As businesses, we’ve all experienced the steady rise in consumer expectations over the years. Personalization, once the pinnacle of customer engagement, is no longer enough to meet the demands of today’s shoppers. While it's still a valuable tool, the reality is that customers now expect more than tailored product recommendations. They want convenience, efficiency and a seamless experience across every touchpoint. It’s become essential for companies to look beyond personalization and adopt new strategies to stay competitive.
This shift is something we’ve been keeping a close eye on at commercetools. In working with some of the world’s most innovative brands, we’ve seen first-hand how leading businesses are responding to these new expectations. And it’s not just about one strategy — it’s a combination of approaches that are helping brands create the next level of customer experience. From retail media networks to strategic partnerships and upper-funnel tactics, these are becoming crucial drivers of both engagement and revenue growth.
Unlocking value with retail media networks
One of the most exciting developments in this space is the rise of retail media networks. These networks offer a powerful way for businesses to monetize their first-party data, which, as we know, has become increasingly valuable in a world where third-party cookies are being phased out. Retailers can use their customer data to create highly targeted advertising opportunities, and in doing so, generate entirely new revenue streams. This approach goes far beyond just personalizing a website or app — it allows brands to reach engaged audiences at precisely the right moment, often shortening the customer journey in the process. In fact, this form of engagement is much more direct and effective, as it’s built on the foundation of customer insights gathered from real interactions.
Our recent holiday research report, "Unwrapping Success: Key Investments Driving Holiday Sales," revealed that 78% of shoppers now prioritize seamless, frictionless experiences across channels. What we’re seeing is a desire for convenience at every step — whether that’s discovering products online, completing a purchase or even arranging for delivery. Consumers no longer have the patience for complexity, and that’s where retail media networks really shine. They offer a way to cut through the noise and provide shoppers with exactly what they’re looking for, without the unnecessary steps.
The power of strategic partnerships and upper-funnel tactics
Another key element in this evolving strategy is strategic partnerships. Collaboration between retailers and technology providers, logistics companies or payment platforms is becoming a significant advantage in today’s marketplace. These partnerships enable businesses to streamline operations and deliver a more efficient customer experience. For instance, by integrating logistics solutions directly into the eCommerce platform, brands can offer faster delivery options, reducing the time from purchase to fulfillment. These kinds of innovations don’t just help with the final stages of a purchase — they also play a role in upper-funnel activities like building brand awareness and driving consideration.
In a world where customers want things now, creating a smooth experience from start to finish can make all the difference. When businesses collaborate, they’re not just improving efficiency — they’re removing obstacles for the customer, making it easier to discover, consider and ultimately buy products. And that’s a powerful shift.
Speaking of the upper funnel, it’s a space that’s gaining renewed focus. While personalization tends to be associated with mid- to lower-funnel activities, businesses are now recognizing the importance of reaching consumers earlier in their journey. Upper-funnel tactics like awareness campaigns, influencer partnerships and brand storytelling help create a connection before the customer is even thinking about a specific product. And in today’s market, where so many products are competing for attention, that connection is vital.
Brands that invest in these upper-funnel strategies are laying the groundwork for long-term success. They’re building trust, loyalty and an emotional connection with their customers — qualities that often outweigh discounts or quick fixes when it comes to driving repeat business. When combined with personalized experiences further down the funnel, these tactics create a full-circle engagement that keeps customers coming back, not just for the product, but for the experience as a whole.
With commercetools’ solutions for retail, businesses can stay flexible and open to these new opportunities. Consumer expectations will keep evolving, and the companies that succeed will be the ones that innovate and adapt. Whether it’s through harnessing the potential of retail media networks, forging strategic partnerships or adopting upper-funnel tactics, there’s no single answer — but there are many paths to success.
Ultimately, it’s about creating a connected, seamless experience for the customer. The brands that understand this are already seeing the benefits in terms of customer engagement and revenue growth. And as we move forward, it’s this ability to go beyond the basics that will define the next generation of commerce.