蘑菇AV

Consumers aren鈥檛 just looking for deals鈥攖hey鈥檙e looking for brands they can trust. Nearly 80% of consumers say they鈥檇 be more likely to try a new retailer if it appeared in their bank鈥檚 rewards program, according to a new report from 蘑菇AV and Chase Media Solutions.

Brands will find enhanced opportunities to target customers as Amazon鈥檚 retail media network (RMN) expands its offerings into social channels and connected TV (CTV) with shoppable ads. TV and social media were the top channels in which beauty ads drew audience attention, per an April 2024 CivicScience survey. The beauty path to purchase is becoming more complex.

On this special edition podcast, we explore how top brands master commerce media鈥攃hoosing the right networks, weaving in existing channels, and optimizing for maximum impact. 蘑菇AV鈥檚 Sarah鈥疢arzano hosts InfoSum鈥檚 Senior Vice President, Sales, North America, Marc鈥疌estaro and Kettle鈥�&鈥疐ire鈥檚 Senior Director, Media and Omnichannel, Niccol貌鈥疓loazzo in this live panel from 蘑菇AV鈥檚 May 9th virtual summit, Commerce鈥疢edia鈥疶rends鈥�2025. Listen everywhere you find podcasts, or watch on YouTube and Spotify.

Smaller retail media networks (RMNs) vie for limited spend. Amazon and Walmart account for 84.2% of US retail media ad dollars, per our November 2024 forecast, leaving other RMNs competing for a small slice.

They're exploring machine-to-machine marketing, bigger influencer budgets, and retail media opportunities. Marketers are challenging Gen Z assumptions with new research. Why it mattered: This year, marketers have raced to learn more about younger consumers and how to best appeal to Gen Z sensibilities.

The news: Instacart defied the gloomy retail landscape with an upbeat forecast for Q2, after reporting its best order growth in over two years. Orders rose 14% YoY to 83.2 million, handily beating the consensus estimate for 81.1 million. Advertising and other revenues also climbed 14%, outpacing total revenue growth of 9%, a trend the company credited to growing interest from brands big and small.

A large portion of the remainder of search ad revenues will go to retail media networks, primarily Amazon鈥檚. By media: Social network mobile advertising will grow quickly thanks to the rapid growth of video ads. In our limited tariff scenario, social media mobile ad spending will reach $98.45 billion in 2025, a 12.9% YoY increase.

Evolve retail media networks (RMNs) to support AI-driven shopping. Enhance structured product data, ensure seamless integration with AI agents, and prioritize performance-based ad placements. High-quality product feeds and robust analytics will be essential to help brands stay visible and competitive in an increasingly automated retail environment. Ensure AI agents truly remove friction and add value.

Hy-Vee promotes head of retail media to be CMO: The fast-growing sector is providing a new path to corporate leadership.

Over 9 in 10 US marketers plan to promote creator partnerships via retail media networks in 2025, according to a 2024 LTK and Northwestern University study. Use this chart: Marketers can use this chart to strategize and identify influencer partnerships that align with consumer preferences.

Social platforms and retail media networks are building the tech into their search offerings, blurring lines between search, social, and commerce. At the same time, Google and OpenAI are expanding their influence by partnering with smaller players that don鈥檛 have their own genAI models. Advertisers must hurry up and wait for genAI to revolutionize search. Google is forcing genAI search adoption.

Amazon鈥攖he largest driver of spending in this channel鈥攈as recently seen modest retail media revenue growth relative to its past performance. As a result, we have revised our retail media forecast down from where it was in H1 2024.

In January, the most interesting retailers capitalized on New Year鈥檚 trends like resolutions, lower-alcohol consumption, and an influx of holiday returns. Poshmark and Sephora introduced new partnerships, while Amazon and Temu increased their own retail media-related offerings. Here are the eight most significant retail developments of January 2024, ranked by their potential market impact.

The economy is still under pressure, but investment in digital advertising will continue apace. Retail will continue to lead the ranking for total spend. Travel will lead in terms of growth, followed closely by CPG and retail.