My Notes From an Interview with Costco's RMN leader, Mark Williamson

I share my notes from a fascinating interview with Mark Williamson, the leader of Costco's Retail Media Network, which aired on the Middlemen podcast. While most retailers rush to monetize every pixel they own, Costco has taken a deliberately slow approach as a "last mover" in retail media.My Three Key Takeaways:Membership First, Media SecondCostco evaluates every retail media decision through the lens of their member promiseThey believe their restraint creates scarcity, making their offerings more valuableTheir simple value proposition: relevant messaging should drive traffic, shops, and salesMerchants Rule the KingdomUnlike competitors who position retail media as standalone businesses, Costco keeps merchants at the centerThey've built a "Growth Team" to connect traditional merchant relationships with agency-driven opportunitiesMedia investments must demonstrate actual sales growth for Costco, not just profits for the retail media networkPerformance Over Profit MarginsCostco recommends what works best for suppliers, not what maximizes their own marginsWhen suppliers have budget to spend, they might recommend endcaps or sampling instead of higher-margin digital optionsThis straightforward approach to value builds advertiser trust that will serve them well as their retail media offerings matureCostco's approach stands in contrast to other retail media networks that have become increasingly complex and opaque. By keeping the member promise sacred and measuring success in sales rather than network margins, Costco has created a retail media network that advertisers are eager to work with. Subscribe to Retail Media Breakfast Club's daily newsletterFollow Kiri on LinkedInLink to the Middlemen podcast on YoutubeCHAPTERS