Katie Coughlin, Associate Media Director
Matty Habersaat, Media Planner
At the recent Digiday Retail Media Summit in New York, one thing was clear: retail media has moved from a rising trend to an undeniable force. With more than 200 retailers now running their own media networks and global investment projected to hit $60 billion in 2025, it’s reshaping how brands connect with consumers and how retailers grow revenue. Walmart’s recent earnings call underscored the stakes: advertising now accounts for nearly a third of their operating income.
But while the category is still growing, expansion is slowing. What was once explosive is entering a new, more mature phase – one where scale alone isn’t enough, and differentiation, measurement, and consumer-first thinking become the true levers of success.
From Fragmentation to Integration
A common thread from the summit: the landscape is too fragmented. Each retailer’s network comes with its own audience, tools, and measurement framework, leaving brands to juggle multiple approaches. Leaders from Mars and RoC Skincare emphasized the same starting point: the consumer. Retail media strategies that begin with how people actually shop – whether that means impulse purchases, replenishment cycles, or curbside pickup – are better positioned to succeed.
The next evolution will depend on breaking down silos. Brands don’t want dozens of disconnected platforms; they want an ecosystem where planning, activation, and measurement feel seamless across partners.
New Growth Levers
With growth rates cooling, retailers are turning to new channels and tactics. Connected TV, “ownable moments”, and alternative placements are helping brands stand out while avoiding costly competition. At the same time, emerging disruptors like AI shopping tools are forcing both brands and retailers to rethink how consumers discover and purchase products – and how to keep ad dollars working in that journey.
Measuring True Impact: The Power of Incrementality
As retail media matures, the focus continues to shift from simple metrics like ROAS to understanding the incremental impact of campaigns – the value a campaign drives beyond what would have happened organically. Brands and retailers are investing in studies and measurement approaches that show how advertising actually moves the needle, rather than just attributing sales to impressions.
Closed-loop sales lift analyses, along with “in-flight” measurement that allows campaigns to be optimized in real time, are emerging as best practices. This approach helps brands answer the critical question: Which ad dollars are truly generating new sales or engagement, and which are just capturing what would have happened anyway?
Incrementality-focused measurement is becoming the gold standard for proving value, aligning brand and retail goals, and guiding smarter investment decisions in a complex, multi-network ecosystem.
The Road Ahead:
Retail media is at a turning point. The era of rapid expansion is giving way to a phase defined by collaboration, consumer-first strategies, and smarter measurement. Success will come to those who focus on understanding and engaging the consumer, integrating campaigns across platforms, exploring new channels, and measuring impact in ways that reflect true incremental value. The brands and retailers that can align around these principles will be best positioned to thrive in this evolving landscape.
