Vudoo, an advertising commerce technology company, has released a report titled 'The Commerce Swell: How Marketers are Riding the New Media Wave'. The report underscores the growing impact of commerce media on traditional marketing strategies, driven by consumer demand for more streamlined shopping experiences and personalised content.

According to the report, 94% of Australian marketers have reported improved results after reallocating their budgets towards commerce media. On average, commerce media now accounts for 30% of the Australian media spend. Furthermore, 55% of Australian marketers plan to increase their commerce media expenditure over the next 12 months.

Major platforms like Google, YouTube, and Amazon are introducing new features to capitalise on the trend of content commerce. These features include AI mode, interactive product feeds, and new connected TV (CTV) ad formats. The report, conducted by LongTerm CoLab, involved interviews with approximately 150 Australian marketers.

Vudoo's report suggests that commerce media enables brands to track consumer interactions from initial engagement to purchase, leading to higher satisfaction levels compared to those who do not utilise such media. However, marketers face several challenges in adopting commerce media, including technical issues, integration complexity, rising costs, and fragmented data.

The report indicates that 82% of larger organisations encounter challenges in cross-channel execution, while 63% of smaller companies face budget and resource limitations. Additionally, 69% of marketers express a preference for real-time, non-linear models for campaign measurement, which track multiple touchpoints across the consumer journey.

CEO of Vudoo, Nick Morgan, said, "Commerce media is the most exciting shift since programmatic. It’s not just a new format but a mindset where media, measurement and action converge to perceive and act upon the full spectrum of consumer behaviours in the marketplace."

Global Chief Commerce Officer at KINESSO, Amie Owen, noted that commerce media is increasingly becoming an integrated component of the audience journey. "This report shows that we are no longer looking at commerce media in isolation, but increasingly as an integrated component of the audience journey. With the ubiquity of the shopper mindset, the funnel can no longer exist solely for commerce; consumers now expect the option to purchase across the full spectrum of media they engage with," Owen said.

The report highlights a shift from traditional funnel models to behaviour-driven strategies, with 69% of marketers recognising the effectiveness of non-linear models. Commerce media is viewed as a promising solution to adapt to changing consumer behaviours and reinvigorate marketing strategies.