attract visitors by analyzing the subsequent conversion of advertising content on media facades.
Video No. 2: LED display cases, columns and media facades - iQOS
Video No. 3: LED display cases, columns and media facades - Rive Gauche
Visual targeting technologies occupy a special place among the means of communication with the buyer. Did you know that, according to Oracle, 86% of customers are willing to pay more for a better service? That is why, Gartner reports, around the world 50% of B2C investment projects in 2017 were aimed at developing customer experience. And according to information from the IT integrator Dimension Data, 80% of existing customer loyalty assessment systems do not meet the requirements of companies. (source - Neural network in the service of customer service) That is why it is always important to have the tools to assess the needs of a person, his emotional state, financial capabilities, preferences and, most importantly, overall satisfaction with your service. All this is made possible thanks to video analytics technologies that can recognize our emotions, see our interest or disgust, evaluate our appearance and even take into account current weather conditions. All this allows us to draw conclusions about the advertising offer that is required here and now for a particular visitor, his perception of this offer and the total satisfaction from your store.

Figure 2: Anonymous customer recognition
Possessing the power of omnichannel communication with a customer, one must remember that there is an information gap between the marketing group and local employees, especially when it comes to online retail. Remember how often you had to find out about a particular promotion from advertising sources, but when you arrived at the store, you found out that the employees did not know anything about this promotion activity. Remember the promise and do ? Whatever this happens in your store, you need to have tools for prompt and guaranteed informing employees about new marketing campaigns, such as mobile applications and / or corporate television.
By transforming the store’s advertising materials to the modern level, you get the opportunity to implement complex marketing strategies not only for your own retail network, but also together with your partners, selling them “airtime” and providing unprecedented two-way communication tools with the buyer. At the same time, sales of impressions are carried out in accordance with the practices of aggregators of contextual Internet advertising, which can now work perfectly offline - the cost of an impression is determined in real time by the instant auction method.
Video # 4: Addreality Programmatic advertising sales technologies
Using a modern customer communication tool, it is important to understand that this is just a tool that, falling into unprofessional hands, can not only increase sales, but worsen them. Moreover, a poor-quality marketing strategy using such powerful tools can have the completely opposite effect. When developing advertising companies, remember - respect for the buyer will return to his loyalty to your network.