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鈥淲e have not been traditionally considered as a commerce tactic,鈥� said Adam Ross, sales director, commerce and retail media partnership at SiriusXM Media. But Ross said that鈥檚 changing thanks to partnerships with retail media networks.

Our newsletter team has already made a number of advertising and retail predictions, but now it鈥檚 time to combine the two. Retail media is still on the rise in the US (growing by a projected 28.6% this year), but competition is getting fierce. From commerce opportunities to consolidation, here鈥檚 what we expect to see from retail media in 2024.

The Fresh Market has created an entire retail media network to experiment with shoppable video, partnering with Firework on shoppable live commerce. 5. Retail media networks need to prove their worth. The top two barriers to retail media鈥檚 growth are poor return on investment (ROI) and the inability to prove incrementality, per a survey from Skai and BWG Strategy.

Subscriptions for nongaming in particular are a growing portion of in-app purchases (IAPs), while some apps with large user bases are looking to create their own payments and commerce ecosystems. Privacy restrictions on iOS and Android continue to tighten. So far, advertisers have adapted.

Go further: Read our analysis of Amazon's Q4 commerce performance.

There鈥檚 an increasing number of online marketplaces dedicated to secondhand luxury retail (including The RealReal and Depop), but brands like Balenciaga and Rolex are getting in the game too. Traditional secondhand retailers are also taking advantage of growing resale adoption, moving their services online to reach even more consumers.

Sellers spent 14% of their Prime Day revenues on Amazon ads, according to data from Momentum Commerce. Behind the stats: Prime Day has become more than a retail event for Amazon. The multiday discount period pressures Amazon merchants to spend heavily on advertising, making it a pillar of Amazon鈥檚 ad business, which will generate $34 billion in the US this year. The pressure to participate is rising.

Looking ahead to 2025, the convergence of generational shifts, technological advancements, and evolving consumer habits is reshaping the media and commerce landscape. A majority of Gen Zers are now in their 20s. Over half of Gen Zers (58%) will be in their 20s in 2025, according to the US Census Bureau.

Half of US digital media professionals say that social media holds the most potential for innovation and opportunity in the next 12 months, per a September 2023 survey by YouGov cited by Integral Ad Science.

Again, at a very high level, I look at IKEA and Walmart's move having to do more with recognizing commerce activity that's already happening online, but elsewhere and bringing it directly into their ecosystems, just capitalizing on, again, some of that resale activity that's already going on. And then ThredUp feels different to me, it feels more like a re-evaluation of their resale business model.

In January, Walmart partnered with Unity to integrate commerce APIs into games and apps, allowing users to purchase physical goods within the virtual world. Zoom out: The metaverse鈥檚 growth will be fueled by a combination of social gaming, digital twin services, remote collaboration applications, and advancements in augmented and virtual reality hardware鈥嬧��.

With the majority of retail sales still taking place offline, marketers are rethinking the in-store experience, attempting to combine the reach of physical retail with the engagement of digital channels via in-store retail media.

A separate study by Salesforce Commerce Cloud found that mobile faces an 85.0% abandonment rate compared with desktop at 75.0%. 鈥淓ven though there鈥檚 been an increasing amount of investment and emphasis on mobile, desktop still has an edge,鈥� Droesch said.

ByteDance isn鈥檛 just focusing on video, though, and is rolling out a number of lifestyle, commerce, and delivery features to create a super app comparable to Gojek or WeChat. Rather than compete directly with ByteDance鈥檚 large market control, Kuaishou is instead focusing on strengthening relationships with existing consumers, and targeting more 鈥渁dult鈥� sectors like home ownership and job hunting.

Amazon outperformed rivals during February 28 economic boycott: Industry KPI data shows Walmart's and Instacart's online traffic declined.

颁丑颈苍补鈥檚 digital ad sector grows 12.1% in 2024: Economic slowdown shifts ad dominance to platforms like Tencent and Pinduoduo.

A Lightspeed Commerce poll from mid-March showed that 91% of respondents are prioritizing Canadian products, 71% are willing to pay more for them, and 73% are boycotting major US retailers. 蘑菇AV 74% of respondents said they will keep supporting Canadian products even if US tariffs are lifted. Will cross-border purchasing tank? In all likelihood, yes.

Authenticity drives Brooklinen鈥檚 paid social success. 5 charts to help you craft your 2024 TikTok marketing and commerce strategies. How retail media, influencer integration, and tech partnerships amplify affiliate marketing potential.

It鈥檚 also important that the retail media network provides a connected commerce ecosystem. 鈥淭here鈥檚 great power in connected experiences, and connecting what鈥檚 going on organically on a retailer鈥檚 site to what we鈥檙e putting out in the open web ecosystem to what we鈥檙e doing in the store鈥檚 parking lot,鈥� said Witmer.

But while untethering Google and Chrome could lead to innovation across the ad industry, it would also introduce more fragmentation for marketers to navigate, according to Todd Parsons, chief product officer at commerce media platform Criteo.

Our take: There has been a frenzy of feature innovation in digital wallets as they try to expand beyond payments into everyday commerce enablers. Adding new features like Pool Money is therefore crucial for PayPal to stay competitive and maintain customer loyalty in the highly saturated market. We expect PayPal to have 217.3 million core users worldwide in 2025.

The 2025 takeaway: Amazon will remain integral to digital strategy, but in 2024, TikTok Shop emerged as another way for brands to connect with consumers, potentially stealing some share away from the ecommerce giant. If TikTok is banned, brands may rely more heavily on Amazon for commerce while supplementing their social strategies with Facebook or Instagram.