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Even as the number of displays decline, US in-store retail media ad spend, which includes promotional displays, is on the rise, projected to jump 35.3% this year for a total of $370 million, per our October 2023 forecast. Use this chart:. Strategize retail media spend on in-store displays. More like this:. 3 recent developments in in-store retail media.

Retail media ad spending is on track to surpass TV. Yesterday鈥檚 Chart of the Day: Get smart. Methodology: Estimates are based on the analysis of estimates from other research firms, consumer media consumption, device adoption trends, company reports, primary research and interviews.

Amazon Prime Video will introduce ads to its streaming content starting on January 29. The move will leverage Amazon鈥檚 existing ad business and first-party retail media data to deliver ads on video content, something the company already does on Freevee and Fire TV. Here are five charts to prepare advertisers for this change.

If the 鈥凌别迟补颈濒 Media 1.0鈥� era was primarily about search-driven ecommerce, then Retail Media 2.0 (with credit to Peter Moustakerski) will be about moving up the funnel and across retail channels

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.

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.

Retail spending on ads is coming off an enormous growth spurt. Retailers鈥� total media ad spending will surpass $100 billion in 2024 for the first time, nearly double the $51.66 billion spent in 2019.

Amazon Fresh could get a refresh to conquer the grocery market, Finesse uses AI to reduce fashion waste, and Claire鈥檚 leans on content to engage Gen Zalphas. Meanwhile, Macy鈥檚 downsizes, e.l.f. Beauty aims to go viral, and Walmart makes strides in media. Here are six retailers that are most likely to makeover, reinvent, go viral, and more, as predicted by our analysts in a recent 鈥淩eimagining 搁别迟补颈濒鈥� podcast episode.

While the retail media opportunity is massive, it requires reaching consumers across a growing number of channels and adapting in real time. Google鈥攚hich receives billions of searches daily鈥攃an help capture new demand, and turn that demand into purchases, by bringing in valuable first-party data to a brand鈥檚 retail media program.

Marketplaces are still the leading place where people start shopping, which is good news for retail media ad spend. Retail media accounts for a growing portion of US search ad spend, reaching 28.8% this year, per our October 2023 forecast.

Walmart was the biggest US retailer by US sales in 2022 with nearly $500 billion in sales, more than double the size of runner-up Amazon, according to the National Retail Federation.

Cost, lack of third-party verification, limited on-site ad space, and limited activation options are some of the top challenges brands and advertisers in the US, France, Germany, and the UK face when using retail media networks (RMNs), according to an August 2023 DoubleVerify study.

The travel and retail industries will post healthy digital ad spending growth figures this year, but many other verticals we track will underperform compared with the national growth average. Next year is looking better for almost all of them.

Budget Amazon retail media ad spend. Explore the most useful channels outside of Amazon. More like this:. Amazon Prime Day 2023 (Insider Intelligence subscription required). How Amazon Prime Day and other July sales events will drive in-store sales, from Target, Walmart, and Best Buy. Amazon, with more Prime users than ever, will top $8 billion in US Prime Day sales.

Though on-site search and display remain retail media鈥檚 bread and butter, off-site advertising鈥攑lacing ads in channels outside of a retail media network鈥檚 (RMN鈥檚) own properties鈥攚ill lead the next evolution due to its ability to expand advertisers鈥� reach and achieve upper-funnel goals like increasing brand awareness.

Building a retail media network (RMN) requires a major investment in time, talent, and money. While the largest retailers have these resources, independent and regional retailers often may not.

Does a set of standards devalue retail media networks鈥� walled gardens? Unilever is trying to convince the industry that it doesn鈥檛, and is urging competitors to come together.

As search behaviors continue to shift away from traditional search engines, retail media and social platforms will likely pick up more lower-funnel spending. With or without a TikTok ban, Snapchat is poised to capture more ad spending in 2025 as new ad formats like Sponsored Snaps and Promoted Places ramp up.

As more retailers recognize the value of leveraging their first-party data, the global retail media market will continue to expand and innovate. While the US leads the charge with $45.15 billion in spending this year, according to our forecast, other regions are showing similar patterns. In fact, Latin America is only four to five years behind the US, said our analyst Matteo Ceurvels on our 鈥淏ehind the Numbers: Around the World鈥� podcast.