The news: Best Buy announced a partnership with Amazon Ads to give advertisers access to more CTV ad inventory and AI-powered campaign planning and measurement tools.
Zoom out: Best Buy is one of several retailers upgrading their retail media networks (RMNs) to strengthen their appeal to brands and advertisers.
Taken together, the moves show that RMNs are focused on providing better measurement and more granular customer insights—a requirement for being able to compete in a crowded market.
The partnership opportunity: While retail media ad spending continues to grow at a solid clip, RMNs face stricter scrutiny as they try to compete more directly with more established channels like paid search and social media. As EMARKETER principal analyst Sarah Marzano noted in our latest Commerce Media Ad Spending Forecast, these channels benefit from more established measurement standards, mature infrastructure, established planning frameworks, and advertiser familiarity.
By contrast, most commerce media networks are in the early stages of their development, putting them at an operational disadvantage as advertisers seek greater clarity and return on their investments.
That disparity has created an opportunity for companies with established ad businesses—like Amazon and Instacart—to forge mutually beneficial partnerships with smaller commerce media players. These deals give retailers access to more sophisticated ad infrastructure that more closely parallels what brands are used to in other channels, enabling them to deliver a stronger pitch to advertisers.
Implications for retail media: While retail media continues to grow at a healthy clip, momentum is shifting in favor of other commerce media networks: We expect nonretail networks to account for a steadily larger share of total commerce media spending into 2030, reflecting higher standards for RMN spending as well as stiffer competition for ad dollars from commerce intermediaries, financial institutions, and travel companies.
To avoid falling behind—and losing even more share to players like Amazon and Walmart—retailers need to develop stronger measurement, campaign planning, and data tools. Companies also need to better communicate the value of their data and offer brands actionable insights.
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