Retail media is not a limited time offer – here’s how latecomers can capitalise
Retail media is exploding into a billion-dollar market, yet the majority of retailers are still sitting on the sidelines letting first movers take the spoils. In this op-ed, Kees De Jong, founder of Uncommon Media, explains why now is actually the optimum time to get off the bench and into the game.
Retail media has rapidly transformed from a novel experiment into a cornerstone of Australian media plans over the couple of years. While early adopters, mostly the larger retailers, have reaped the benefits, the window of opportunity is far from closed for others interested in expanding their monetisation opportunities.
Indeed, there’s a perfect storm of market conditions brewing in 2025 which mean that even for retailers yet to launch their own media offerings, now is the ideal time to enter the fray and claim a slice of this burgeoning market.
The major factors now coming together in Australia are tighter privacy regulations, growing advertiser demand for measurable ROI, and the increasing sophistication of first-party data strategies.
And the benefit for the later adopters entering now is that, as the market matures they can bypass the teething problems of the pioneers and focus on driving results in a more established and easier to access ecosystem.
Retail media’s meteoric growth
In the past year, retail media has exploded globally, with spending surging 40% according to industry reports. Australia has been no exception, with brands reallocating budgets to this channel at unprecedented rates.
The appeal is clear: retail media delivers targeted advertising tied directly to consumer purchases, providing unmatched accountability for brands. Often it can be close to the point of purchase, vital for swaying undecided shoppers to choose you over another brand.
However, the narrative often celebrates first movers, but early entrants like Woolworths with Cartology and then Coles 360 have faced challenges including technological hurdles, sceptical advertisers and pulling together measurement capabilities to give a proper picture of their performance.
On the whole they have done a good job and these obstacles and have been posting strong growth as a result, and their work now offers latecomers a smoother path to market.
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The competitive advantage of joining now
Retailers who act now can benefit from a unique confluence of factors.
First, media buyers increasingly see retail media as a vital part of the media mix, not an experimental outlier. This elevated status makes it easier for new entrants to secure a place on media plans, provided they deliver measurable value.
Second, regulatory shifts are reshaping the advertising landscape. Australia is following in Europe’s footsteps with stricter privacy laws. While the first tranche which are just coming online now do not introduce many seismic changes, it’s anticipated a second tranche in the middle of 2025 will put more onerous requirements on businesses to clean up their data acts ASAP.
This all makes the incredible first-party data retailers usually have more valuable than ever. By launching retail media platforms, they can offer brands a privacy-compliant way to reach consumers while maintaining control over their data assets.
Moreover, the erosion of competitive advantage for first movers works in latecomers’ favour. Early adopters have proven the value of the channel, but this has also increased competition. Retailers entering now can learn from their predecessors’ mistakes and launch platforms that address advertiser pain points, such as transparency, attribution, and measurable ROI.
And technology has moved along fast, with off-the-shelf solutions now available for businesses which don’t have the resources, experience or capability to build a proprietary stack.
The story to sell retail media is compelling
If you’re going to launch into retail media you need to make sure you have a good story for the market. For retailers, one of the most compelling reasons to invest in retail media now is its growing importance on media plans. Advertisers increasingly view it as an essential channel alongside traditional formats like TV, digital display, and search.
While large retailers have so far dominated headlines we’re seeing some interesting new players entering the market, from hospitality groups to games venues, and each has its own compelling argument for its place on a media plan.
While scale is obviously important, these retailers with unique audiences or strong brand equity can trade mass for meaning as they are often the ones with the most loyal customer base. Fans of these businesses are more likely to open their EDMs, follow them on social and spend time in their venues willingly.
The key is to establish clear value for advertisers. Retail media platforms must demonstrate how their offering fits into the broader media mix, providing incremental value rather than cannibalising other channels. Transparency in performance measurement and alignment with advertiser goals will be critical to success.
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How latecomers can succeed
For retailers considering entering the retail media space, the path forward is clear:
1. Prioritise advertiser value:
Demonstrate how your platform delivers measurable results, whether through better targeting, improved attribution, or unique audience insights. Advertisers want to see ROI clearly tied to their investment.
2. Leverage privacy as a differentiator:
With privacy legislation tightening, retailers can position themselves as compliant, data-responsible partners. Building platforms that respect consumer privacy will not only meet regulatory requirements but also enhance advertiser trust. Europe’s GDPR rules mean the platforms coming out of that region are often ahead of the game on these issues.
3. Capitalise on a maturing market:
The groundwork laid by early movers means less education is required for advertisers. Instead, latecomers can focus on refining their propositions and addressing unmet needs in the market.
The future of retail media
As audiences continue to disperse across our ever-splintering media ecosystem, the Australian retail media sector is looking like an increasingly attractive proposition for advertisers and spending is expected to increase.
You’re also joining a market that is better understood, more valued, and more accessible than ever before.
For latecomers, the message is clear: the revolving door isn’t closed, but like a Black Friday bargain – you need to move fast to get in front of the other hungry deal hunters and ensure you get a good deal.
Kees De Jong is the founder of Uncommon Media.
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