Retail Media Validated: 4-in-5 CPG Marketers Say It Met or Exceeded KPIs in 2025

What Happened — Retail Media Just Earned Its Seal of Trust

A new 2025 study by Skai × P2PI has confirmed what India’s FMCG and e-commerce advertisers have been feeling all year:
Retail media works — and it works reliably.

According to the report:

• 4 in 5 CPG organizations say retail media met or exceeded performance KPIs
  
  
• Budgets for retail media are expanding faster than search and social
  
  
• Measurement accuracy improved with better closed-loop attribution
  
  
• Brands are shifting from “experimental budgets” to always-on retail media
  
  

In India, where Amazon Ads, Flipkart Ads, BigBasket Ads, Blinkit Ads, Zepto Ads, and JioMart Ads are growing aggressively — this validation was expected, but now it’s official.

Retail media isn’t “coming.”
It’s already the second-largest digital ad channel after social.

Key Insights From the Retail Media 2025 Report

Retail Media = High Intent + High Conversion

Unlike social, where discovery is passive, retail media captures shoppers at the moment of purchase.
This makes:

• Sponsored Listings
  
  
• Search Ads
  
  
• Product Display
  
  
• Sponsored Brand Stores
  
  

…far more conversion-efficient.

Most brands reported higher ROAS than regular PPC.

Closed-Loop Attribution Is the Game-Changer

Retail platforms can now tell brands:
“This ad → led to this add-to-cart → which led to this sale.”

That’s attribution search can’t provide.

Marketers trust the channel because they can prove performance.

D2C & FMCG Brands Are Shifting Budgets the Fastest

Categories leading adoption:

• Beauty & Personal Care
  
  
• Snacks & Beverages
  
  
• Home Essentials
  
  
• Baby Care
  
  
• Electronics & Accessories
  
  
• Pet Care
  
  

For these categories — retail media often performs better than Meta & Google ads for the bottom of the funnel.

Quick-Commerce Ads Are Becoming the Next Big Engine

Blinkit, Zepto, and Instamart have turned into high-speed retail media platforms.

Brands saw:

• 2× faster conversions
  
  
• Higher impulse-buy behaviour
  
  
• Better new-user acquisition
  
  

Indians aren’t just shopping fast — they’re discovering fast.

Why This Matters for FMCG, D2C & Retail Leads in India

This validation means:

1. Retail media is now a mandatory part of the ad mix
   
   
2. Budgets will shift away from low-attribution channels
   
   
3. Brands must master digital shelves the same way they mastered physical shelves
   
   
4. AI-led bidding & product feed optimization will decide visibility
   
   

Retail media has officially crossed the line from “test and learn” to “core revenue channel.”

How Brands Should Respond

• Optimize product titles, images, keywords, and feeds
  
  
• Invest in marketplace SEO (Amazon/Flipkart search ranking)
  
  
• Use retail media + quick-commerce as a combined strategy
  
  
• Build dedicated marketplace video ads
  
  
• Run always-on sponsored listings
  
  
• Improve ratings & reviews density (critical for conversions)
  
  

Brands that build retail media muscle will win 2026.

Where Digilogy Fits In

Digilogy helps brands turn retail media into a performance engine, with:

• marketplace SEO
  
  
• AI-led PPC optimization
  
  
• feed management
  
  
• creative strategy for retail ads
  
  
• quick-commerce performance playbooks
  
  
• full-funnel attribution setups

Take the next step with Digilogy today.