We’ve reached a pivotal moment in the evolution of retail media networks: Now that the biggest big-box players have spent years proving out the value of monetizing their online audiences, fresh attention is being focused on in-store retail media.
According to Emarketer, U.S. in-store retail media spend is set to hit $1.06 billion by 2028 — rising from a projected $370 million in 2024 (up 31.9% year-over-year) and $540 million (up 46.5% year-over-year) in 2025. Nearly tripling spend in the space of four years is undeniably impressive, but given that the overall retail media market is projected to top $100 billion by 2027, there’s obviously a lot more upside for in-store’s share of the pie.
As Emarketer’s Meaghan Yuen puts it, “Almost all (99.3%) of retail media ad dollars will be put toward digital channels this year, per our March 2024 forecast. … However, the majority of retail sales (83.7% this year) will occur in brick-and-mortar stores, highlighting an opportunity for retailers to integrate more digital media into their customers’ in-store buying journey.”
“At Quad, we think the current projections about in-store retail media network growth are extremely conservative,” says Kevin Bridgewater, Quad’s Senior VP of Strategic Retail Solutions. “Marketers are realizing that there’s a massive disconnect between where the overwhelming majority of sales are taking place — in physical stores — and where brands have been able to reach consumers digitally. Until recently, there just hasn’t been enough inventory, but with In-Store Connect by Quad, we’re massively scaling the opportunity for brands to buy the in-store environment.” (More on In-Store Connect below.)
CPG marketers in particular, Bridgewater notes, “are thrilled to be able to fish where the fish are biting, and to be able to do so digitally, dynamically and at scale.”
In “The retail media network revolution 2.0: How in-store RMNs are changing the game for retailers and CPG brands,” a new Quad Insights guide, we take a deep dive into why there’s so much momentum behind in-store media right now. Among the key factors:
The big national retail media networks may not cover all the consumers CPG marketers need to reach
In our new guide, we parse the latest data that shows how local and regional retailers — particularly grocery retailers — are holding their own and continuing to attract a critical mass of loyal shoppers.
Consumers are already merging their e-commerce habits with their brick-and-mortar shopping behaviors
Consumer survey data shows that grocery shoppers are already turning to digital screens — their mobile devices — to optimize their in-store journeys, doing everything from researching ingredients to looking for discounts and promotions. In-store digital media is about proactively giving consumers the information they want — right there, in real time, at the shelf — without them having to search for it on their devices.
In-store RMNs are about more than just prompting “impulse shopping”
We examine why the best use of in-store retail media networks is not to “trick” consumers into buying something, but to meet them where they are in terms of their lifestyles.
Effective in-store RMN execution is about the marriage of art and science
In-Store Connect by Quad is a purpose-built hardware and software system that seamlessly integrates into retail environments. And it leverages the fact that as a marketing experience (MX) company that works with more than 2,700 brands across every conceivable sector, Quad has been working closely with retailers and CPG marketers for decades. For instance, as part of our MX suite of solutions, Quad serves more than 20,000 retail locations nationwide with custom in-store materials. Our omnichannel solutions empower retailers and CPG marketers to generate value for their brands, the customers in the aisles and their own bottom lines.
Want to learn more? Download “The retail media network revolution 2.0: How in-store RMNs are changing the game for retailers and CPG brands” from Quad Insights today. You can also email the In-Store Connect by Quad team — and meet us in booth A1010 at Groceryshop in Las Vegas, Oct. 7-9.
