AI-Driven Programmatic Advertising: Why Supermarkets Are Shifting from TV to Social Media Campaigns

AI Gives Programmatic Advertising New Muscle – Why Supermarkets Must Shift from TV to Social-Driven Campaigns

30th May 2025

AI Powers Smarter Programmatic Advertising

Artificial Intelligence (AI) is transforming programmatic advertising by enabling real-time targeting, sharper analytics, and improved efficiency. For supermarkets, adapting to this shift goes beyond keeping up; it’s about staying relevant in a fiercely competitive market.

From Broad Reach to Precision Targeting

Supermarket advertising has traditionally focused on TV for mass reach. While TV remains useful for brand awareness, it lacks in measurable engagement, personalisation, and cost-effectiveness. AI-powered programmatic platforms let retailers purchase ad space instantly, targeting users based on demographics, location, online behaviour, and recent shopping activity. This means campaigns promoting meal deals, loyalty cards, or store openings can reach the right audience at the right moment, making every advertising pound count.

The Rise of Supply-Side Platforms (SSPs)

Supply-side platforms, which manage digital ad inventory for publishers, now benefit from AI-driven optimisation. These platforms use algorithms to adjust pricing, analyse performance, and connect ads with the most relevant audiences. For supermarkets, this results in more efficient ad spend and clearer ROI tracking across retail media networks, apps, and websites.

Supermarkets Are Creating Smarter Ads

More supermarket chains in the UK and Europe are using AI-assisted content creation to produce dynamic ads personalised by format and message. Whether delivering short videos, carousels, or interactive displays, AI adjusts content automatically for different user profiles. This approach cuts creative costs while increasing relevance. Predictive analytics also help marketing teams forecast which ad formats will drive higher engagement before launch, enabling continuous improvement.

Social Media: The New Hub of Engagement

Social media now outperforms traditional TV in user engagement, especially among younger and urban consumers. Platforms like Instagram, TikTok, YouTube Shorts, and Facebook offer supermarkets direct channels to their audiences, influencer partnerships, and shareable content that reaches far beyond a typical 30-second TV spot. Even older demographics respond better to targeted Facebook campaigns and in-app offers than to passive TV ads.

“Social media isn’t just where people spend time — it’s where they make purchasing decisions,” said a London-based digital marketing consultant. “If supermarkets aren’t there, they’re invisible to a huge part of their market.”

Key Takeaways for Marketing Professionals

• Shift budget from broad TV campaigns to AI-driven programmatic ads for better targeting and ROI.
• Leverage SSPs to optimise ad inventory and pricing for more efficient spending.
• Invest in AI tools for dynamic ad creation and predictive analytics to improve campaign performance.
• Prioritise social media platforms to engage both younger and older consumers with targeted, interactive content.

For marketing teams ready to sharpen their AI skills and improve programmatic strategies, AI certification courses for marketing specialists offer practical training to stay ahead.