In this op-ed brought to you by Nick Hinsley, chief revenue officer, Zitcha, retail media is put on the chopping block. Hinsley warns that retailers must evolve or risk being left behind.
The US market offers a glimpse of what’s to come for retail media around the world, and the message is clear: retailers must evolve or risk being left behind. Whether it’s adopting self-service models, building omnichannel capabilities, or integrating trade and marketing teams, the key to success lies in agility, innovation, and a relentless focus on the customer experience.
From Managed To Self-Service
The US retail media networks have historically relied on managed service models, but they’re beginning to hit a ceiling in growth. The shift to self-service retail media is now seen as the next logical step for scalability, efficiency, and better monetisation. This has massive implications for retail media in Australia where the self-service model is still nascent, but could quickly accelerate if retailers here want to keep pace, empower advertisers, drive higher margins, and streamline operations.
Going Full Omni
While e-commerce has traditionally been the primary focus for many US retailers over the past decade, it’s starting to plateau and there are rapidly accelerating plans to maximise value across their retail media channels, in particular their physical stores – enter in-store retail media. Omnichannel is now being talked about in ways not seen before in the US, and a trend that’s getting hotter by the day.
This is one area where Aussie retailers are ahead of the curve. Most of the major retail players are already taking a holistic approach to retail media, recognising that an integrated approach drives greater value and enhanced customer experience across their network ecosystem.
The Single View
US retailers are obsessed with the idea of a ‘single pane of glass’- a unified view of their retail media networks, spanning online, in-store, and even across partner channels. The goal is clear, gain visibility, enhance measurement, and drive attributable results. The race to crack this code is on, with no one having quite nailed it yet, but the direction is clear.
The days of fragmented data silos are numbered. With brands demanding more accountability and measurable outcomes, the future lies in a consolidated, transparent retail media strategy that can deliver real-time insights and optimise spending.
The Convergence Of Trade, Marketing & Media
Perhaps one of the most interesting dynamics happening in the US is the growing convergence of trade, marketing, and retail media teams. In the past, retail media was largely an afterthought, bolted onto e-commerce operations. Today, it’s becoming a core part of retail strategy. Trade marketing teams, merchandising, and CMOs are starting to collaborate more closely, realising that retail media isn’t just a bolt-on – it’s a critical revenue stream.
In APAC, this integrated approach could be a game-changer. As retailers look to build more sophisticated media networks, they’ll need to ensure that all parts of the business – from merchandising to marketing – are aligned and working towards the same goals. It’s a shift in thinking that could redefine the role of retail media across the region.
The Scale Conundrum
One of the recurring themes in our conversations was the sheer scale of US retail networks and how that is slowing the push to omnichannel. For example Walgreens in the US has more than 8,250 stores. But our smaller physical store footprint offers more agility. Where US retailers are bogged down by the complexity and cost of rolling out new in-store media solutions, Aussie retailers can pivot faster, test solutions more easily, and scale in a more controlled manner. This nimbleness is a competitive advantage, and it’s something retailers need to leverage as they build out their retail media networks.
As the most advanced retail media market, the US offers a glimpse of the future. While Australia is much smaller, an ability for retailers to be agile, embrace omnichannel strategies, and organise and unify their internal retail media operations, will allow them to stay ahead of the curve. The future of retail media continues to belong to those who move fast.
