Retail Media in 2025: Predictions From Skai Experts

Retail media is evolving rapidly, with technological advancements and changing consumer behaviors fundamentally reshaping how brands and retailers interact. From digital tools enhancing in-store shopping to the rise of AI-driven solutions, the retail media landscape is more dynamic and complex than ever.

To market effectively, it’s essential to understand these shifts. Knowing where the industry is heading informs not only strategic planning but also messaging and investments that resonate with consumer trends before they happen. Identifying these trends helps brands remain relevant in a competitive environment and seize new opportunities.

Today, three of Skai’s retail media experts—Megan Harbold, Nich Weinheimer, and Kevin Weiss—share their perspectives on what’s shaping 2025. From GenAI advancements to consolidation in retail media networks, their insights reveal the transformative trends poised to redefine the industry next year.

Predictions from Skai’s Megan Harbold

As Skai’s VP of Strategy & Growth, Megan Harbold brings a wealth of experience in developing cutting-edge retail media strategies that drive meaningful outcomes for advertisers. With a deep understanding of emerging trends, Megan specializes in helping brands navigate the complexities of omnichannel marketing and measurement.

Convergence of online and offline shopping experiences

The line between online and offline will continue to blur, with more physical retailers using digital media to drive in-store sales (and vice versa). Expect more sophisticated in-store media networks that allow for cross-channel campaigns, with personalized offers appearing on digital screens as a customer walks through a store. Advancements in retail technology are driving this evolution, redefining and amplifying the complexity of omnichannel media strategies and measurement.

GenAI retail search engines will bring a renewed focus on content optimization

Innovations like Amazon’s Rufus will move out of testing and into the normal behavioral flow of online shopping. Marketers will need to evolve how they keyword harvest, optimize product content, and contextually target in order to remain relevant as the models refine the definition of search. This will result in increased investments in technology to optimize product content and dynamically change content/creative as contextual targets are refined. Businesses leveraging GenAI are already experiencing these shifts.

Retail media networks will continue to expand beyond traditional retailers

Non-traditional retailers — such as travel, lifestyle brands, and media companies — will continue to create RMNs to tap into the margin-rich, growing advertising market. Eventually, this growth may slow, but in 2025, continued proliferation is still likely. This diversification will give brands new opportunities and add complexity, especially in budgeting decisions. Even as non-traditional players enter, leading players like Amazon and Walmart will continue to dominate the market.

There will be increased investment in measurement and attribution

An ongoing focus on measuring the effectiveness of campaigns across all touchpoints is expected. The level of maturity in measurement will grow as advertisers learn to make the move from measuring performance not just as profitability but incrementality. Expect to see more advanced attribution models (developed without retail media networks and provided by RMNs), as well as increased investment in technology and clean room expertise. Having a model in 2025 that fits an advertiser’s specific business will be critical to effective spending and remaining competitive. Advanced attribution approaches will be game-changing in this landscape.

Retail media networks will become more integrated with social commerce and influencers

Social media platforms will increasingly integrate with retail media strategies, making it easier for brands to advertise directly on social commerce platforms (e.g., Instagram, TikTok, etc.) while leveraging the same data-driven, targeted approach used in retail media. Audience and contextual targeting will become critical pieces of the RMN strategy, as will more creative ad experiences. Having an attribution solution will be critical in measuring the influencer strategy and earned media as a piece of the entire ad impact. Social commerce platforms are already proving vital for expanding these strategies.

Prediction from Skai’s Nich Weinheimer

As General Manager of Retail Media at Skai, Nich Weinheimer is a seasoned expert in retail media innovation and strategy. He specializes in helping brands navigate the evolving retail media ecosystem, with a focus on driving growth through consolidation, measurement standardization, and omnichannel strategies. Nich’s deep understanding of the intersection between traditional shopper marketing and digital retail media positions him as a leader in creating cohesive, data-driven approaches for today’s advertisers.

Consolidation of longer-tail retail media networks

Brands will press for continued consolidation of longer-tail networks as the cost of serving RMNs outside the top five by volume becomes unsustainable. Retail media networks outside the largest players often lack the scale and efficiency that brands require to justify their investments. As managing multiple small RMNs becomes increasingly resource-intensive, brands will push for consolidation to streamline operations, improve ROI, and reduce inefficiencies. The focus will shift toward fewer, larger networks that can offer robust targeting, measurement, and ROI, while leveraging technology and automation to manage mid-tier and smaller networks. The complexity of managing numerous RMNs is driving this trend toward consolidation.

Standardization of technology and measurement

The fragmented nature of retail media has led to inconsistencies in technology, ad formats, and performance metrics. As the industry matures, stakeholders will push for standardized tools, measurement methods, and reporting frameworks to simplify cross-network comparisons and optimize media planning. Brands will rely on technology solutions and data providers to develop unique measurement paradigms supported by a more standardized set of ad types, reports, and signals. Efforts like IAB’s Retail Media Measurement Guidelines reflect the push toward standardization.

Convergence of shopper marketing and retail media

Offline retail media is not the “next big thing,” but it will continue to play an essential role as traditional shopper marketing integrates with digital retail media. Organizations will increasingly blend traditional shopper marketing functions with digital retail media teams to create cohesive strategies that leverage both physical and digital touchpoints. This convergence ensures alignment across channels, supporting brand positioning and sell-through in physical stores while capitalizing on digital efficiencies. The integration of traditional and digital strategies is already fostering growth in this space.

Growth of omnichannel

OmniCommerce Media will accelerate as a core narrative and strategy within retail media networks. RMNs will expand their focus beyond lower-funnel tactics to include upper-funnel strategies like connected TV (CTV), programmatic display, and social media integration. These augmented traffic strategies aim to build awareness, drive traffic, and close the loop on attribution across the customer journey. Omnichannel strategies are increasingly critical for creating seamless customer experiences and leveraging first-party data across platforms.

Impact of the Omnicom and IPG merger

If the Omnicom and IPG merger is successfully executed, it could spark a wave of further consolidation in the retail media ecosystem. Strategic partnerships and M&A activity among tech providers, data platforms, and measurement companies would lead to fewer but more powerful entities dominating the space. This consolidation would simplify the landscape, offering brands end-to-end solutions while reducing competition. The proposed Omnicom and IPG merger highlights this potential shift in the ecosystem.

Predictions from Skai’s Kevin Weiss

Kevin Weiss, Skai’s VP of Retail Media, is a leader in retail media innovation, with a focus on integrating advanced technologies and data-driven solutions into advertising strategies. His expertise lies in leveraging emerging platforms and tools to unlock growth opportunities for brands within the retail media landscape.

We’ll see expanded data collaboration through retailer data clean rooms.

By 2025, more retailers will widely adopt data clean rooms to facilitate secure data collaboration with brand partners. This technology will enable brands to access aggregated and anonymized insights on path-to-conversion and audience targeting in a privacy-safe manner. The rise of these environments will also help retailers monetize their data assets more effectively and drive incremental revenue. We will likely see stringent data governance policies becoming the norm in ensuring these collaborations are compliant with data privacy regulations. Retailer data clean rooms are set to play a pivotal role in these advancements.

We’ll see retail media networks enhance their tech stacks

RMNs will significantly evolve their technology stacks, integrating artificial intelligence, machine learning, and programmatic advertising capabilities. These upgrades will provide brands with sophisticated targeting options and real-time analytics, making digital advertising more efficient and impactful. RMNs will position themselves as one-stop solutions for brands looking to utilize first-party data in their marketing strategies, challenging traditional advertising platforms. We will also see a rise in strategic partnerships and acquisitions aimed at bolstering RMN capabilities. Technological advancements in RMNs are already driving these improvements.

There will be a shift toward virtual and augmented-reality shopping experiences

Looking ahead, retailers will begin investing more heavily in virtual and augmented reality (VR/AR) to revolutionize shopping experiences. These technologies will allow consumers to interact with products in immersive ways, bridging the gap between online and in-store shopping. As a result, we could see virtual try-ons for apparel and accessories, 3D visualization of furniture and home goods, and even virtual stores where consumers can wander and make purchases. For this transformation to take hold, significant advancements and reductions in the cost of VR/AR tech would be necessary, alongside consumer adoption. AR and VR technology will play a significant role in reshaping these experiences.

Look for Incremental.com to be the solution provider of the year in 2025 within the retail media ecosystem

Thanks to its innovative approach to marketing measurement and attribution, Incremental.com will stand out as a crucial player in a landscape where measurement of iROI is increasingly vital. By offering sophisticated incremental measurement solutions, Incremental enables brands and advertisers to truly understand the effectiveness of their marketing efforts across various channels. Incremental’s strategic partnerships further amplify their impact, blending robust analytics and actionable insights. This synergy allows brands to optimize their ad spending, ensuring they can attribute success accurately and make data-driven decisions. Incremental’s role in marketing measurement underscores its importance in driving these outcomes.

As we move closer to 2025, expect a dynamic shift in retail marketplaces

More retailers will strategically launch and/or expand their marketplace offerings in an effort to emulate the success of retail giants like Amazon and Walmart. This trend is not just about diversification but also about capitalizing on the burgeoning growth of RMNs. By enhancing and broadening their marketplace capabilities, retailers can attract a wider array of sellers and end-consumers, creating a richer ecosystem. This will increase demand within the RMN and underpin growth. Retail marketplaces are evolving to become integral parts of these ecosystems.

2025: The Year Ahead for Retail Media

The retail media landscape is set for transformative changes in 2025, from the convergence of online and offline experiences to advancements in GenAI and AR innovations. Each trend represents an opportunity for brands to craft smarter strategies, invest effectively, and adapt to a dynamic environment.

Staying informed and adaptable will be the key to success as we move forward. With the right tools, insights, and partnerships, brands can thrive in this ever-evolving retail media ecosystem.

Skai’s retail media experts, including Megan Harbold, Nich Weinheimer, and Kevin Weiss, are shaping the channel’s future and driving the evolution of Skai’s Retail Media solution. Their deep expertise and forward-thinking insights are helping brands navigate the complexities of this rapidly growing space while unlocking new opportunities for growth and innovation.

For more information or to see our innovative platform firsthand, we invite you to schedule a brief demo with our team.