Beyond Conversion: How Retailers Can Unlock Full-Funnel Retail Media Growth

The opportunity to unlock full-funnel retail media isn't about selling more campaigns. It's about attracting broader marketing investment

Retail media has become one of retail's fastest-growing revenue streams, built on its ability to connect advertising directly to purchase in a way few other channels can match. As the channel matures, however, the question is no longer how retailers can attract more of the trade investment brands already allocate to retail media. Increasingly, the opportunity lies in unlocking a broader share of marketing investment by expanding retail media's role beyond conversion. Developing full-funnel retail media capabilities is one of the clearest opportunities retailers have to make that shift.

Full-funnel retail media offers a path to that opportunity by helping brands achieve objectives across the entire customer journey, from awareness and consideration through to purchase and loyalty. In doing so, it has the potential to reposition retail media from a performance channel competing for trade budgets to a strategic growth platform capable of attracting broader marketing investment.

Our latest retail media research explores the capabilities that distinguish higher-growth retailers from their peers. The findings suggest that retailers with stronger full-funnel retail media capabilities are better positioned to unlock new investment, strengthen supplier partnerships and accelerate retail media revenue growth.

Capability, Not Inventory 

Retail media has built its success by proving it can influence purchasing decisions close to the point of sale. That remains one of its greatest strengths. The next phase of growth, however, will be shaped by something different. As retail media becomes increasingly competitive, success will depend less on scale and more on the capabilities retailers build to attract advertiser investment. Our research with Sevendots found that the largest capability gap separating higher-growth retailers from their peers is in retail media itself; a 28-point difference, making it the largest capability gap identified in the study. These findings suggest that strengthening retail media capabilities is one of the clearest opportunities retailers have to unlock the next phase of retail media growth.

For many retailers, that means expanding retail media beyond its traditional role as a conversion channel. When retail media helps brands achieve both commercial and brand-building objectives, it becomes relevant to a broader group of decision-makers and better positioned to compete for long-term marketing investment rather than short-term trade funding.

What Full-Funnel Unlocks

Building stronger retail media capabilities isn't simply about introducing new formats or expanding media inventory. It's about broadening the role retail media plays in helping advertisers achieve their business objectives.

Historically, retail media has been valued for its ability to influence purchase decisions and deliver measurable commercial outcomes. Those strengths remain fundamental. The opportunity now is to extend that value across the customer journey, supporting brand-building objectives alongside conversion.

Our findings suggest that retailers able to make this shift are better positioned to engage a broader group of stakeholders, strengthen supplier partnerships and compete for a wider pool of marketing investment. In doing so, retail media evolves from a performance channel into a more strategic commercial capability that creates value for both retailers and suppliers.

This shift isn't about replacing conversion. It's about complementing it with broader marketing value, creating greater confidence for suppliers to invest and stronger opportunities for retailers to grow.

Collaboration Unlocks Full-Funnel Potential

While our research identified the capabilities that distinguish higher-growth retailers, it also explored the barriers preventing more retailers from making this shift. Through conversations with senior retail and CPG leaders across nine markets, four themes emerged consistently. Measurement, a continued focus on lower-funnel activation, traditional commercial mindsets, and the need for stronger retailer-supplier partnerships all surfaced as common barriers to progress.

Together, they point to a common conclusion: unlocking broader marketing investment depends on building greater confidence between retailers and suppliers.

That confidence isn't created by technology alone. It is built through stronger measurement, earlier planning, and closer collaboration, enabling retailers and suppliers to move beyond individual campaigns and focus on shared growth.

Putting Full-Funnel into Practice

Retailers can put full-funnel principles into practice by designing programs that engage shoppers before, during, and after purchase. By combining brand storytelling, ongoing shopper engagement, and measurable commercial outcomes, retail media can support objectives across the customer journey rather than focusing solely on the point of conversion.  

The Next Phase of Retail Media Growth

Retail media has established itself as one of retail's most important commercial capabilities. The next opportunity isn't simply to expand media inventory; it's to expand the value retail media creates for suppliers.

Our research suggests that retailers with stronger retail media capabilities are better positioned to attract investment and strengthen supplier partnerships. These findings reinforce that unlocking this opportunity requires stronger collaboration, greater confidence and a broader view of the role retail media can play across the customer journey.

The next phase of retail media growth will be defined not by selling more campaigns, but by creating greater value for suppliers.

Unlocking broader marketing investment requires stronger capabilities, deeper collaboration, and a broader view of retail media’s role. Explore these findings in our latest whitepaper, The Retail Media Growth Engine.