蘑菇AV

Ultimately, Amazon鈥檚 ad platform appeal lies in its capabilities: full-funnel attribution, real-time optimization, and access to high-intent shoppers, all anchored by rich first-party data and integrated tools. This allows brands to precisely target, measure, and convert across channels, often generating double-digit gains in sales and efficiency.

With Amazon accounting for 76.7% of the US retail media industry鈥檚 $60.81 billion in ad spend, smaller retail media networks (RMNs) have to innovate to differentiate themselves in the longtail of the marketplace.

Retail has come off its lengthy run of outperforming overall US ad spending growth. While growth will dip below the average for all industries in 2024, the pace is set to pick up again in 2025 and 2026.

ROAS is a widely used metric for advertisers to understand the effectiveness of their campaigns, and newly added data to Industry KPIs shows YoY changes in ROAS by industry. We recently added several important metric benchmarks to Industry KPIs, including cost per click (CPC) and ecommerce ad spend.

The second-largest digital advertiser among industries will post strong ad spending growth in 2024, but deceleration is on the horizon, and its various subcategories have starkly different outlooks.

Retailers looking to capitalize on retail media鈥檚 growth opportunities need to understand the market developments, formats, and challenges shaping ad spending in Latin America.

Social commerce is gaining momentum in the UK鈥攚ith sales set to double by 2028鈥攁s major brands join TikTok and as more people shop on social platforms.

A competitive ecommerce market has propelled retail digital ad spending to the top of the rankings. Digital ad spending overtook traditional in France in 2022 for the first time. Retail has led the way, though. Domestic retail brands like Carrefour and E.Leclerc have been growing their digital presence for many years.

Our first-ever worldwide forecast for retail media ad spending shows enduring momentum and lots of good news for Amazon and other ecommerce platforms around the world.

The ecommerce giant has led the market in France and the UK, too, but more substantially in Germany; in terms of retail ecommerce sales in 2024, for example, Amazon will account for 45.1% of the total, versus just 24.1% and 24.8% in France and the UK, respectively.

After an unexpectedly solid 2023, the good times will continue for ad spending in most US industry verticals in 2024. Telecom will lead in growth, and numerous categories will outpace their 2023 increases. A few unusual results are on tap as well.

This deck provides an in-depth analysis of the home furnishings sector in ecommerce, including forecasts for sales growth, digital ad spending, and KPIs. It also highlights consumer shopping behaviors, spending trends, and the growing influence of social media.

Companies large and small will net hundreds of billions in US incremental ecommerce and digital ad dollars in the next two years. Who will be the big winners?

The UK is only behind China when it comes to retail ecommerce as a proportion of total retail sales. That鈥檚 why retail will be 拢1.98 billion ($2.46 billion) ahead of the pack when it comes to digital ad spending, at 拢6.74 billion ($8.38 billion). Digital growth in other industries is affecting retail鈥檚 market share, though.

As retail media鈥檚 share of digital ad spending continues to grow, brands that have not yet sorted out how their national, trade, and shopper dollars fit together will fall behind their competitors. Smaller RMNs will have to get better at telling their story. Small- and midsize advertisers remain open to experimenting with RMNs.

An example of the latter is Amazon Prime Video targeting using shopping history on the ecommerce platform. Additionally, retailers are opening their media networks to non-endemic buyers (brands that don鈥檛 usually sell through the retailer property but offer related products that appeal to certain user behaviors). In-store ad inventory also represents a growing opportunity.

Commerce media is expanding in terms of numbers of players, but ad spend patterns remain the same.

That will be more than ad spending on all RMNs besides Amazon and Walmart, which will grow a still-healthy 33.2% over the same period. While some of this growth will come from incremental spending among advertisers, most commerce media networks are currently vying for shopper marketing budgets that RMNs have claimed with little competition.

This is the first installment of our quarterly 鈥淎d Spending Benchmarks鈥� series, which helps ad buyers and sellers calibrate their spending and revenue mix against the market.