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The Rufus ads, I think, are tremendously interesting. I mean, Gen AI and chatbots is just not a space that we've seen ads yet. And to see Amazon waste really no time at all weaving ads into it, I think, is very notable and a clear sign that they see this as the way in which consumers are going to shop Amazon going forward. Sara Lebow (12:57):. Yeah.

The news: MrBeast (real name James Donaldson), the most popular creator on YouTube and a children鈥檚 consumer goods entrepreneur, has spent the last few months dealing with wave after wave of controversy. Most recently, Donaldson and Amazon were named in a class-action lawsuit from contestants on the upcoming game show 鈥淏east Games,鈥� set to launch on Prime Video later this year.

Quick-service restaurants can show ads to shoppers running morning errands; entertainment brands can promote TV shows, concerts, and sporting events; ride-sharing apps can run ads next to the beer aisle on weekends, or during bad weather; local auto dealers can run ads for pickup trucks in the lumber aisle; and telecoms can run ads in the smartphone and tablet aisle.

Consumer packaged goods (CPG) video ad spending will also grow quickly as companies double down on branding. CPG will increase video spending by 22.9% YoY in 2024 to reach $17.07 billion. Growth will slow to a market average of 14.9% in 2025. Technology and media will lead in video ad spending growth in 2025. Both will increase ad spending by more than 17%.

The store is no longer the only place where consumers can discover and shop for consumer packaged goods (CPG) products. Younger generations are finding products via search and social media, while Amazon Prime Day offers shoppers the opportunity to stock up on essentials for less.

Retailers can optimize CX and generate more ad revenues. Ecommerce optimization draws on traffic data to landing pages, ad experiences, product detail pages, and checkout flows to create a detailed purchase funnel.

Consumers may be concerned about the economy, but the outlook is good for ad spend in the final months of 2024. The share of advertisers concerned about a slowing US economy dropped 11 percentage points (from 49% to 38%) between November 2023 and August 2024, according to the Interactive Advertising Bureau (IAB). Retail media鈥檚 popularity, an influx of value-based messaging, high political ad spend, and connected TV (CTV) monetization will boost the ad industry the rest of 2024.

An advanced ecommerce market in the UK means retail鈥檚 digital ad outlays are comparatively outsize. Retail will spend 拢1.89 billion ($2.33 billion) more on digital ads this year than the next largest industry, consumer packaged goods (CPG), will. Travel is still bouncing back hard from its pandemic crater.

Consumer packaged goods (CPG) brands have attempted to break into D2C ecommerce in recent years, to varying degrees of success. How can they avoid unprofitable strategies and develop a viable D2C ecommerce channel?

It is also examining how it could present ads to consumers in key areas within its stores, such as pharmacy, entry points, or checkout. Our take: Building Ahold Delhaize鈥檚 in-store retail media business at scale will take time given the basic realities that upgrading in-store tech is expensive, attribution models are complicated, and unproven formats risk adding friction to the customer experience.

US CPG Industry Ad Spending 2024(蘑菇AV subscription required). Methodology: Data is from the Placer.ai report titled "Quarterly Retail Review: Q4 2024." Placer.ai analyzes 1.5+ billion monthly visitors across 20 million devices, 13+ million venues, thousands of segments, and 500+ mobile apps. Placer.ai is a location analytics and foot traffic data company.

At the same time, CPGs must continue to invest in product innovation and marketing in order to find new ways to draw shoppers to their brands, and keep those customers loyal. Go further: Read our report on US CPG Ad Spending 2024.

The big takeaway: Consumers鈥� frustrations over higher costs of living are fueling their dissatisfaction with CPG brands and the broader state of the economy鈥攄espite the fact that inflation is easing and real wages are rising. Inflation fell to 3% in June, helped by falling gas prices, per the Labor Department.

Amazon dominates retail media advertising. Amazon will capture 75.2% of the $45.15 billion US retail media advertising market this year, more than 10 times that of No. 2 Walmart Connect. Amazon Ads is even closing the gap with Google and Meta. The newest digital ad powerhouse is making the duopoly sweat, capturing 12.9% of the US digital ad market this year (behind Google鈥檚 27.1% and Meta鈥檚 19.5%).

Retailers in France will plough more into digital ads than any other industry, by some distance. This sector will spend nearly twice as much on digital ads this year ($1.82 billion) than the second-biggest spender, CPG ($0.98 billion). The automotive industry will invest the least in digital ads in 2023. Big-ticket purchases like cars always face scrutiny by consumers during a downturn.

To get the best deals, advertisers must keep abreast of these changes and look for discounts. Which trends should advertisers monitor to succeed in OOH? Traditional outdoor ads are here to stay. 蘑菇AV two-thirds of OOH ad dollars will go toward traditional placements through the end of our forecast period. Although the future is digital, advertisers should keep static billboards in their arsenal.

Roblox wants to be an ecommerce platform: After a pilottesting physical goods sales with Walmart and E.l.f. Beauty, the gaming platform sees big potential in online sales.