Mars United Commerce, formerly The Mars Agency, released its 2024 Retail Media Report Card Global Yearbook, offering a comprehensive analysis of the year’s top-performing retail media networks (RMNs) and the broader evolution of retail media. The complete 123-page report is available for download here.
Retail media continued its meteoric rise in 2024, cementing its status as a cornerstone of both commerce and brand marketing. This explosive growth underscores retail media’s unique value: its ability to deliver highly targeted campaigns and measurable results that transcend the limitations of traditional advertising.
As retail media networks expanded their capabilities, 2024 marked significant progress in audience targeting, measurement, and omnichannel integration. From the proliferation of offsite media opportunities to AI-powered solutions, the sector has evolved rapidly to meet the demands of increasingly sophisticated advertisers. Retail media not only has the potential to drive incremental sales, but also serve as a critical link in driving engagement across the entire purchase funnel.
That isn’t to say, however, that the road ahead is easy. Network fragmentation, inconsistent measurement standards, and budget constraints persist, prompting brands and networks alike to explore new solutions. These factors also set the stage for further transformation in 2025, as the industry builds on the momentum of the past year to navigate emerging trends and opportunities.
In this blog we’ll explore key retail media trends from 2024 and look ahead to what brands and advertisers can expect in 2025.
2024 was a pivotal year for retail media, marked by rapid innovation and expansion. As brands and networks align to address emerging opportunities and challenges, the stage is set for continued growth in 2025.
Retail media saw unprecedented growth in 2024, with global ad spending hitting $140B, solidifying its place as a leading advertising channel. In the U.S. alone, retail media spending reached $54.5B, representing one in every seven advertising dollars -- and it’s expected to more than double by 2028.
Amazon dominated the market, commanding a third of global retail media spending, or approximately $46.9B. Amazon Ads is also one of the most established RMNs and the only network covered in all four of Mars United’s Retail Media Report Cards. This rapid growth highlights the scalability of retail media and its appeal to advertisers seeking targeted and measurable results.
Retail media continued to expand beyond retailer-owned platforms, with networks increasingly partnering with external channels. Walmart Connect, for example, collaborated with NBCUniversal to launch shoppable TV ads during NFL broadcasts, bridging the gap between traditional and retail media. Offsite opportunities flourished, with networks like Kroger and Instacart leveraging platforms like YouTube and Meta to extend their reach. These developments allow advertisers to engage audiences throughout the entire shopper journey, driving incremental sales.
While online channels led the charge, in-store media also shone throughout 2024. Digital screens, interactive shopping carts, and at-shelf innovations created new ways to connect with shoppers at the point of purchase. For instance, Instacart introduced AI-powered Caper Carts to deliver personalized offers in real-time, while Kroger’s partnership with Cooler Screens enhanced in-store digital advertising. Although in-store media spending remains a small fraction of the overall budget, these innovations are vital for tapping into the 80% of CPG sales that still take place in physical stores.
2024 saw advertisers push for more precise targeting and reliable measurement, leading to significant advancements in these areas. Over 84% of brands prioritized granular targeting capabilities, while 89% demanded better metrics to evaluate ROI and incrementality. RMNs responded with tools like closed-loop reporting and real-time optimization, enabling brands to reach highly specific audience segments and adjust campaigns effectively. These enhancements have made retail media that much more valuable for brands looking to maximize their advertising impact.
AI has taken industries by storm, and retail media is no exception. In 2024, networks integrated AI to optimize targeting, automate bidding, and campaign personalization. Amazon and Walmart launched generative AI-powered search engines—the latter has also incorporated AI into its supply chain, utilizing “digital twin” technology to help streamline its inventory across 1,700 stores.
These challenges highlight some of the growing pains the evolving industry faced in 2024. Addressing these hurdles -- through standardized metrics, improved tools, and greater collaboration -- will be critical for networks and advertisers to unlock retail media’s full potential in the coming years.
One of 2024’s most pressing challenges was the fragmentation of retail media networks, particularly in regions like Europe, where 60% of buyers cited a lack of cross-network standards as a significant barrier to investment. Such inconsistency made it difficult for advertisers to compare performance or execute campaigns across multiple platforms effectively. While some aggregators and third-party solutions emerged to address this issue, network fragmentation remains a hurdle for achieving scale and efficiency in retail media campaigns as we head into 2025.
Advertisers increasingly called for better measurement tools to evaluate retail media performance, but standardization lagged behind. Despite efforts by organizations like the IAB to establish universal metrics, many brands still expressed concerns over inconsistent reporting and limited transparency from networks. In 2024, metrics like incremental sales and profit-adjusted ROAS gained traction, but the lack of a unified framework across regions hindered brands’ ability to assess true campaign performance.
Retail media growth largely relied on reallocating existing marketing budgets rather than securing incremental investments. This led to internal challenges for brands, as budgets remained siloed between brand marketing, trade, and ecommerce teams. The complexity of navigating these gaps often delayed decision-making and limited the flexibility needed to shift resources to retail media, preventing some advertisers from fully capitalizing on its potential.
The rapid growth of RMNs increased complexity for advertisers. From onboarding new platforms to managing campaigns across disparate systems, brands struggled with inefficiencies. Smaller networks typically lacked robust tools for targeting and measurement, making it harder for advertisers to execute and scale campaigns effectively, while insufficient self-service tools left some brands dependent on managed services -- and therefore, without the flexibility to adjust campaigns.
As retail media expanded across onsite, offsite, and in-store environments, balancing advertiser needs with the shopper experience became challenging. Some networks faced criticism for overly intrusive or irrelevant ads that disrupted the customer journey. The question remains: how can brands ensure that ads are both targeted and non-intrusive while aligning with shopper intent? Answering this question in 2025 will be essential to maintaining trust with consumers and driving long-term engagement.
Retail media in 2024 showcased remarkable growth and innovation, solidifying its position as a vital component of modern advertising. Key trends like the expansion into offsite and in-store channels, advancements in audience targeting and measurement, and the integration of AI technologies demonstrated the industry’s adaptability and its value to advertisers. These developments not only unlocked new opportunities but also set a foundation for an increasingly dynamic retail media landscape in 2025.
However, this rapid evolution also highlighted challenges the industry is still facing in the new year: fragmented networks, inconsistent measurement standards, budget constraints, and operational inefficiencies. Addressing these issues will require greater collaboration between networks, advertisers, and industry organizations to build standardized tools, streamline processes, and ensure campaigns remain both impactful and shopper-friendly.
As retail media continues to mature, understanding these trends and overcoming these challenges will be crucial for brands and retailers aiming to maximize its potential. By learning from the successes and lessons of 2024, the industry is well-positioned to embrace new opportunities entering 2025.
Are you ready for the next evolution of retail media?
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