The news: Walmart Connect, the retail giant’s ad tech platform, is making an ambitious push to extend its reach and improve its ability to gauge how social media and CTV ads influence consumers’ purchase decisions.
The latest moves are part of a broader effort by Walmart to distinguish its advertising offerings from the vast number of retail media networks competing in a growing market.
The context: Walmart’s share of US digital retail media net ad revenues is second only to Amazon. We expect Walmart will account for 6.2% of US digital retail media net ad revenues this year and that share will grow to 8.0% by 2024.
Understanding how consumers shop: While social networks such as TikTok and Snap have sought ways to drive social commerce sales, many of their efforts have failed to resonate.
The big takeaway: Walmart is wise to be focusing on expanding the reach of its advertising business. As the largest retailer in the US, it has unparalleled insights into how US consumers shop. One need look no further than Amazon, which generated more than $31 billion last year, to see the value of that type of massive data trove.
Go Further: Read our Retail Media Ad Spending Forecast here.
This article originally appeared in Insider Intelligence's Retail & Ecommerce and Marketing & Advertising Briefings—a daily recap of top stories reshaping the retail and marketing industries. Subscribe to have more hard-hitting takeaways delivered to your inbox daily.