Ten years ago, a brand’s ad budget went to TV, Google and Facebook. Today, a growing share goes somewhere else: inside the stores where people actually buy. When you see a “Sponsored” product at the top of an Amazon search, a banner on Walmart.com or a promoted item in your Instacart cart, you are looking at Retail Media.
I’m Alonso Jiménez, a Retail Media account director. I manage campaigns on Amazon, Walmart, Target, Instacart and Mercado Libre every day, for brands in the US, Mexico and Latin America. In this guide I explain what Retail Media is, how it works, which retailers matter in the US and Latin America, how it differs from Google and Meta, and how a brand should get started.
⚡ THE ESSENTIALS IN 20 SECONDS
- Retail Media is advertising sold by retailers and marketplaces, shown inside their sites, apps and sometimes stores.
- It runs on real purchase data and measures results all the way to the sale.
- In the US the main networks are Amazon Ads, Walmart Connect, Target Roundel and Instacart; in Latin America, Mercado Ads, Amazon and Walmart.
IN THIS ARTICLE
What Retail Media is
Retail Media: advertising sold by a retailer or marketplace that lets brands reach shoppers inside the retailer’s own channels (search results, product pages, apps, emails, in-store screens and offsite audiences) using the retailer’s first-party shopping data.
You will also hear Commerce Media, a broader term that includes any company with commerce data selling ads: delivery apps, travel sites, payment companies and more.
How it works
The retailer knows what people search for and buy.
Brands show ads to the right shoppers at the moment of purchase.
The sale happens in the same place, so results are measurable.
Retail Media reaches people when they are about to buy, not when they are scrolling for fun.
The main Retail Media networks
| Market | Network | Strengths |
|---|---|---|
| US | Amazon Ads | Largest scale, Sponsored Products/Brands/Display, DSP, Amazon Marketing Cloud |
| US | Walmart Connect | Huge store footprint, onsite and offsite, omnichannel measurement |
| US | Target Roundel | Strong guest data, premium audiences |
| US | Instacart Ads | Grocery and household at the moment of the cart |
| Mexico / LatAm | Mercado Ads | Largest marketplace in Latin America |
| Mexico | Amazon.com.mx and Walmart Connect Mexico | Growing marketplaces with familiar ad formats |
If you sell across borders, I cover the practical side in how US brands can expand to Mexico and how Latin American brands can enter the US.
Retail Media vs Google and Meta
| Google / Meta | Retail Media | |
|---|---|---|
| Where | Search engines and social feeds | Inside the retailer, at the point of purchase |
| Data | Browsing and interest signals | Real purchase and search data from the retailer |
| Measurement | Clicks and conversions off-platform | Sales measured where they happen |
| Role in the funnel | Create demand | Capture and convert demand |
They are not competitors: Google and Meta create demand, and Retail Media captures it where the purchase happens. The best strategies use both.
Key metrics
- ROAS: sales ÷ ad spend.
- ACOS: ad spend ÷ ad sales (the inverse of ROAS).
- TACOS: ad spend ÷ total sales, to see the effect on the whole business.
- New-to-brand: share of sales from customers who had not bought your brand recently.
- Incrementality: sales that would not have happened without the ads.
To control investment over the month, read Amazon Ads pacing.
How to get started
- Start where you already have sales and distribution.
- Fix your product pages first: images, titles, reviews, price and stock.
- Launch search ads on your best products, separating brand and generic campaigns.
- Measure ROAS, TACOS and organic rank, not just ad sales.
- Scale to display, video and offsite audiences once search is profitable.
Retail Media amplifies what is already working. If a product page doesn’t convert, ads will only help it fail faster.
The shelf moved online, and Retail Media is how brands rent the best spot on it.
Agency secrets for Retail Media
What we apply in the accounts we manage.
We audit listings before raising budgets.
Separate campaigns so brand ROAS doesn’t hide generic performance.
We invest where the category and the shopper actually are.
Search first, then display, video and offsite.
We report TACOS and total sales, not only ROAS.
The brands that grow fastest are the ones that treat Retail Media as a sales channel with its own strategy, not as an extra line in the marketing budget.
Conclusion
Retail Media is advertising inside the stores where people buy, powered by real shopping data and measured to the sale. Start with search ads on your best products, fix your listings, measure the right metrics and expand across retailers as you prove profitability.
Want a second opinion on your strategy? Let’s talk or see my services.
Frequently asked questions
What is Retail Media?
It is advertising sold by retailers and marketplaces, shown inside their sites, apps and stores and powered by their shopping data.
What are examples of Retail Media networks?
Amazon Ads, Walmart Connect, Target Roundel and Instacart Ads in the US; Mercado Ads, Amazon and Walmart in Mexico and Latin America.
How is Retail Media different from Google Ads?
Google helps create demand on search engines; Retail Media captures demand inside the retailer, with purchase data and sales measured where they happen.
How do I start with Retail Media?
Start where you already sell, fix your product pages, launch search ads on your best products and measure ROAS and TACOS.