The Retail Media Reality Check: Separating False Promises from Performance
Retail media is booming — and with that boom comes an avalanche of promises. Seamless integrations. AI-powered personalization. Real-time omnichannel performance. Transparent auction control. You've heard it all.
But for retailers and brands trying to build long-term, scalable programs, these promises tend to crumble under scrutiny. The result? Fragmented identity, opaque results, wasted spend and missed opportunities.
Here's a closer look at the most common false promises in retail media and the reality checks retailers should be demanding in return.
False Promise #1: "We'll Retarget Your Shoppers Everywhere"
The Reality: Retargeting sounds powerful — re-engage high-intent site visitors across the open web. But in practice, it's increasingly ineffective. Most retargeting still relies on third-party cookies and probabilistic IDs, which are rapidly losing reach and reliability in today's privacy-first ecosystem.
Even when you can match, you're largely recycling existing site visitors instead of reaching new customers. And unless your provider can suppress recent purchasers in real time, you risk oversaturating your most loyal audience. Proving incremental value is near impossible without people-based identity and rigorous testing.
Better Questions to Ask:
- What deterministic identity solution powers your retargeting?
- Can you suppress known purchasers in real time?
- How do you measure incremental lift beyond last-click attribution?
False Promise #2: "We Offer Seamless Omnichannel Performance"
The Reality: Retailers are told they can activate and measure campaigns across web, app, CTV and in-store seamlessly. But under the hood, online and offline data often live in silos. Many providers connect them using modeled assumptions — not deterministic links. Reporting falls short too.
"Transparency" often means raw data dumps requiring a data science team to decipher. And in-store impact is commonly measured using broad loyalty cohorts that obscure SKU-level performance.
Better Questions to Ask:
- How is a single privacy-compliant ID linked across all channels?
- Do you offer visual self-serve tools with actionable insights for brands and merchants?
- Can you demonstrate statistically valid closed-loop reporting?
False Promise #3: "We'll Launch Your RMN in Just Weeks"
The Reality: Quick-start timelines may sound great, but they often gloss over what really slows down deployments — security reviews, data integration, internal training, catalog mapping, go-to-market planning and so forth. Providers that prioritize speed often deliver incomplete platforms with minimal catalog enrichment and little business enablement.
Retailers are left with a shell of an RMN and the burden of building sales and operations capabilities on their own.
Better Questions to Ask:
- Can you provide a detailed rollout plan, including business onboarding?
- What support do you offer for go-to-market strategy and sales team readiness?
- What core features are live at launch and what’s deferred?
False Promise #4: "Our AI Delivers Personalized Performance at Scale"
The Reality:
AI is everywhere in retail media pitches. But models are only as good as the data behind them. Many providers lack the clean, consented people-based data needed to train effective algorithms.
Without regular retraining, model performance deteriorates quickly. Worse, the decision logic is often a black box. Retailers are left with few levers to understand what's working, what's not and how campaigns are really optimized.
Better Questions to Ask:
- What data inputs are required to make AI work at our scale?
- How transparent is your AI logic — can we see what's driving performance?
- How frequently are models retrained and governed for privacy compliance?
False Promise #5: "Auction-Based Tech Gives You Full Control"
The Reality: Auction-based platforms promise real-time flexibility and revenue optimization. But they also introduce complexity. Without the right internal expertise, auction dynamics can lead to inefficiencies, revenue leakage or advertiser dissatisfaction.
Transparency in auction reporting doesn't help if you lack the tools to interpret and act on it. And if brand partners don't understand how to bid effectively, they may simply walk away.
Better Questions to Ask:
- What training and strategic support do you provide for auction design and management?
- How visible and usable is the auction data (e.g., bid performance, win rates)?
- How do you ensure healthy advertiser participation and competition?
The Bottom Line: Substance Over Sizzle
Retail media has enormous potential — but it isn't plug-and-play. Success comes from precision, not promises. It requires identity that works, AI that performs, integrations that scale and transparency that empowers.
The most effective RMNs aren’t built overnight, and they’re certainly not built on buzzwords. They’re built on trust, control and the relentless pursuit of real outcomes.
So, before you buy into the pitch — ask better questions.
About the Author
Adam Skinner is managing director, global unified retail media, at Epsilon. He is responsible for product strategy across onsite, offsite and in-store retail media offerings. Adam also oversees go-to-market strategy and global partnerships.
