More Tech Firms Prove Online Ads Drive Offline Sales

The online ad industry is inching closer toward a longstanding goal: helping retailers determine how online ads drive sales at their physical stores. Retailers such as Neiman Marcus and Williams Sonoma are increasingly using data about their customers to track their “path to purchase” from Web to store, thanks to new ad tech startups and programs launched by Facebook and others.

Proving that online ads boost brick-and-mortar sales has long been a barrier to ad dollars shifting online even as consumers spend more of their time there. More than 90 percent of U.S. retail sales still occur in stores.

But tech companies continue to take their crack at ways to prove a link between online ads and offline sales.

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For instance, a customer who signs up to use a store’s Wi-Fi network and provides their email address would thus allow the retailer to connect their online and offline profiles and track them each time they walked into the store. Stores also are partnering with in-store tracking tools such as Euclid that install sensors in order to track customers.

Hendrik Laubscher commented on this article.
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For every dollar in incremental sales that TellApart drives to retailers’ online stores, it drives another $1.50 to physical stores on average.