Retail Media: The Advertising Industry That Surpassed $150 Billion in Revenue
On one side, retailers who have realized their ability to monetize media. On the other, advertisers who have yet to recognize this massive audience. The global market for this type of media could reach $200 billion by 2025. To ensure consumer data privacy, Retail Media relies on Data Clean Rooms – investments in this tool have increased by 45% in Brazil.
São Paulo, March 2025 – If you work in advertising and still don’t understand what a Retail Media Network (RMN) is, it’s time to catch up. What started as a niche has become the biggest phenomenon in digital marketing today, generating over $150 billion in 2024 and projected to exceed $280 billion by 2027 (WORC, empresa de análise global). More than just a new channel, RMNs are the retail industry’s answer to the cookie crisis and the growing demand for more effective, first-party data-driven advertising.
The future of advertising is already here
Let’s start with the basics: a Retail Media Network is an advertising platform managed by a retailer.
“Instead of relying on third-party ads, it monetizes its own traffic and data, allowing brands to advertise directly within the retailer’s ecosystem – whether on the website, app, e-commerce platform, or even in physical stores,” explains Renata Altemari, Country Manager at AppsFlyer Brazil.
Imagine a consumer browsing the app of a major supermarket chain. They search for coffee but, before completing the purchase, see an ad for a competitor’s new premium coffee capsule. That ad wasn’t random—it appeared because the retailer’s data showed that the user had previously purchased coffee and was likely to try a new product. That’s Retail Media—highly targeted advertising at the exact moment of purchase decision-making.
Why does this matter now?
“With the decline of third-party cookies and the battle for data privacy, advertisers are looking for new ways to target audiences without relying on big tech companies. That’s where RMNs come in: by using browsing and purchase data from within retailers’ platforms, they offer a level of precision and conversion that other channels can no longer deliver,” says Renata.
The growth numbers for this type of advertising speak for themselves: RMNs already account for 20% of all digital advertising spending, and the global Retail Media market is expected to reach $200 billion by 2025.
But what about the privacy of the data provided by retailers? With the rise of Retail Media Networks, the need for solutions that ensure data privacy and security has become even more critical. This is where Data Clean Rooms (DCPs) come in, becoming essential for brands and retailers looking to share data securely and transparently.
“DCPs act as secure environments where different companies can cross-analyze anonymized data without violating privacy regulations like LGPD and GDPR. This allows advertisers and retailers to study consumer behavior without exposing sensitive information,” explains Renata.
In Brazil, investment in Data Clean Rooms is growing rapidly. According to a survey by AppsFlyer spending on DCPs has increased by 45% in the past year. More than 60% of Brazilian retailers have already adopted or are implementing a DCP model. Companies using DCPs have reported a 30% increase in the efficiency of Retail Media campaigns.
DCPs are a game-changer for Retail Media because they allow brands to access valuable insights while maintaining compliance with privacy regulations. This further strengthens RMNs as the safest and most effective solution for digital advertising in the new era.
There’s still time to prepare for RMNs in 2025 – Here’s how:
Forget Basic metrics
Website visits and clicks are not enough. Advertisers investing in RMNs focus on metrics like share of wallet, repurchase rates, and brand penetration.
Measurement must be independent
With so much data at play, transparency is crucial. RMNs that provide robust measurement solutions with machine learning and cross-device integration will have a competitive edge.
See the opportunities beyond marketplaces
Retail Media isn’t just for e-commerce. Telecom, tourism, healthcare, and even mobility companies are creating their own networks to monetize data and turn customers into a qualified audience.
Never underestimate privacy
Simply claiming to be “privacy-first” isn’t enough. The adoption of Data Clean Rooms, data encryption, and frameworks like IAB’s PAIR and AdMaP are what truly ensure compliance and long-term trust.
The transition to a privacy-centric, first-party data advertising ecosystem is no longer optional—it’s a necessity.
“Brands that quickly adapt to this new model will gain an incredible competitive advantage. Retail Media isn’t just a trend—it’s the new normal in digital advertising. And those who stay behind now may not be able to catch up later,” concludes Renata.
About AppsFlyer
AppsFlyer helps brands make smarter business and customer decisions through advanced measurement technologies, data analytics, deep linking, engagement, fraud prevention, and data clean rooms—all while preserving user privacy.
Built on the belief that advertising can be improved without compromising user experience, AppsFlyer empowers thousands of marketers and technology partners to create more relevant and meaningful connections with their customers.To learn more, visit www.appsflyer.com.
