Stratacache has announced a projection of $2 billion in retail media revenue by 2026, highlighting a significant growth trajectory for the sector. This forecast was unveiled at NRF 2026, underscoring the rapid expansion of retail media as a critical component of modern advertising strategies.
Who should care: VPs of retail, store operations leaders, eCommerce directors, customer experience teams, and retail technology decision-makers.
What happened?
Stratacache, a leader in intelligent visual and customer engagement solutions, announced at the National Retail Federation (NRF) 2026 event that it expects its retail media revenue to reach $2 billion by 2026. This projection highlights the explosive growth of retail media, which is increasingly becoming a cornerstone of advertising strategies for both retailers and brands. The announcement aligns with broader industry trends observed at CES 2026, where retail media's expansion was a key focus, driven by technological advancements and evolving consumer behaviors.
Among the technologies fueling this growth, Rich Communication Services (RCS) stands out as a promising tool for delivering more targeted and personalized retail media experiences. RCS enables richer interactions between brands and consumers, opening new channels for engagement beyond traditional messaging. Simultaneously, Connected TV (CTV) is regaining prominence as a vital platform for retail media, offering brands dynamic and interactive ways to reach audiences in their living rooms. This resurgence of CTV reflects a shift toward multi-channel strategies that blend digital and traditional media to maximize reach and impact.
The integration of these technologies is transforming the retail media landscape. Retailers are leveraging their extensive consumer data and audience reach to create new revenue streams, while brands increasingly prioritize targeted, measurable advertising options. The result is a more data-driven, personalized approach to retail media that meets rising consumer expectations for relevance and engagement.
Why now?
This projection comes at a time when the retail sector is undergoing rapid digital transformation. Over the past 18 months, retailers have accelerated their adoption of data-driven technologies and digital platforms to enhance customer engagement and drive revenue growth. Advances in artificial intelligence and machine learning have enabled more sophisticated personalization, allowing retailers and brands to deliver tailored advertising experiences at scale. As consumers increasingly expect personalized interactions, retail media networks are becoming essential tools for connecting with audiences in meaningful and measurable ways.
So what?
The anticipated surge in retail media revenue signals a fundamental shift in advertising strategies within retail. As retail media networks expand across emerging channels like CTV and RCS, retailers have a unique opportunity to monetize their data assets and audience reach more effectively. This shift demands that retailers and brands rethink their advertising approaches, placing greater emphasis on personalization, cross-channel integration, and measurable outcomes.
To stay competitive, organizations must adapt quickly to these changes by investing in the right technologies and capabilities. Embracing retail media networks can unlock new revenue streams while enhancing customer engagement through more relevant and interactive advertising experiences. Failure to evolve could result in lost opportunities as competitors capitalize on these emerging channels.
What this means for you:
- For VPs of retail: Explore investments in retail media networks to diversify revenue streams and deepen customer engagement.
- For eCommerce directors: Utilize data analytics to refine personalized advertising strategies across expanding media channels.
- For customer experience teams: Integrate RCS and CTV into engagement strategies to deliver more personalized and interactive customer experiences.
Quick Hits
- Impact / Risk: The surge in retail media revenue offers significant growth opportunities but intensifies competition within the advertising landscape.
- Operational Implication: Retailers must upgrade technological capabilities to effectively leverage new media channels and advanced data analytics.
- Action This Week: Assess current advertising strategies for integration potential with retail media networks; brief executive teams on retail media growth implications; consider pilot programs involving RCS or CTV channels.
Sources
- NRF 2026: Stratacache Projects $2 Billion Retail Media Revenue for 2026 - invidis.com
- RCS: the ultimate in targeted, personal retail media in 2026? - InternetRetailing
- CES 2026 review: CTV back in the spotlight, a retail media explosion and agentic AI overload - Performance Marketing World
- Walmart, Wing to scale drone delivery operations to 270 stores
- Walmart teams up with Google’s Gemini for AI-assisted shopping
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