Brands ‘Pressured’ Into Lifting Retail Media Spend Despite Lack Of ‘Trust’ & ‘Effectiveness’

Why It Matters

Brands are forced to allocate budget to retail media without clear ROI, risking inefficient spend and straining marketing budgets; the rise of Amazon Ads underscores the urgency for better measurement and trust across the ecosystem.

Key Takeaways

• 53% of brands plan higher retail‑media spend despite low trust
• 54% feel retailer pressure to increase spend without budget
• 61% cite inconsistent standards and measurement across networks
• 73% struggle to quantify ROI, uplift, and value
• Amazon Ads usage rose to 52.8% from 33% in a year

Pulse Analysis

Retail media has become a cornerstone of modern advertising, yet the latest Arktic Fox and Six Degrees study reveals a paradox: brands are compelled to pour money into the channel while questioning its effectiveness. In Australia alone, retailers committed roughly US$1.7 billion to retail media in 2025, and forecasts suggest a 10‑15% rise this year. The pressure stems from retailer relationships; more than half of surveyed marketers say they must increase spend to preserve shelf space, even as only 5% express high trust in the networks. This dynamic creates a budgeting dilemma, especially as many companies trim overall marketing spend.

The core challenge lies in measurement. Over 60% of respondents cite fragmented standards, formats, and metrics across platforms, making it difficult to compare performance. Nearly three‑quarters admit they cannot reliably quantify ROI, uplift, or overall value, leading to skepticism and reluctance to justify further investment. Without unified attribution models or transparent reporting, brands risk over‑allocating funds to a channel that may not deliver proportional returns, potentially eroding profit margins and diverting resources from higher‑impact tactics.

Amazon Ads’ rapid adoption—jumping to 52.8% of brand retail‑media strategies from 33% a year earlier—highlights the competitive stakes. As retailers double down on eCommerce, owned marketplaces, and quick‑commerce services, the ability to demonstrate clear performance metrics will become a differentiator for retail‑media networks. Brands that demand robust analytics and align spend with measurable outcomes will likely capture the next wave of digital growth, while those that rely solely on relationship‑driven spend may hit a ceiling as budget scrutiny intensifies.