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Retail media decoded: a cheat sheet for the stack behind the screen

By The Drum, Editorial

The Drum

May 29, 2025 | 5 min read

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At the heart of every retail media network is a tech stack. This cheat sheet breaks down what you need to know: how the stack works, why it matters and what questions to ask before you buy in.

Retail media is booming, but don’t be fooled by the shiny front-end. While the headlines are full of big retailer launches, slick in-store screens and promises of closed-loop performance, the real action is happening behind the scenes.

The most successful retail media networks today aren’t just selling ad space – they’re building infrastructure. From loyalty data integrations to dynamic screen networks and omnichannel activations, at the heart of every retail media network is a tech stack.

And for marketers, understanding what’s inside it (or what’s missing) is fast becoming the difference between smart investment and wasted spend.

What’s in the stack?

Retail media isn’t one system – it’s a mix of connected layers. Some stacks are fully owned by the retailer. Others are stitched together with external platforms and partners. Here’s what typically powers the machine:

  • Audience and data: first-party data from loyalty programs, browsing, purchasing and app usage – the engine behind targeting and personalization.

  • Media sales and booking: interfaces (self-serve or managed) where brands can plan, book and optimize campaigns across on-site, in-store and off-site.

  • Creative delivery: systems that determine how, where and when ads appear, from web banners to digital shelf placements to in-store screens.

  • Measurement and reporting: tools that connect exposure to outcome (like sales or footfall), often using closed-loop systems that link media and commerce.

  • Omnichannel orchestration: capabilities that unify the above across channels, enabling consistent experiences online, offline and everywhere in between.

Who’s building what?

Retailers around the world are doubling down, not just on media products but on the infrastructure to support them.

  • Global grocers are launching multi-market retail media networks that tie together in-store and online inventory, powered by unified systems.

  • Pharmacies and beauty retailers are monetizing loyalty programs and digital screens through integrated sales and delivery layers.

  • Home improvement brands are building in-house media teams with bespoke ad platforms to reach shoppers across CTV, digital and store visits.

  • Some retailers are even offering shoppable media across third-party sites, tapping into their data-rich environments to power off-site campaigns.

Each setup varies in complexity and in what it means for marketers.

Want to go deeper? Ask The Drum

Why it matters for you

It’s easy to get caught up in the front-end promise of retail media – high-intent audiences, proximity to purchase, data-driven targeting. But the capabilities behind the scenes directly affect what you can (and can’t) do.

A sophisticated stack can:

  • Enable omnichannel campaigns across onsite, in-store and offsite

  • Support dynamic, personalized creative

  • Deliver real-time or near-real-time measurement

  • Integrate with your existing adtech stack

  • Help you prove performance and scale with confidence.

A limited one? Expect friction, blind spots and siloed execution.

Questions to ask before you commit

Whether you’re briefing your media agency or meeting with a retailer’s media team, these five questions will help you get under the hood:

  1. Is the retail media offering truly omnichannel, or just siloed channels packaged together?

  2. How is shopper data collected, activated and protected and can I use it for offsite or lookalike targeting?

  3. What does the measurement model look like and is it independently verified or standardized?

  4. How flexible is the creative setup? Can we run dynamic or personalized ads at scale?

  5. Will this plug into our broader media strategy, or will it live in isolation?

Retail media might look like the future of advertising, but it’s also a systems game. The smartest marketers aren’t just chasing audiences or screen space; they’ll be interrogating the infrastructure behind it. Because when the stack works, everything else flows.

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