How retailers became advertising platforms

Major retailers, most notably Amazon, create and operate their own advertising platforms – and make millions from it. McKinsey estimates that by 2026, retail media will add $1.3 trillion to enterprise value in the U.S. alone, with profit margins ranging from 50% to 70%. In this article, the authors introduce readers to the main types of retail media, discuss three strategic challenges they pose, and provide tips on how to effectively manage these challenges.