IAB Europe’s 2025 Retail Media Report Highlights Market Maturity and Challenges

IAB Europe’s 2025 Retail Media Report Highlights Market Maturity and Challenges

IAB Europe Report Spotlights European Retail Media Maturity, Challenges

The latest IAB Europe Attitudes to Retail Media Report (2025) offers an insightful overview of the evolving retail media landscape across Europe. Conducted with participation from key industry stakeholders including retailers, brands, agencies, and technology providers, the report reflects views from over 250 respondents. It provides a strategic perspective on investment trends, challenges, and measurement approaches shaping the market.

Key Trends Driving Growth

The report signals increasing maturity within European retail media, with a noted shift in strategic priorities. Retailers and brands are actively activating first-party data to improve targeting accuracy and campaign relevancy. There is a marked rise in diversified partnerships beyond traditional retail on-site channels. Off-site advertising and emerging channels such as social commerce and connected TV are receiving growing investment. This trend reflects efforts to broaden reach and impact, leveraging multiple touchpoints within the consumer journey.

Persistent Hurdles Remain

Despite growth prospects, fragmentation continues to challenge the industry. The lack of unified standards and measurement frameworks hinders seamless campaign planning and evaluation. This fragmentation affects both buy-side and sell-side players, making it difficult to compare performance uniformly across platforms. Standardisation of data and metrics remains a top concern, requiring coordinated effort to promote transparency and efficiency.

Measurement and Future Focus

The report highlights the predominance of Return On Ad Spend (ROAS) as the leading metric for measuring retail media effectiveness. However, there is increasing interest in assessing campaign incrementality to better understand incremental value beyond direct sales impact. Transparency and performance remain significant buyer priorities. Looking ahead, the industry anticipates a growing need for comprehensive omnichannel measurement solutions that integrate online and offline data, helping advertisers optimise across complex consumer pathways.

In summary, the IAB Europe 2025 report underscores both the advancements and challenges in the European retail media market. Its findings serve as a valuable guide for professionals aiming to navigate the evolving landscape and capitalise on emerging opportunities.