Amazon is testing ultra-fast delivery for fresh groceries and other household essentials in some areas of Seattle and Philadelphia. The service, called Amazon Now, allows shoppers in eligible neighborhoods to receive thousands of items in 30 minutes or less. While Amazon continues to invest in its brick-and-mortar grocery business, enhancing its ecommerce initiatives appears to be taking precedence. Speeding up delivery could help Amazon extend its foothold in grocery while keeping shoppers wedded to its platform, but our forecast expects its share of digital grocery sales to dip as Walmart, pure-play grocers, and intermediary delivery platforms grow their piece of the pie.

Kroger is overhauling its ecommerce strategy, closing three Ocado automated fulfillment centers after underperformance and leaning more on stores and third-party partners like Instacart, DoorDash, and Uber. Though initially costly, Kroger expects $400 million in ecommerce profit gains by 2026, helping fund price cuts and store improvements. The shift highlights the high cost of competing with Amazon and Walmart on delivery speed and the appeal of using delivery platforms' existing last-mile networks. The new model should cut costs, add flexibility, and support a stronger customer experience as online demand grows.

This benchmark covers how ad buyers can calibrate their retail media ad spending and budget allocations against the market, and how publishers and solution providers can assess whether their ad revenues align with industry trends.

Instacart has launched a new suite of AI-powered tools aimed at helping grocers deliver more personalized and efficient shopping experiences both in-store and online. The rollout includes features like Cart Assistant for customized recommendations, Store View for real-time shelf monitoring, and Agentic Analytics for data-driven insights. Instacart’s bet is that the more it can use emerging technologies to simplify life for both grocery shoppers and retailers, the stickier its platform will become.

Uber is pursuing aggressive cross-platform integration to boost revenue, noting that customers who use both its mobility and delivery services spend three times more and stay longer. With only 20% of users currently overlapping, the company is pushing its Uber One membership and personalized offers to bridge the gap. Delivery growth remains strong, with bookings up 24% YoY, and Uber is expanding into grocery and retail through partnerships with major brands and new promotions like “Fresh Days.” Overall, Uber’s record trip volumes and strong earnings outlook highlight sustained demand for convenience and position the company for continued growth.

Kroger and Uber are joining forces to expand their audiences and attract more incremental spending. Kroger customers will be able to order restaurant delivery—fulfilled by Uber—from the grocer’s website and app. Starting next year, Uber Eats users will be able to order groceries from Kroger’s 2,600-plus stores. Partnering with third-party delivery platforms offers pure-play grocers such as Kroger an opportunity to level the playing field with mass competitors like Walmart and Amazon. Deals like the one between Kroger and Uber will likely become more common as retailers look to reach high-intent shoppers and delivery platforms race to keep their competitors at bay.

The US government shutdown has entered its fourth week, becoming the second-longest in modern history and increasingly straining the economy. The travel industry alone has lost nearly $3 billion, while companies like Unilever are delaying major moves due to halted SEC operations. Grocers fear SNAP benefit disruptions that could hit Walmart and Kroger hardest. Oxford Economics estimates GDP growth could fall by up to 2.4 percentage points if the shutdown persists through Q4. With holiday sales already under pressure from weak confidence and high rates, the timing couldn’t be worse for retailers or consumers.

GoodRx is partnering with Kroger pharmacies to roll out a medication savings program for branded drugs, including Novo Nordisk’s Ozempic and Wegovy. Kroger has a great opportunity to market healthy food offerings through its grocery business to people picking up GLP-1 prescriptions at its pharmacy. This might involve pharmacist-led medication management, tailored marketing for store products that support GLP-1 use (e.g., high-protein, low-calorie, fiber-rich), and access to nutrition guidance and resources.

A leaked Adweek-reviewed file details how The Trade Desk partners with 49 retailers worldwide to sell ad placements built on shopper data. The document reveals steep markups and inconsistent rules: Albertsons charges up to 45% of media costs, Best Buy limits custom audiences, Costco sets $100K minimums, and Walmart imposes fees capped at $3.50 CPMs plus measurement charges. Other retailers add restrictions around ad categories or approvals. The leak highlights both the value and complexity of retail media as brands chase audience targeting tied directly to transactions. Transparency remains a challenge, with costs and conditions varying widely by partner.

Kroger has consolidated its retail media, consumer insights, and loyalty marketing capabilities under the Kroger Precision Marketing (KPM) brand.

Retail media is not just for retailers anymore. US commerce media ad spending is projected to hit $118.4 billion by 2029, growing at a 15.3% compound annual growth rate (CAGR), per a May EMARKETER forecast.

The news: Save A Lot introduced a new Hispanic-focused store format—its second—in partnership with Leevers Supermarket as it explores ways to build deeper connections with Hispanic consumers. The takeaway: The rationale for opening these stores is clear: Hispanic consumers wield increasing buying power and account for an outsize share of growth in categories like CPG, beauty, and food and beverage. By targeting these shoppers with formats and products best suited to their needs, grocers can win lasting loyalty.

Grocery delivery intermediaries like DoorDash and Uber are gaining ground, offering new ways to reach high-intent shoppers. Meanwhile, retailers like Walmart and Amazon continue to lead with strong delivery infrastructure and valuable customer data.

Retailers and brands are racing to deploy AI across the shopping journey, but trust, quality, and execution will define who wins.

SNAP rollbacks could shrink grocery baskets and curb discretionary spend: With household spending already under strain, further benefit cuts risk triggering a broader pullback in consumer demand.

Private label sales growth outpaced national brands last year: Consumers' growing appetite for value is driving grocers to elevate their brands to compete against established names.

Retailers that aimed to be media giants are hitting headwinds as ad growth slows. To stay competitive, retail media networks must rethink org structure, sharpen media skills, and plan smartly to thrive in a more challenging landscape.

Consumers’ value focus is an expansion opportunity for Costco, BJ’s: The two plan to open dozens of stores to capitalize on demand for warehouse retailers.

Private label is key to Kroger’s growth prospects this year: The grocer is relying on its owned brands to attract deal-seeking shoppers.