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All eyes are on streaming. Last year, non-pay TV viewers surpassed traditional pay TV viewers in the US, per our forecast. Years of streaming platform proliferation are over, yielding to consolidation and fragmented ad measurement. Bundles between streaming platforms and partnerships with retail media platforms are forming, leaving media buyers with a headache over how to strategize.

As retail ecommerce penetration and spending continue to rise, technology companies, media purveyors, and retailers are all trying to influence how current and future generations of shoppers will purchase goods and services. Social media platforms have arguably done more to shape this change in consumer behavior than any other kind of company.

Work with retail media networks that partner with high-quality publishers in order to ensure quality off-site ad placements. This was originally featured in the 蘑菇AV Daily newsletter. For more marketing insights, statistics, and trends, subscribe here.

On a July 28 earnings call, Procter & Gamble CFO Andre Schulten emphasized retail media鈥檚 position as one of many marketing strategies.

Though retail media encompasses categories across the retail landscape, grocery remains at its core, with four out of five largest US retail media networks being connected to CPG or grocery sales of some kind, per our forecast. This was originally featured in the Retail Daily newsletter. For more retail insights, statistics, and trends, subscribe here.

With no shortage of spending options, advertisers weighing whether to invest in TMNs will be considering what travel companies can do better or at a better value than comparable channels. First-party data, captive audiences, and a diverse array of ad inventory are some components of the travel media value proposition.

The world鈥檚 biggest advertisers converged at Cannes Lions last week. At the festivities, marketers discussed everything from AI (it鈥檚 everywhere) to retail media (it鈥檚 growing). Other hot topics included the creator economy, which people are optimistic about, and data privacy, which has people more concerned. Here are some hot quotes overheard at Cannes.

Retail media is the fastest-growing ad channel we track in the US, growing by 26.0% this year. Its share of total US media spend will reach 14.1% this year, and come 2028, nearly 1 in 5 ad dollars spent in the US will go to retail media. But the channel has the potential to grow even more. Here are four key factors that present challenges to retail media growth right now.

鈥淎nother looming source of competition are retail media networks, where advertisers can reach buyers directly鈥� via Amazon, Walmart, and Instacart, she notes. These businesses represent the third wave of digital advertising after search and social media, and are increasingly vying for the same ad dollars Meta is trying to attract.

But since then, advertisers have invested more heavily in private marketplaces and closed ecosystems like social media platforms and retail media networks (RMNs), which fall under programmatic direct. Direct pathways are all the rage.

Walled garden spend share is being dragged down as the duopoly of Meta and Google becomes less dominant, and retail media networks have not yet made up for this dip. We don鈥檛 include search ads in our definition of programmatic digital display ads. If we did, walled gardens would likely continue winning share of programmatic spend, as noted in our 鈥淧rogrammatic Ad Spending Forecast Q3 2023鈥� report.

77% of US advertisers incorporate on-site ads as part of their retail media strategy, according to a February 2024 report by Skai and Path to Purchase Institute.

Retail media works. For 77% of US organizations, retail media has either met or exceeded KPI expectations, according to a December 2023 survey from Skai and the Path to Purchase Institute. Only 3% say it had little or no impact on desired objectives.

What this means for retail media networks: This data highlights the importance of the consumer/retailer relationship and shows that retailers鈥� owned channels remain a vital part of the retail media mix. RMNs can use this to secure additional retail media investment from advertisers. US retail media ad spend will grow 26.0% to reach $54.85 billion in 2024, per our forecast.

In fact, its 21.2% growth rate in 2023 will outpace that of retail media networks (20.5%). But social video is no longer the biggest growth driver in digital video ad spending. That title belongs to connected TV (CTV), which will grow 27.2% in 2023. Mobile dominates social video ad spending.

Amazon Prime will make up 53.1% of US paid retail membership fee revenues this year, according to our estimates.

Pacvue expands beyond retail media to offer retailers a holistic ecommerce solution: The goal is to provide some consolidation in a highly fragmented, competitive marketplace.

The world of retail media is always changing. Here鈥檚 what has caught our eye over the past few months.

Amazon鈥檚 advertising division ranked highest in our Power of Amazon in 2023 report. Its retail ecommerce division, Amazon鈥檚 biggest business by dollars, lost share between our initial rankings in 2021 and our current forecast.

Our expanded Latin America retail and ecommerce coverage now includes breakouts for 16 markets across Mexico, Central America, and South America. Brazil and Mexico will drive the bulk of net new ecommerce sales this year with a combined regional market share of 75.2%.

Retail media has provided a glimpse into what the future will look like, offering a seemingly straightforward way to access first-party purchase data for activation and measurement, in lieu of opaque, third-party data from aggregated sources. However, retail media networks aren鈥檛 the only option for marketers in search of a sustainable solution.

We expect spending on these and other retail media ads will increase by 20.5% this year. More like this:. 5 retail media networks worth watching. Microsoft鈥檚 Bing takes on Google with new chatbot answers and DALL-E image generator. Reddit enhances advertiser experience with ads manager updates ahead of potential IPO. Netflix鈥檚 ad-supported tier reaches 1 million monthly active users.