More than half of Australian marketing leaders report low levels of trust in retail media networks, according to the latest Digital, Marketing & eComm in Focus 2025 report released by Arktic Fox.
The annual study, developed in partnership with recruitment firm Six Degrees Executive, surveyed over 200 senior marketing and business leaders to examine strategic priorities across martech, AI, data and analytics, privacy, customer experience, eCommerce, and retail media.
Spending grows
Retail media spend in Australia reached an estimated $2.6 billion in 2024 and is forecast to grow by 15% in 2025. Several major retailers, including Priceline, Bunnings and Petbarn, launched networks over the past year. Despite this growth, the report highlights a disconnect between ambition and capability.
Trust gap widens
Findings show that 54% of respondents have low levels of trust in retail media networks. A further 96% cite challenges in quantifying returns on retail media investments.
Additionally, 44% of brand leaders report limited internal capability to manage retail media effectively.
Network usage grows
While brands are engaging with the channel, 39% are using four or more retail media networks and one in three use Amazon Ads, investment remains cautious.
Fifty-five percent of brands plan to maintain current spend over the next 12 months, and 8% intend to reduce it.
Teresa Sperti, Founder and Director of Arktic Fox and report author, said the data presents a “moment of reflection” for the sector. “Retail media may offer a way to offset eCommerce margin pressure, but many lack the internal capability, across data, audience management, and reporting, for their own growth purposes,” she said.
Teresa Sperti
The report indicates that as retail media matures in Australia, trust and internal capability will be critical to realising its full potential.