Retail media networks (Retail Media Networks, or simply RMNs) have become a valuable asset for brands and retailers. According to a new report by Criteo, produced by Coresight Research, “Retail 2025: 10 Trends Shaping the Retail Media Market,” available in English, the global retail media market will total $179.5 billion in 2025, representing a robust year-over-year growth of 15.4%. Third-party data, advances in AI (artificial intelligence), and closed-loop attribution are expected to drive rapid growth.
In recent years, more retailers have launched RMNs due to their high margin potential, which, as per the report, is estimated at 70% in gross margin. Brands are increasingly investing in RMNs due to the first-party data from retailers that enable them to create and deliver highly targeted and personalized advertising campaigns. Advanced technologies such as AI and machine learning are further amplifying the value of this data, revealing new insights that help brands maximize the benefits of RMNs.
Retailers have a significant opportunity to increase RMN profits in 2025. However, this will require significant actions to differentiate one network from another as competition intensifies. According to the Criteo report, retailers, advertisers, and tech companies will need to focus on these 10 trends to maximize RMN opportunities beyond 2025:
Innovation and Technology
- AI (Artificial Intelligence) to provide automation and next-gen ad personalization
- Programmatic advertising to drive operational efficiency across all RMNs
- Ad formats will continue to expand
- Strategic partnerships to unlock growth off-site
Market Changes
- Retail media in-store will continue to be a “test and learn” channel
- Retail media will reinforce its position as a full-funnel advertising tool
- Retail media will drive primary data enhancement
Data and Measurement
- Building trust and transparency will be more critical than ever for RMNs
- Standardization of measurement to gain attention
- Emerging RMNs will disrupt the retail media ecosystem
“Retailers that are seeing the most growth and have weathered the storm of inflation and consumer spending pullback with the least impact are those that have intelligently diversified their revenue streams and invested in advanced retail media networks,” says Coresight CEO Deborah Weinswig.
“AI enhancements have the potential to revolutionize retail media and will be the driving force behind the next big leap in the field, creating new opportunities for brands and retailers,” says Tiago Cardoso, Managing Director for Latin America at Criteo. “AI-based algorithms will enable prioritization of top-performing products and real-time bid optimization, maximizing ad spend efficiency and replacing mere impressions with measurable results. With advances in predictive AI and machine learning, brands will be better positioned to anticipate consumer behaviors and make real-time decisions.”
To get additional insights on each of these trends, check out the full report ‘Retail 2025: 10 Trends Shaping the Retail Media Market’ (available in English), by clicking here.