BJ's Gets a Digital Sommelier: AI Transforms the In-Store Experience

📊 Key Data
  • 98% customer satisfaction rating from a multi-year pilot with Kroger, demonstrating shopper acceptance of AI-driven guidance.
  • Sales lift of 1-3% for retailers and 20-80% for brands using Looma’s platform, with an average incremental return on ad spend (iROAS) of 4x.
  • Expansion to 7,000 screens across 1,100 retail locations, reaching 27 million shoppers monthly.
🎯 Expert Consensus

Experts view this AI-driven in-store retail media as a transformative step that bridges the gap between e-commerce personalization and physical shopping, enhancing customer engagement and driving measurable sales growth for both retailers and brands.

3 months ago
BJ's Gets a Digital Sommelier: AI Transforms the In-Store Experience

BJ's Gets a Digital Sommelier: AI Transforms the In-Store Experience

DURHAM, N.C. – January 21, 2026 – By Jennifer Anderson

The familiar experience of wandering the wine aisle, overwhelmed by choice, is getting a high-tech makeover at BJ’s Wholesale Club. In a significant move that blurs the lines between e-commerce personalization and brick-and-mortar shopping, in-store retail media platform Looma is expanding its partnership with the wholesale giant, deploying interactive digital screens directly in the aisles. These screens, powered by artificial intelligence, will act as a “Digital Sommelier,” offering members personalized wine and cocktail recommendations at the very moment they are making a purchase decision.

The announcement marks a major step forward for in-store digital media, moving beyond simple digital billboards to create interactive, value-added experiences. The new in-aisle screens will supplement a series of digital end caps already operating in BJ's clubs, with the full rollout planned for all locations featuring beer, wine, and liquor departments. For shoppers, it promises to simplify discovery and demystify the often-complex world of adult beverages. For the retail industry, it signals a deeper investment in the technology poised to redefine the physical store.

Bringing E-Commerce Personalization to the Aisle

For years, online retailers have held an advantage in their ability to track user behavior and serve up tailored suggestions. Looma’s platform aims to bring that same level of personalization into the physical world. The company’s strategy focuses on integrating media directly with merchandise, a philosophy that founder and CEO Cole Johnson believes is critical for success.

"The real opportunity to engage shoppers, build brands, and reach the full promise of in-store media is to build digital touchpoints into the heart of the store, on end caps and in the aisles," Johnson stated in the press release. He contrasts this with less effective approaches, noting, "without them in-store media becomes simply billboards."

Looma’s AI-driven recommendation engine is designed to be a helpful shopping companion rather than an intrusive advertisement. While the company has not detailed the specific algorithms, systems like these typically analyze a mix of product attributes, sales trends, and even contextual data to generate suggestions. The goal is to answer the shopper's unspoken questions: What wine pairs well with salmon? What ingredients do I need for a margarita? Which is the best-value cabernet? By providing instant, relevant answers, the technology enhances the shopping journey instead of interrupting it.

This shopper-centric philosophy is a cornerstone of the partnership. "BJ's understands the importance of both [different adtech and different content], and has been an amazing partner in designing member-centric experiences, helping set a higher bar for in-store engagement," Johnson added. The success of this approach was validated in a multi-year pilot with Kroger, which yielded a 98% customer satisfaction rating and demonstrated that shoppers welcome guidance when it is authentic and helpful.

The In-Store Retail Media Gold Rush

Looma’s expansion with BJ’s is the latest development in what many analysts call the next frontier for advertising: in-store retail media. While online retail media networks operated by Amazon, Walmart, and Instacart have captured billions in ad spend, the physical store remains a largely untapped resource. This is especially true in the grocery and wholesale sector, where over 86% of sales still occurred in person in 2024, yet in-store media accounted for less than 1% of total retail media ad revenue.

This gap represents a massive growth opportunity, and investors are taking notice. Looma recently secured $10 million in Series B funding to fuel its national expansion, bringing its total funding to $30 million. The company's network has grown exponentially since 2023, expanding from 800 to over 7,000 screens across 1,100 retail locations, reaching an estimated 27 million shoppers monthly. Its partners include a growing list of industry heavyweights like Kroger, H-E-B, Harris Teeter, and Total Wine & More.

The financial returns are proving compelling for both retailers and brands. According to Looma, retailers using its platform have seen category sales lift by 1-3%, while end-cap productivity has more than doubled. For the brands advertising on the screens—including giants like General Mills, P&G, Coca-Cola, and Diageo—the results are even more striking, with reported sales lifts between 20% and 80%. Critically, advertisers are seeing an average incremental return on ad spend (iROAS) of approximately 4x, a metric that measures impact across the entire sales funnel from awareness to conversion.

Beyond the Billboard: Crafting Content for the Point of Decision

A key differentiator for Looma is its deep focus on content strategy. The company recognizes that the kind of advertising that works on television or social media often fails at the store shelf. Shoppers in the aisle are mission-oriented, and effective content must be educational, tell a compelling story, or solve an immediate problem.

"There's tremendous energy in in-store retail media right now, but too much of it is focused on applying a digital advertising framework to the physical world," Johnson explained. "In-store media requires different adtech and different content."

To meet this need, Looma founded Relay™, its global network of independent filmmakers, editors, and creators who specialize in producing content specifically for the point of decision. Instead of repurposed TV commercials, the screens feature short, engaging videos that might tell the story of a winery's founder, demonstrate a cocktail recipe, or explain the tasting notes of a particular product. This approach transforms a simple screen into a powerful storytelling and educational tool, building brand affinity and providing genuine utility to the consumer.

Executing this vision is operationally complex, requiring tight coordination between the technology provider, the retailer's merchandising teams, and store operations. Johnson acknowledged this challenge, stating that "end cap and in-aisle screens are much harder to execute." However, the payoff is a far more integrated and effective experience that elevates the entire category and builds shopper trust, turning a transactional moment into an engaging one.

Event: Corporate Finance
Theme: Generative AI Digital Transformation Artificial Intelligence
Sector: Software & SaaS AI & Machine Learning
Product: AI & Software Platforms
Metric: Financial Performance
UAID: 11744