The retail media feeding frenzy: who’s adding value, and who’s just hungry?

Cat McGinn
Aug 8
4 min read

Updated: 4 days ago

In this column for REmade, former Cartology executive Jodie Koning argues retail media is the new marketing gold rush, where the spoils will fall to those who can prove they make the ecosystem stronger, not just louder.

Retail media is having its moment. The poster child for modern marketing -measurable, data rich and contextual. This promise has created a boom, and with every boom comes a frenzy: right now, we’re in one.

Retailers want in. Shopper agencies are rebranding themselves as retail media strategists. Traditional media agencies are pivoting to commerce. Data and tech platforms are selling “retail media in a box.” Even legacy publishers are eyeing the pie. It’s a gold rush. But amid the stampede, it’s time for a reality check. If you’re in the game, you need to ask yourself two hard questions:

What is the distinct role I play?
What value do I actually bring?

Because if you can’t answer those, you may be part of the noise—not the solution.

The opportunity everyone wants in on

Retail media is scaling at speed. Global revenue is projected to outpace entire sectors, from video gaming, to cybersecurity, to global spirits sales. That gives a sense of just how big this “new” channel is becoming and it’s why every player in the advertising and commerce ecosystem wants a seat at the table. At face value, they all have a claim. Everyone touches the customer somehow. But wanting a slice isn’t the same as earning it, so who will win, and where are the opportunities?

The power players: big retail, bigger advantage

Undoubtedly, Amazon and the big retailers in each of the global markets will be the key beneficiaries, with their scaled customer audiences and data propositions, omnichannel impact and ability to invest in future capabilities like AI driven personalisation, measurement and optimisation.

Whilst Cartology, Coles360 and Chemist Warehouse remain the clear leaders in Australia and New Zealand, Bunnings, David Jones and others are building their capabilities - with FY25/26 pivotal for their proposition growth. But without scale, smaller networks may struggle to commercialise effectively. Customer reach and data depth are non-negotiables. Without them, it’s hard for brands to justify the investment.

The media agency conundrum: still on the sidelines?

Media agencies excel at orchestration and are expanding their retail capabilities to secure a seat at the omnichannel table, but few have cracked it yet.

Integrating retail media into a holistic media strategy and stitching things up end to end for brands is the clear opportunity, helping them make sense of fragmented ecosystems and aligning retail media to broader brand and performance goals.

But first, agencies must shift their mindset. Stop resenting retail media networks for “stealing clients” and start partnering meaningfully. Collaboration, not competition, is the only way forward. It requires humility, capability-building, and real strategic chops.

Shopper agencies - an undervalued asset?

Shopper agencies may be better positioned than most, with their heritage in understanding shopper behaviour and the path to purchase. The real question here is - what sort of utility can they offer their partner brands, particularly as the retail media networks proliferate?

It is becoming significantly harder for brands operating in categories like health and beauty - managing a plethora of direct relationships with all of the retail media networks (Cartology, Chemist Warehouse, Coles360, Myer, David Jones and the many other pharmacy players) whilst trying to understand who to invest with, across which channels, when and why.

Strategically minded shopper agencies could step up here, but it will take a bold reinvention. They will require stronger digital acumen, deeper data fluency and better access to the retail media networks, which has historically been poor.

Tech platforms - the real back bone

The role of tech platforms remains clear - providing the infrastructure, automation, tools and data capabilities that enable the retail media engine, simplifying complexity and enabling interoperability. When I was at Cartology, I saw first-hand the sheer complexity of these businesses. They are not just ad sellers, they are digital publishers, search engines, OOH vendors, audio providers, and POS experts rolled into one.

Making omnichannel campaigns seamless and measurable demands serious tech. And no, it doesn’t come neatly packaged off the shelf. Again, as we consider the expansion of the industry and proliferation of networks, we are going to see some tech platforms prevail and empower retail media to better fulfill its promises and connect things up for brands in a way that we can’t even see yet.

Publishers - still figuring it out

The question around their role is still a little murky, whilst they all charge ahead trying to take a slice of the pie. Undoubtedly they bring quality content, editorial trust and top of the funnel impact. But are they authentically merging inspiration with transaction? Are they partnering with the retail media networks to better integrate and monetise their own properties? Time will tell on this one.

Time to get real

The retail media rush has created a flood of players, platforms, and promises. For brands, it’s becoming overwhelming and complexity is climbing. Differentiation is declining and in the chaos, the customer gets lost. Let’s not race to the bottom. Let’s get clear on roles. Let’s focus on real value. And let’s build an ecosystem that delivers for brands, for partners, and above all, for customers.

Jodie Koning is a retail media consultant, formerly GM of marketing and insights at Cartology.