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Temu could try appealing to inflation-weary consumers by introducing the gamified, group-buying grocery shopping concept that made sister app Pinduoduo enormously popular in China.

PDD's international expansion through Temu highlights its ambitions beyond China. While the company has diversified from its early reliance on advertising revenues, its ad business continues to thrive from what management calls "higher user engagement and more compelling advertising product offerings.".

Temu and Shein’s strategy: The two Chinese retailers are fiercely competing while also trying to drive a lucrative holiday shopping season ahead of political changes that could significantly alter their US businesses. The incoming Trump administration has proposed increasing tariffs on Chinese imports by 10%.

In China, ecommerce channel ad spending represents over 38% of total digital ad spending, and ecommerce search spending accounts for 64.0% of total search. Could the US figures reach similar heights?

ByteDance’s non-China revenues grow 60%: TikTok’s ad and ecommerce prowess drive revenues despite regulatory headwinds in US and China.

As Latin America’s digital revolution marches on, advertisers and retailers must keep pace with how and where consumers are spending their time—and money—if they wish to maintain a competitive edge in today’s rapidly evolving business environment.

Why it matters: The rising B2B ad spending underscores the shift toward more digital touchpoints in marketing. These figures highlight the expanding global emphasis on digital platforms to reach B2B customers, particularly in emerging markets.

Amazon and its sellers are highly dependent on goods from China. In addition to pushing up operating costs, that will mean price hikes for consumers—some of which are already filtering through as third-party sellers take action.

Higher expenses and weakened demand could also curb seller ad spending, limiting Etsy’s revenue opportunities.

Omnicom, parent of BBDO and DDB Worldwide, benefited from ad spending for the Paris Olympics and the US presidential election. It also highlighted winning Amazon’s media account in the Americas.

China’s example would suggest that retail media has enormous headroom for growth in the US. Companies like Amazon have been growing their ad revenues by leaps and bounds, and yet ecommerce channel ad spending will still only represent 14.6% of the US digital ad market this year. In China, the share will be 38.1%.

But China has major players in the space, and Mercado Libre is a challenger in Latin America. Most spending will take place in the US or China, but Latin America will see the fastest growth. The US will deliver nearly $60 billion in retail media ad spending in 2024, and China’s ecommerce channel ad spending will reach nearly $55 billion.