5 Key Trends Shaping Retail Media in 2025

Retail Media isn’t slowing down — and here’s why that matters.

Let’s start with the obvious: Retail Media is not losing momentum. As the market continues to grow, Retail Media Networks (RMNs) are becoming increasingly valuable for brands vying for consumer attention during their shopping journeys.

But why exactly is this growth so pronounced, not just locally, but on a global scale? And what makes this advertising segment such a powerful force in the world of e-commerce?

Let’s dive in! 👇

What's Retail Media?

Retail Media is an advertising model based on the assets of retailers. In simple terms, it refers to advertising placements integrated within the online ecosystem of retailers, including product suggestions, banners, and other formats.

These placements blend seamlessly into the look and feel of a retailer’s website or app, offering curated recommendations to shoppers.

This provides brands with access to high-intent audiences who are actively searching for products. At the same time, retailers have the opportunity to monetize the attention of users who may not yet be ready to make a purchase.

Retail Media doesn’t stop at online platforms. It also includes off-site formats — meaning retailers serve personalized ads outside their platforms, still targeting high-intent shoppers. In all these cases, the retailer becomes a publisher, offering brands access to valuable media space.

Of course, this is just the tip of the iceberg. To explore the full ecosystem of Retail Media, check out our comprehensive article on the topic!

The scale of Retail Media: It’s here to stay and grow

The global Retail Media market has already surpassed $100 billion in value, and annual growth is predicted to remain in the double digits.

The U.S. leads the way, with RMN budgets growing faster than social media or traditional display advertising.

Europe is catching up, with booming RMN activity, especially among large e-commerce players. A clear shift in ad spend is already visible, with Retail Media gaining traction.

It’s only a matter of time before smaller retailers join the ecosystem as well.

So what’s shaping the future of Retail Media?

1. Retailers will move beyond their inventory

Retail Media Networks open new revenue streams beyond product sales. While monetizing media won’t replace transaction revenue, it’s becoming an independent and increasingly important source of income for retailers.

In 2025, this trend is accelerating, with more RMNs unlocking access to stable, long-term advertising budgets.

Why is this happening?

Because today’s purchase journey is multi-layered. A user landing on a retail website or app isn’t necessarily ready to buy — they might still be researching or looking for inspiration.

Retailers attract high-intent traffic, making them ideal partners for brands seeking a qualified, valuable audience.

2. First-party data as a major competitive edge

In 2025, even though Google has walked back on some cookie deprecation plans, the industry’s shift away from third-party data is already in motion.

Consumers demand privacy. Brands and platforms understand that first-party data — collected directly with user consent — is becoming the most valuable marketing asset.

Retail Media thrives here. Thanks to close connections with login environments and purchase behavior, RMNs have direct access to high-quality, consented data — something many other channels can’t offer.

What does that mean for brands?

• Precision targeting based on real purchase intent
• Less reliance on unstable third-party sources
• Better compliance and higher consumer trust

Clean rooms are also on the rise — secure environments where brands and media partners can combine first-party data in privacy-safe, fully controlled ways. This unlocks even more relevant targeting, without sacrificing user privacy.

💡Retail Media Ninja is a long-time AWS partner. You can learn more about clean rooms in our joint webinar!

3. Measuring beyond ROAS

ROAS (Return on Ad Spend) is still a key metric — it shows how much revenue each ad dollar delivers. But in 2025, marketers can’t afford to wait for end-of-campaign reports.

They need real-time insights — ones that go beyond basic KPIs. That’s the only way to enable quick reactions and smart campaign optimization.

What matters now:

• Realtime data — instant, no-lag insights
• Accurate attribution — knowing exactly which action drove what result
• In-flight optimization — adjusting campaigns as they run, not after
• Broader context — indirect signals that inform better targeting and performance

Retail Media Networks that invest in robust first-party data frameworks will lead the pack in 2025. In-house measurement tools and transparent data access are critical for both retailers and advertisers.

In a world where data is currency, those with fast, secure access will win.

4. Programmatic is a growth engine, but not the only way

Programmatic buying — the automated purchase of ad placements — is the go-to method for scaling Retail Media campaigns. It enables fast launch, precise targeting, and dynamic budget control.

Many RMNs are developing their own SSP and DSP platforms, giving brands more strategic control.

But programmatic is just one model. In practice, collaboration can take many forms:

• Fixed deals — for specific timeframes (e.g., month, quarter, season)
• Custom deals — tailored to brand goals and available RMN inventory
• Hybrid models — combining automation with hands-on strategy

As RMN activity grows, the need for standardization rises in data, performance metrics, and reporting. Brands want unified workflows across Retail Media, Commerce Media, Social, and Search.

In 2025, the winners are those who offer:

• Interoperable systems
• Streamlined processes — from planning to reporting
• Flexible partnership models — adapted to brand-specific needs

Because scale isn’t just about tech — it’s also about ease of execution and strategic agility.

5. Ad formats are evolving fast

In 2025, we’re seeing rapid innovation in ad formats designed natively for the shopping experience, on both web and mobile.

These aren’t disruptive ads — they’re context-aware formats that align with each step of the purchase journey.

Example formats:

• Sponsored Product Ads — placed directly in search results and category pages
• Sponsored Display Ads — featured in high-visibility spots with relevant context
• Video/GIF placements — in feeds, themed sections, or product pages
• Coupons & special offers — shown next to items or in the shopping cart
• Branded content — articles, recipes, how-to guides featured on the retailer’s site
• Shoppable media — interactive videos or lookbooks with direct purchase options

Why does this work?

These formats:

• Fit naturally into the shopping environment — less disruptive, more helpful
• Increase engagement and drive conversions — reaching users with high intent
• Touch multiple stages — from discovery to checkout, and even post-purchase remarketing

The result is a complete, integrated ad experience — one that fully supports both user needs and brand goals.

Retail Media isn’t a trend – it’s the new standard in e-commerce

Rising investments, expansion beyond owned inventory, the power of first-party data, and the growing need for instant access to campaign performance – all point to one thing: Retail Media is no longer just an experiment for the biggest players. It’s a mature advertising channel that meets today’s market and consumer demands.

In 2025, Retail Media will increasingly become the foundation of marketing strategies, not just a supporting channel. Brands that realize this today will gain a competitive edge tomorrow.

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