Predictions
Marketers will reallocate ad dollars to bottom-funnel performance ads on retailers’ digital properties, as they face mounting pressure to deliver solid returns on investments. Budgets for linear TV and traditional search engines will shrink as a result.
Offsite targeting solutions will become a vital part of retailers’ ad offerings this year, as the need to find newer pockets of value intensifies. Prominent players like Amazon, Mercado Libre, Rappi, and Walmart de México y Centroamérica (Walmex) already offer brands the ability to programmatically buy ads on and off their websites. Others will likely follow suit as competition for ad dollars heats up.
Brick-and-mortar will be retail media’s next frontier. As in-store sales return to—and even exceed—their pre-pandemic levels, retailers like Walmex and Cencosud are quickly turning their physical stores into monetizable media assets. Brands can now place advertising on in-store digital screens, in parking lots, on shopping carts, and in shopping aisles.