The Shift to Full-Funnel and Off-Platform
By mid-2025, retail media is clearly evolving beyond the traditional on-site advertising model. Retail Media Networks (RMNs) are expanding their reach into off-platform channels such as connected TV (CTV), social media, and programmatic advertising. This shift reflects advertisers’ growing desire to engage consumers throughout the entire purchase journey, not just at the point of sale on retailer sites. Leveraging retailer data across these broader channels requires RMNs to develop significant scale and data capabilities to offer comprehensive full-funnel solutions.
Measurement is Key and the Role of Amazon
Effective measurement has become central to retail media’s next phase. Advertisers increasingly demand robust, closed-loop analytics that connect media exposure directly to business outcomes beyond traditional metrics like return on ad spend (ROAS). Metrics such as customer lifetime value and household penetration are gaining prominence. Amazon’s Advertising Measurement Cloud (AMC) stands out as a leading platform enabling this deep measurement, setting a benchmark in the industry. Retailers like Walmart and Instacart are pursuing partnerships and technology improvements to close the gap and provide similar capabilities.
Advertiser Scrutiny and Blurring Budgets
Advertiser expectations of RMNs continue to rise with a focus on clear, demonstrable results. Budgets across brand advertising and shopper marketing are becoming more integrated, reflecting a strategic move toward unifying media spend for consistent consumer engagement. Within this environment, advertisers are less tolerant of prolonged test-and-learn cycles that do not guarantee outcomes, particularly on smaller or emerging retail platforms. This scrutiny is pushing RMNs to advance their measurement sophistication and performance to maintain advertiser trust and investment.
Conclusion
The second half of 2025 presents a critical phase for Retail Media Networks to prove their value with comprehensive full-funnel offerings and measurable impact. Success will depend on their ability to match the measurement and performance standards set by dominant digital platforms such as Meta and Google. As advertiser demands intensify, RMNs must demonstrate not only expanded reach but also accountability and ROI tied to concrete business objectives.
