Ad Technology

Retail Media: The Next Big Step in Advertising’s Evolution and how it will coexist with other media.

Date: August 29, 2025

If digital advertising were a TV series, retail media would be its newest season—fresh, exciting, and full of twists that keep the audience hooked. For years, brands relied on programmatic advertising to reach people across the open web, using cookies, data, and algorithms to decide which ad shows up where. That model isn’t going away, but something new has entered the spotlight: retail media networks.

What Is a Retail Media Network: Definition, Trends, Insights

So, what exactly is retail media? At its core, it’s advertising that happens directly inside retailers’ digital ecosystems—think banners on an eCommerce website, sponsored search results on an app, or even personalized product recommendations at checkout. It’s like running ads in the middle of a digital store aisle, right when a shopper is ready to make a decision.

This shift is more than just a trend. It’s the natural evolution of advertising in a world where privacy rules are tightening, third-party cookies are fading, and brands desperately need reliable ways to reach customers. Retailers, sitting on goldmines of first-party shopper data, are perfectly positioned to step in. They know who’s browsing, what’s being bought, and which products are likely to be added to the cart next. That kind of insight makes retail media incredibly powerful.

But here’s the key: retail media isn’t here to replace programmatic advertising—it’s here to co-exist and complement it. Think of it as a partnership rather than a competition.

  • Programmatic advertising still plays the role of broad awareness. It’s how brands cast a wide net, reaching people on news sites, blogs, and apps they use daily. It’s excellent for storytelling, brand building, and staying visible across the internet.

  • Retail media, on the other hand, shines closer to the point of purchase. It’s more about nudging than narrating—reminding someone of a product just as they’re shopping, or highlighting a new launch in the exact category they’re exploring.

Together, they cover both ends of the customer journey. Programmatic builds the buzz; retail media seals the deal.

And the future looks even more interesting. Imagine this: a consumer sees a sneaker ad on their favorite lifestyle blog (programmatic), clicks through, and later sees that same sneaker featured in the “sponsored” section of a retailer’s app (retail media). The experience feels seamless, not spammy, because both channels are working together instead of fighting for attention.

How Walmart search advertising is evolving to help Marketplace sellers drive more discovery and growth - Walmart Marketplacereta

For advertisers, this evolution is a win-win. With retail media, they get closed-loop measurement (did the ad lead to an actual sale?). With programmatic, they still get scale and reach across the open web. For retailers, it unlocks a new revenue stream without disrupting the shopping experience. And for shoppers? Ideally, it means seeing fewer irrelevant ads and more helpful, context-aware ones.

So, while the adtech world often buzzes about what’s “dying” or “disappearing,” the smarter way to look at it is this: advertising isn’t shrinking—it’s reshaping. Retail media is simply the newest chapter, growing alongside programmatic to create a more complete, data-driven, and shopper-friendly ecosystem.

The future of advertising isn’t about choosing one or the other—it’s about how well these two worlds can work together.

 

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