4 retail media predictions for 2024

Plus: Cost, lack of verification among the many retail media challenges This edition is made possible by Sam’s Club Member Access Platform (MAP) JANUARY 16, 2024 Retail media is set up for a good year. We project US omnichannel retail media ad spend will approach $60 billion this year. Keep reading for more predictions on what will fuel that growth. [4 retail media predictions for 2024]( Our newsletter team has already made a number of advertising and retail predictions, but now it’s 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’s what we expect to see from retail media in 2024. 1. Nonretailers will build out commerce media networks Omnichannel retail media ad spend will reach $59.98 billion in 2024, according to our October 2023 forecast. With so much money going toward this channel and an increased need for first-party data, other businesses will want in on the retail media action. Commerce media channels from companies that aren’t strictly retailers will emerge—like [Marriott International, which launched its media channel]( in 2022. We expect to see more travel and hospitality businesses and quick-service restaurants follow suit to take advantage of large digital and in-person audiences. Story continues below. 2. Not every RMN will be able to rise above the clutter and scale It’s difficult to keep track of just how many [retail media networks]( (RMNs) are out there right now. Most US advertisers (57%) say they don’t want to work with [more than four retail data partners]( according to The Trade Desk Intelligence. And the same percentage only prioritize working with the biggest and/or most relevant RMNs. The rest will either need to [forge data-sharing partnerships]( or will shutter, the way [Gap Inc.’s RMN did]( in 2023. 3. More RMNs will add self-service options for advertisers Over half (55%) of US advertisers reported that a lack of self-serve programmatic tools was a top challenge involved in using RMNs, according to a [May 2023 data from The Trade Desk and Material+](. In order to set themselves apart from the competition, we predict that some RMNs will follow in [The Kroger Co.’s footsteps]( and build out their self-service platforms for advertiser clients. Self-serve options may include budget optimization, customizable audience groups, or reporting and analytics tools—anything to help advertisers create more cost-efficient, targeted campaigns and better understand campaign performance. 4. A handful of ad tech partners will distinguish themselves as retail media must-haves Third parties will become invaluable partners, especially around data, measurement, and exploring new ad formats. Some partners will be used for data enrichment as third-party cookies are deprecated and retailers limit the amount of first-party data they share with advertisers. Others will help navigate the currently [murky waters of measurement and standardization](. For RMNs, media partners will help them branch out into new ad formats and provide more accurate data back to advertisers. [Read online]( [Retail media’s secret sauce: Leveraging membership models to improve advertising]( Sam’s Club’s rich collection of first-party data provides advertisers with insight into members’ shopping and purchase behaviors. This near real-time visibility, powered by Sam’s Club Member Access Platform (MAP), allows advertisers to meaningfully engage members along their shopping journey with content and offers that align with their interests. This article was contributed by Sam’s Club MAP. [Retail media’s secret sauce: Leveraging membership models to improve advertising | Sponsored Content]( [Read more]( [Cost, lack of verification among the many retail media challenges]( [Cost, lack of verification among the many retail media challenges]( Key stat: Cost, lack of third-party verification, limited on-site ad space, and limited activation options are some of the top challenges brands and advertisers in the US, France, Germany, and the UK face when using retail media networks (RMNs), according to an August 2023 DoubleVerify study. Beyond the chart: - We forecast omnichannel retail media ad spend will grow 28.6% this year to reach nearly $60 billion. - But this growth could be hindered by the number of hurdles brands face when implementing their retail media strategies. - Retailers can create more value for advertisers by offering new and innovative ad formats, sharing more data with them, and providing more activation support. - Retailers will also need to forge partnerships, like Walmart Connect’s partnership with NBCUniversal, to stay competitive, as noted in our “[Retail Trends to Watch in 2024]( report. Email sent to: {EMAIL} If you cannot view the HTML newsletter, [please read it in your browser here](. [Become a Premium Subscriber]( | [Advertise with us]( [Manage your email preferences]( | [Unsubscribe]( | [Terms of Use]( | [Privacy Policy]( ©2024 Insider Intelligence, One Liberty Plaza 9th Floor, New York, NY 10006 [LiveIntent Logo]( [AdChoices Logo](