Rokt’s AI and Machine Learning Tech Gives Macy’s Customer Data a More Powerful Marketing Edge
Macy’s has officially rolled out its partnership with tech business Rokt to take its Macy’s Media Network to the next level. This follows a testing phase since last fall.
Through the Rokt-Macy’s partnership, customers shopping on macys.com receive personalized offers from numerous advertisers including Hulu, Paramount Plus, Apple TV, HelloFresh, and Vogue. These pop up after checkout but before order confirmation. Rokt examines Macy’s customer data to decide which offer types each customer will be most likely to engage. Macy’s and Rokt collaborate on the ad’s creative aspects and formats, all powered by Rokt.
Rokt is a New York tech firm that implements AI and machine learning to customize the checkout process and provide customers with offers from advertisers in line with their engagement likelihood. Companies such as Live Nation, AMC Theatres, PayPal, Uber, Hulu, Staples, Albertsons, and HelloFresh rely on the Rokt’s platform for billions of transactions annually.
In addition to the Rokt partnership, Macy’s Media Network program also displays ads from vendors such as L’Oréal, Estée Lauder, Coty, Ralph Lauren, Calvin Klein, and Tommy Hilfiger.
The Macy’s Media Network, launched in August 2020, generated $155 million in 2021, a significant increase from $144 million in 2022. In the first three months of this year, its revenue reached $37 million, a 27.6% increase from 2021.
With contribution from Rokt technology, customers can receive between one and four offers. It also recognizes when an offer is declined, and provides an alternative offer for the next transaction. Krans expressed optimistic views regarding potential scale and growth of the partnership. He suggested the possible integration with Bloomingdales.com and piloting Rokt technology to promote Macy’s credit card and the Macy’s Star Rewards loyalty program.
“Macy’s is an iconic American retailer, and we are extremely proud to partner with the incredible Macy’s Media Network team to drive increased value for its customers,” commented Elizabeth Buchanan, Chief Commercial Officer at Rokt. She added that the collaboration aims to connect Macy’s with its online customers by delivering relevant messages from non-endemic advertising partners right after purchase, which enhances the shopping experience.
Krans also claimed an increase in customer engagement since the launch of the Rokt partnership. “Rokt’s unique AI-powered technology enables us to use our first-party data to provide our customers with high-quality, premium offers from non-endemic advertisers post-purchase, communicating the right message at the right time, ultimately leading to increased customer engagement,” he said.