Media Companies in Australia that already under threat from falling advertising are now facing another loss of revenue with Bunnings installing a new TV network that will suck revenue away from media Companies.
Currently Bunnings has around 282 large warehouse stores now they are set to growing its retail media market share by installing more in-store TV screens to add to its supplier advertising dollars.
The hardware giant has updated its suppliers with its plans to install around 300 screens across its stores.
The update is intended to encourage those suppliers to spend more on advertising in Bunnings stores as part of a new Bunnings Retail Media programme.
Already, 200 digital screens have been installed across 100 stores in Australia. By February 2025, another 100 screens are expected to be rolled out across 50 more stores.
“These 65-inch LED screens are strategically placed at the store entry and Trade Desk to maximise visibility for our customers,” said Bunnings in the update.
“The screens will display a mix of supplier advertisements and Bunnings campaign messages.”
Retail media in Australia grew 26.5% in 2024, reaching A$1.6 billion in revenue, according to GroupM. By 2029, it forecast revenues will reach A$4.31 billion.
Apart from Bunnings other large retailers have also developed their advertising business. Woolworths created its own advertising division called Cartology, Coles developed Coles 360 and Chemist Warehouse operates its media sales arm called Strat.
In 2022, Cartology acquired Shopper Media Group for $150 million in a deal which handed it 2,000 digital screens across 400 shopping centres.
Last year, Cartology is reported to have rolled out 400 health and beauty screens and ran more than 5000 advertising campaigns Woolworths supermarkets and Big W. In the previous four years, Cartology’s revenue has seen a staggering 34% compounding annual growth rate, according to The Australian. Coles 360 booked a 20.5 per cent increase in media income in 2024 and Chemist Warehouse’s retail media businesses generates around $600 million annually.
Explaining its decision to grow the presence of its digital screens, Bunnings general manager of marketing, Justine Mills, pointed towards the success of the Bunnings magazine as a launch point for its digital retail media business. “The popularity of the Bunnings magazine over many years has demonstrated the value our customers and suppliers place in retail media,” said Mills according to Adnews.
“We’re now exploring ways to expand this into digital and in-store advertising channels in a customer-friendly way. This will boost product visibility and deliver customers useful product information to help them complete their projects.”
