IAB projected that the advertising model would grow 550% in the country; Global ad Trends points out that the value will reach US$ 141.7 billion in 2024, worldwide
The predictions are confirmed: retail media has assumed a proportional role outside of global and phygital retail for brand businesses. It is also a new form of monetization for these networks that seek to improve the management of this channel and was one of the most intriguing agendas of NRF 2024. Research shows that the media modality is already the third option in global budgets.
According to Warc, this advertising format reached US$128.2 billion worldwide last year, and is expected to surpass this figure in 2024. The Global ad Trends report points out that this rise will remain constant, reaching the US$141 mark. .7 billion in 2024 and registering annual growth of 10.2%, which will place the medium as the third largest channel in terms of spending within a few years, taking the place of linear TV.
For 2025, the Dentsu global ad spend forecasts study predicts that the increase in advertising budgets will be 3.8% over the US$762.5 billion forecast for this year. Not to mention that advertisers’ marketing investments, along with media and agency fees, will surpass the US$1.1 trillion mark.
Digital is projected to maintain nearly consistent growth for three years, accounting for about $3 of every $5 spent on advertising worldwide, notes an analysis from Dentsu.
Without a doubt, the digital environment has contributed and continues to contribute to retail media being at the forefront of the three waves of digital advertising in the last 20 years, as emphasized by Eduardo Esparza, vice-president and general director of Tenerity in Brazil, one of the sponsors of the Retail Media Show, an event organized by Clube do Varejo with institutional support from Popai (Point-of-Purchase Advertising International) this April.
The use of retail media has been positive, with good opportunities for expansion. We recently published a white paper that covered the topic in great depth. With it, we realized that retail media has been a widely used tool in Brazil and has considerable growth prospects. In a survey carried out by IAB Brasil, last year, it was pointed out that advertising investments in this area would grow 550% by the end of 2023, with a great chance of reaching revenue of R$2.6 billion. Furthermore, we are increasingly noticing the adoption of retail giants, such as Grupo Po de Acar, which implemented the retail media strategy in its operations.
Another data, released last year by eMarketer, showed the results of retail media across Latin America. In relation to Brazil, for every dollar invested in Amazon ads, for example, there was a growth of US$21.41 in the first quarter of 2023, explains Esparza.
Read the full article in the propmark of 18 brown of 2024