Retail

In response, we aimed to create a full-funnel product catering to CPGs that would justify a higher price point. Brandmatch, our ground-breaking data matching product allowed advertisers to align their first-party data (FPD) with Channel 4's 29 million logged-in viewers using cleanroom technology that ensured data security and facilitated outcome measurements like sales. However, CPGs typically lacked significant First Party Data sets, making the product inaccessible to them.

To overcome this, we utilised our cleanroom integration to partner with retail businesses who held extensive customer loyalty data. This enabled CPGs to target viewers based on their shopping habits, for example, a brand like Oatly could target viewers who’d purchased vegan products previously, enhancing efficiency, reducing wastage, and measuring sales. This represented the first time a UK broadcaster had delivered such a product. We set an ambitious objective to build ‘the largest customer loyalty offering on UK TV’ (based on volume of customer files); and called the product RETAIL.

We worked with a handful of key customers to define their needs for the product and capture their pricing and insight expectations. We also met with several retailer giants including Tesco, Boots, and Nectar to assess their appetite to partner. We elected Nectar as our launch partner, primarily based on their ability to expedite the integration but committed to adding other partners incrementally.

We conducted in-depth pricing analysis of our streaming business in addition to competitor analysis and used this to structure pricing approach based on a scarcity model.

Our Data Team measured potential campaign sizes by running matches with Nectar’s 18m users, matched against Channel 4’s 29m across the various shopper categories. Monthly runs were used to identify active users which determined the pricing tier. Match rates were strong so we moved into the beta partner onboarding phase.

The objective for the beta test was to test the end-to-end process and generate evidence that would be used to promote the product for a BAU launch. In addition to the attribution tests measuring sales uplift, we also prepared brand uplift studies to demonstrate mid and upper-funnel benefits.

The end-to-end process was proven efficient, and the results were strong!

Viewers within the Nectar segments exposed to the campaigns were responsible for 29% more sales than viewers within the Nectar segment who were not exposed to the campaign.

This rose to as high as 56% for campaigns that were ‘product-focused’. Campaigns also saw significant increases across wider brand metrics e.g., awareness and affinity. Yields increased by c50%* vs standard buys.

The beta test laid the foundation for a full BAU launch which delivered c£1m across +20 advertisers. And as planned, we agreed deals with Tesco and Boots achieving our objective to develop the UK’s largest customer loyalty offering on TV with over 50m customer accounts.

The product now offers CPGs a sophisticated TV data and attribution play. It also provides the wider Channel 4 Commercial Team with a basis for more meaningful conversations with brands.

We are now able to share behavioural data with brands through RETAIL campaigns such as the demographic makeup of their customers and their viewing habits, offering planning insight back to the industry.