Australia Post joins the AI revolution, transforming retail media with advance tech

Australia Post is making a bold move into the retail media space with the launch of its first in-store retail media network, developed in partnership with oOh!media’s retail marketing arm, reo.

The network is set to launch across 60 locations in Victoria, with reo handling the media sales.

This initiative aims to leverage Australia Post’s extensive physical presence, which has previously been viewed as a costly burden, to generate new revenue streams and offer value to businesses across the country.

Aimee Dixon, the General Manager of Enterprise Brand and Retail Marketing at Australia Post, explained that by tapping into its vast physical footprint, the postal service could provide an innovative new marketing platform that helps businesses engage with customers in a highly trusted environment.

“powerful opportunity for brand marketers to connect with a broad and diverse audience in a trusted retail environment,” Neil Ackland, chief retail media officer at oOh!

According to Neil Ackland, Chief Retail Media Officer at oOh!, the screen network offers a unique opportunity for brand marketers to reach a broad, diverse audience with targeted messaging at moments when consumers are particularly receptive.

This launch is particularly significant for Australia Post, which has faced financial challenges in recent years. Following a loss of $88 million last financial year, after improving from a $200.3 million deficit in 2022-23, the postal service is seeking ways to adapt to the changing retail and communication landscape.

CEO Paul Graham has highlighted the ongoing challenges, such as the decline in letter volumes and the shift towards digital services, but the new retail media network offers a way to diversify revenue streams while making use of Australia Post’s national presence.

The retail media network presents a powerful way for brands to connect with customers in a trusted, high-traffic environment. Ironically, the very physical infrastructure that Graham has criticised for years could now become a major asset in transforming Australia Post’s financial fortunes and keeping it competitive in a rapidly evolving market.