Thursday, February 6, 2025
HomeMarketingRegardless of challenges, entrepreneurs say retail media is the channel of alternative

Regardless of challenges, entrepreneurs say retail media is the channel of alternative


Entrepreneurs are nonetheless dealing with challenges in retail media networks (RMNs), however greater than 90% say it’s the only most essential channel for his or her campaigns, a brand new report discovered.

The report from Skai, The State of Retail Media 2025 (registration required), completed in collaboration with The Path to Buy Institute, relies on a survey of entrepreneurs at U.S. client product manufacturers, producers and companies.

Ninety-two p.c stated retail media was a very powerful main retail channel, a double-digit enhance from the earlier 12 months. The rise got here regardless of one-fourth of entrepreneurs citing difficulties integrating retail media with different digital channels and 32% having issues about ROI.

Different findings from the Skai report embody:

  • Solely 24% report totally integrating retail media with different channels, with price range constraints and operational silos hindering progress.
  • Measuring incrementality continues to be a precedence, with 56% of these surveyed now reporting proficiency, a 26% enhance from final 12 months. 
  • Client items entrepreneurs are more and more prioritizing platform consolidation, with 57% emphasizing its significance. 
  • AI utilization inside retail media is rising as nicely, with 42% reporting excessive maturity. 
  • 94% recognized vital alternatives in utilizing related TV (CTV) as a part of their retail media combine.

Dig deeper: 2025 is the 12 months for B2B manufacturers to embrace CTV

A separate examine from TransUnion, additionally in collaboration with The Path Buy Institute, discovered 70% of corporations plan to extend retail media budgets in 2025. 

The 2025 Annual Traits Examine discovered comparable retail media challenges, comparable to scale, focusing on and measurement, which stay key obstacles to broader use of RMNs.

Within the TransUnion examine, 80% stated retail media is as efficient or more practical than different digital channels. Whereas annual commerce budgets have historically fashioned the premise for retail media budgets, the survey discovered 70% of retail media spending was incremental to these annual budgets.

The examine discovered vital variations in retail media networks throughout the trade. On common, manufacturers had been 3.4x extra more likely to charge the most important nationwide retailer platforms as glorious or superb in capabilities associated to scale, focusing on and measurement.

Manufacturers at the moment work with a median of eight retail media networks, the report discovered, with 49% partaking with not more than 5 networks. Nationwide retailer platforms lead in adoption, reflecting their aggressive benefit in focusing on, traffic-driving, and measurement capabilities. 

Dig deeper: Retail media networks: What you have to know

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