Retail media is the fastest-growing ad channel we track in the US, growing by 26.0% this year. Its share of total US media spend will reach 14.1% this year, and come 2028, nearly 1 in 5 ad dollars spent in the US will go to retail media. But the channel has the potential to grow even more. Here are four key factors that present challenges to retail media growth right now.
Summer is just getting started, but it’s already back-to-school season for parents. As of mid-June, nearly a quarter (24%) of US adults have already begun back-to-school shopping and another 45% will start sometime before the end of July, according to a March 2024 survey from LTK. As retailers roll out their back-to-school campaigns, here are three tips to keep consumers engaged and spending.
Five Below is using price cuts to appeal to low-income households, while Bath & Body Works is leveraging its loyalty program to keep customers coming back. AI is a valuable tool for Stitch Fix, helping the company to optimize its inventory. Here are three key stats from each retailer’s most recent earnings and what they mean for the industry at large.
Mobile proximity payments—those made in-store via mobile wallets—will grow as they continue building a feature ecosystem that binds payments to users’ daily commerce.
US retail sales soar past our prepandemic forecast: 2024 sales will be 18% higher than we thought in February 2020 as consumers’ resilience shows no signs of slowing.
The market for high-priced EVs is tapping out and EV sales growth is declining. Manufacturers need to slash prices to compete in this stalling market.
Shein’s rapid growth puts it firmly in regulators’ crosshairs: The fast-fashion retailer’s 40% sales growth in 2023 is driving governments worldwide to protect their local apparel industries.
Albertsons adds non-endemic ads: Retail media expands its ambitions as the category matures.
They make it easier to update payment information. The added convenience should prove popular
Millennials and Gen Zers especially demand more customized rewards
How to classify BNPL loans and whether to mandate credit reporting are still up for debate
Nearly half (48%) of US adults abandoned their online shopping cart at checkout because the extra costs (shipping, tax, fees) were too high, per a February 2024 survey from Baymard.
By focusing on deals, value, and experiences, retailers can build a perception of value that resonates with discerning consumers. “The unremarkable retailers and brands are going to struggle because consumers are only spending when it's enjoyable, when they derive some pleasure from the purchase,” our analyst Zak Stambor said on the ”Behind the Numbers” podcast.
Costco is late to the retail media party: The retailer is bulking up its ad capabilities to capitalize on the boom, but may not be able to catch up to Sam’s Club and BJ’s.
UK retailers seek damages over Amazon’s use of seller data: Sellers on its UK marketplace are seeking £1 billion in damages for the retailer’s alleged anti-competitive behavior.
Walmart knows it’s hard to find good help: That’s why the retailer is offering new training programs and certifications to fill high-demand roles across its business and providing hourly workers with bonuses.
The Attune World Elite Mastercard may not gain top-of-wallet status, but it offers a compelling value proposition
The plans give customers more flexibility in how and when they make their repayments, which should help Affirm attract more users
Larger retailers are showing a willingness to be more combative as they push back against swipe fees
In-store retail media ad spend will reach $1.06 billion by 2028, accounting for 0.8% of all retail media spend, according to our March 2024 forecast.