US Grocer Hy-Vee To Use Samsung’s VXT And Retail Ads Solution Across 10,000+ Screens
October 12, 2023 by Dave Haynes
Samsung has announced a big commercial win for its increasingly integrated digital signage solution, providing smart displays, CMS software AND in-store ad sales and placement for a roll-out of more than 10,000 screens in the US grocer chain Hy-Vee.
Hy-Vee will use VXT CMS to manage a network of screens installed in aisles, deli, meat and seafood counters, wine and spirits departments and food courts in all of its grocery store locations, as well as in Hy-Vee Fast & Fresh locations.
VXT, you may recall, is the successor to Samsung’s long-running MagicINFO software offer – cloud-based, with more capabilities and flexibility for operators. Samsung has not been shy about saying it now effectively competes with CMS software companies the company had described in the past as partners and users of its smart all-in-one displays.
The digital signage solution will be used on Hy-Vee’s retail media network, called RedMedia.
These displays deliver a dynamic mix of in-house content, including live cooking demos, promotions, recipes, product pairings, company announcements and menu boards, to engage shoppers. In an initiative to transform its stores into retail media spaces, Hy-Vee’s RedMedia is integrating its digital signage network and the VXT CMS in partnership with Samsung Ads, the advanced advertising division of Samsung Electronics, as one customized program enabling marketers to take advantage of buying in-store digital inventory in combination with Connected TV (CTV). This will provide advertisers with new and innovative ways to reach shoppers with the goal of generating additional sales for those who advertise on the platform.
Announced earlier this year, Samsung Ads has been building a bespoke marketplace combining in-home CTV with Digital Out-of-Home (DOOH) advertising, allowing marketers to reach their audiences as they move throughout the day. With advanced measurement, targeting and programmatic transactional technology, Samsung and Hy-Vee’s RedMedia are poised to lead the market in this emerging retail medium.
”Hy-Vee’s RedMedia provides a best-in-class solution for suppliers and their brands,” says Jason Farver, President of RedMedia. “We pride ourselves on our excellent customer service and ability to allow companies to reach specific consumers across various channels so they can create an omnichannel marketing strategy via Hy-Vee’s in-store marketing, loyalty programs and events.”
Based in Des Moines, Iowa, Hy-Vee runs more than 280 retail stores in eight Midwestern states, including Illinois, Iowa, Kansas, Minnesota, Missouri, Nebraska, South Dakota and Wisconsin.
The emergence of VXT has annoyed (but not necessarily surprised) all kinds of people on the software side of the digital signage ecosystem, given that Samsung invested a lot of time courting CMS companies to adapt their code-base to run on its smart displays. MagicINFO was out there, but not heavily marketed or regarded as serious competition to pure-play software solutions. But VXT changes that.
The interesting thing here, to me, is how this is an increasingly verticalized and complete solution for end-users like chain retail. Screens are paired with cloud-software that end-user and third-party apps can sit on top of, there’s device management built-in, and now a way – via Samsung Ads – to monetize the screens through in-store advertising.
I have told Samsung in the past that it needed to stop trying to do the both sides of the fence thing by trying to court software partnerships while also marketing its own competitive solution, in MagicINFO. With VXT, and the other components, the business direction is now pretty clear – and formidable.
Software companies can perhaps argue they have better platforms, but a lot of end-users probably don’t care. They may really just want a known, deep-pocketed business partner who can not only offer the software, but the screens, the services and, in some cases, an ad solution that speaks to retail media needs or ad revenues that offset costs.