It looks like you're coming from somewhere else

Some regions might not offer specific services for your location.

THOUGHT LEADERSHIP

Retail Media Review: The Power of In-Store Radio in C-Stores

17 Oct 2024

7-Eleven’s Gulp Media Network has designed an ad solution that seamlessly addresses the needs of shoppers and brand partners.

The rapid growth of retail media has been shining a bright spotlight on the physical store recently, as retailers seek to expand their menu of advertising opportunities for brands by providing access to the location that still accounts for 90% of all packaged goods sales.

In their rush to create those opportunities, however, some retail media networks are forgetting to consider two essential elements of effective in-store advertising: the need to improve the experience for shoppers, and the need to prove impact for advertisers.

To achieve those two objectives, retailers must first assess their own stores and customers to identify media options that will fit naturally into the physical environment and enhance — not impede — the shopping experience. They must then find solutions that will let brand partners clearly understand the impact of their advertising efforts, which often makes existing in-store media opportunities insufficient for the job.

7-Eleven’s Gulp Media Network addressed both of those elements as they investigated media options for its North American stores. And what it first discovered was the potential power of in-store media in c-stores compared with other retail channels.

The Power of Media in C-Stores

There are four main reasons why the c-store environment is particularly suited for effective in-store media:

  1. Intimate atmosphere: Smaller store sizes provide a simpler, cozier experience that makes it easier to capture the attention of all shoppers throughout the store.
  2. Higher foot traffic turnover: C-stores attract frequent shoppers with immediate consumption needs who typically make quick visits — and therefore provide an ideal audience for concise, impactful communication.
  3. High level of impulse buying: One out of five c-store shoppers make an impulse purchase during their trip, according to a recent NACS survey. This tendency makes them particularly receptive to promotional messaging.
  4. Ease of movement: The compact layout of c-stores makes it easier for shoppers to quickly find a promoted product, eliminating some of the purchase barriers found in larger-format stores.

The Unique Strengths of In-Store Radio

After evaluating a variety of media types, Gulp identified in-store radio as an ideal option for 7-Eleven’s immediate consumption shopper in the following ways:

  1. Timing and Relevance: Radio in c-stores can deliver timely messages that resonate with shoppers looking for snacks, drinks, ready-to-eat meals and other immediate consumption needs. The immediacy of promotional messages aligns extremely well with their intentions.
  2. Emotional Connection: A well-crafted message addressing a shopper’s current cravings can lead to immediate sales by fostering an emotional connection with these shoppers.
  3. Localized Promotions: With the right technology, in-store radio can be used to showcase localized deals, creating a sense of urgency that drives immediate sales.

Introducing Gulp Radio

7-Eleven had all these factors in mind when it designed Gulp Radio, a next-generation in-store network that addresses the unique needs of immediate consumption shoppers while giving advertisers the direct evidence they need to prove performance through data transparency and actionable insights.

Already active in 2,000 7-Eleven and Speedway locations, Gulp Radio will expand to 5,000 stores by the end of 2024 and aims to become the largest in-store radio network in North America when it rolls out chain-wide in 2025. In addition to the massive reach, however, the network’s architecture allows for messaging to be targeted by factors like time of day and store location, ensuring that the right audience receives a relevant message at an optimal moment.

Gulp Radio is already delivering results for brand partners. A leading energy brand experienced a 4% increase in unit sales. An isotonic brand enjoyed 7% unit growth and a $1.56 incremental return on ad spend. 7-Eleven is also using Gulp Radio to drive awareness and sales of the retailer’s proprietary products and seeing incremental lifts ranging from 5-9%.

Beyond its impact on awareness and conversion, Gulp Radio is also ideally suited to play a strategic role in a brand’s broader media plans by providing an avenue for extending digital marketing efforts into the store, thereby maintaining message consistency while strengthening brand recognition, recall, and ultimately engagement and conversion.

Gulp Radio’s core strength, however, is the relevant role it plays for the immediate consumption shoppers who frequent 7-Eleven’s stores. That relevance gives brands the ability to maximize campaign impact, drive deeper engagement, and generate incremental sales at North America’s largest c-store retailer.

To learn more about the power of in-store radio, watch this recorded webinar featuring Neha Nayyar, Gulp Media Network, Senior Director of Retail Media & Shopper Marketing at 7-Eleven. For more information about Gulp Media Network, contact Dave Hart at [email protected].

SUBSCRIBE TO OUR NEWSLETTER
(This form doesn’t download reports)

More Thought Leadership