Retail Media in Brazil: Why Retail Giants Are Betting on This Model

Have you noticed how digital advertising is undergoing a profound transformation, where relevance has surpassed mass reach? By 2026, Retail Media in Brazil will no longer be just a trend, but will consolidate itself as the third major pillar of digital media, right after search and social networks . This change is driven by the imminent end of third-party cookies and the vital need for brands to access high-quality first -party data .

The transformation of retail into a media ecosystem.

In practice, Brazilian retail is transforming into a powerful media ecosystem, capable of offering what no other channel can: a direct connection between the advertisement and the final transaction . With national e-commerce projected to generate R$ 260 billion in revenue by 2026 , the environment has never been so fertile for the expansion of native advertising networks. In this way, brands are not just buying advertising space; they are investing in context and surgical precision at the moment of purchase decision.

Numbers that impress the market.

The current scenario reveals figures that impress even the most skeptical analysts in the financial market. According to recent studies by MMA , investment in Retail Media in Brazil exceeds R$ 5,1 billion , representing an increasingly larger share of CMOs' marketing budgets. On the other hand, IAB Brazil points out that the growth of this model in Latin America is occurring at twice the world average , positioning the country as a strategic leader in the region.

Brazilian acceleration: technology and innovation

In our experience implementing technologies for e-commerce, we've observed that this acceleration is no accident. Brazil has one of the highest rates of adoption of new technologies in the world, and the retail sector has capitalized on this characteristic . While the global market grows steadily, the Brazilian Retail Media ecosystem matures by leaps and bounds , integrating everything from giants like Mercado Livre to regional networks that use platforms like VTEX and Shopify to monetize their traffic.

What you need to know about retail media in Brazil.

• Primary data: The use of real purchase information allows for a level of targeting that is impossible to replicate on traditional social media platforms.
• Closed-loop measurement: the ability to directly link the click to the sale (Closed-loop) guarantees a real proof of incrementality;
• Purchase moment: The ads appear when the consumer already has the active intention to buy, reducing friction;
• Integrated ecosystem: major players such Ads Market e Magalu Ads lead, but platforms like VTEX They democratize access;
• Future with AI: integration with autonomous agents and GEO (Generative Engine Optimization) This will be the next big leap for the sector.

The Gold of Primary Data and the Efficiency of ROAS

The competitive advantage of transaction data

The major competitive advantage of Retail Media in Brazil lies in the quality of the data that fuels the campaigns. Unlike Google Ads or Meta , which often rely on inferences of interest, the retailer possesses the real history of transactions, purchase frequency, and average user order value . In practice, this means that a diaper brand can advertise specifically to those who have purchased maternity items in the last six months, guaranteeing unprecedented conversion efficiency.

Closed-loop measurement: the transparency revolution

However, the real revolution lies in measurement . The concept of " Closed-Loop Measurement " allows advertisers to know exactly how many sales were generated for every real invested in the retailer's platform . In this way, ROAS (Return on Ad Spend) ceases to be an estimate based on complex attribution models and becomes concrete, auditable data. In data implementation projects we've conducted, we've noticed that this transparency is what most attracts investment from consumer goods brands (CPG).

Eliminating distractions in the buying journey.

Furthermore, Retail Media solves one of the biggest problems in modern marketing: dispersion . By positioning the brand at the "digital point of sale," the advertiser prevents the consumer from getting lost in a fragmented buying journey . On the other hand, for the retailer, this strategy represents a new revenue stream with significantly higher margins than those of selling physical products , which helps to balance the profitability of the logistics operation.

Operational efficiency and strategic partnership

In this way, operational efficiency becomes the guiding principle of new campaigns . In practice, the retailer becomes a strategic media partner . Thus, collaboration between industry and retail reaches a new level of maturity, where shared data generates value for both parties. Therefore, investment in data technology is no longer a cost, but an investment in market intelligence.

THE GIANTS OF THE ECOSYSTEM: FROM MARKET ADS TO REGIONAL NETWORKS

Mercado Ads: the undisputed leader

When analyzing the main players in Retail Media in Brazil, it's impossible not to highlight the leadership of Mercado Ads . The advertising arm of Mercado Libre has established itself as the largest network in Latin America, offering solutions ranging from internal search to off-site programmatic media. In practice, the strength of this network lies in its scale: millions of users browsing daily with their credit cards already registered and ready to complete a transaction.

National retail: Magalu Ads and Americanas Advertising

On the other hand, the national retail sector has not lagged behind. Magalu Ads and Americanas Advertising have built robust ecosystems that integrate data from physical and digital stores. This omnichannel approach is a strategic differentiator, allowing a brand to impact the consumer through the app and measure the effect on in-store sales. We have observed in food retail projects that this integration is vital for high-turnover categories, where the purchase decision often occurs in the supermarket aisle.

Democratization for medium-sized retailers

In this way, the democratization of Retail Media has also reached medium-sized retailers . Through platforms like VTEX and Shopify , companies that previously lacked the scale to create their own ad networks can now integrate third-party solutions to monetize their traffic. This creates a more competitive and diverse market , where niche specialization (such as fashion, pets, or electronics) becomes a valuable asset for brands seeking qualified audiences.

In this context, the variety of advertising formats has also evolved . Furthermore, sponsored search ads now share space with contextual banners and shoppable videos . In other words, the user experience is preserved while the brand gains visibility . In this way, the balance between advertising and shopping experience is maintained, ensuring that the consumer does not feel overwhelmed by irrelevant ads . Therefore, ad curation becomes as important as product curation.

TRENDS FOR 2026: AI, AGENTIC COMMERCE AND GEO

the age of Agentic Commerce

The future of Retail Media in Brazil is intrinsically linked to the evolution of Artificial Intelligence . In 2026, we are entering the era of " Agentic Commerce , " where autonomous AI agents conduct research and purchases on behalf of the consumer. For brands, this is a game-changer: it's no longer enough to be the first result in the search bar; it's necessary to be the top recommendation for the algorithm that makes the final decision.

GEO: Optimization for Generative Engines

In this context, the concept of GEO ( Generative Engine Optimization ) takes on absolute prominence. Brands will need to structure their data and content in a way that AI can interpret and recommend them with confidence . In practice, this means that the quality of product descriptions, user reviews, and the clarity of technical attributes will be the new pillars of SEO for retail. In our experience, companies that are already adapting their catalogs to LLMs ( Large Language Models ) are getting ahead.

DOOH and programmatic media integration

Furthermore, the integration between the physical and digital worlds will reach a new level with connected DOOH ( Digital Out-Of-Home ) . The case of GPA is emblematic: by combining screens in physical stores with programmatic media in the app, the chain recorded a 5% uplift in sales among consumers impacted by both fronts . The fact that the consumer finds what they need in a seemingly organic way is the pinnacle of the retail media strategy.

In this way, technology ceases to be a support and becomes the engine of innovation. In practice, generative AI allows for the creation of personalized ads at scale, adapting the message to each consumer profile . Thus, communication becomes more relevant and less intrusive. Therefore, the future of retail is conversational and intelligent , where the machine understands the human need even before it is verbalized. In this way, the buying journey becomes a fluid and efficient dialogue.

Challenges and the Pursuit of Real Increasing

Metrics fragmentation: the biggest challenge

Despite optimism, the implementation of Retail Media in Brazil faces significant barriers . The fragmentation of metrics is perhaps the biggest challenge for advertisers. Each retailer has its own attribution methodology, which makes comparing performance between different networks a complex task for media analysts . The standardization of KPIs is no longer just a wish, but a requirement for the market to continue growing sustainably.

Attribution vs. Incrementality: the central issue

Another critical point is the distinction between attribution and incrementality . Short-term ROAS can be misleading if we don't consider whether that sale would have happened even without the advertisement. Therefore, in 2026, the central question in CMO boardrooms is: "What was the real gain generated by this investment?" . We have observed in consulting projects that the analytical maturity of brands is evolving towards A/B testing models and control groups, aiming to isolate the real impact of the media.

Cultural change and transparent collaboration

In practice, success in retail media requires a cultural shift . Retailers need to learn to be technology and data companies, while brands need to learn to collaborate more transparently with their channel partners. However, the benefits far outweigh the challenges . The ability to transform the point of sale into an engine of insights and revenue is a generational opportunity that is redefining the winners and losers of the digital economy.

Data security and compliance with LGPD (Brazilian General Data Protection Law)

In this way, transparency becomes the foundation of commercial relationships. Furthermore, data security and consumer privacy (LGPD) must be absolute priorities . In other words, the sector's growth depends on the trust established between all parties. Therefore, investing in secure data infrastructure is the first step for any retailer wishing to enter this market . In this way, retail media consolidates itself as an ethical and highly profitable business model.

CONCLUSION: THE NEXT STEP IN YOUR STRATEGY

In short, Retail Media in Brazil is increasingly consolidating itself as a pillar of the connection between brands and consumers . Whether through the accuracy of primary data, the efficiency of closed-loop measurement, or the innovations brought by AI, the model offers a clear path to profitable growth in a scenario of ever-increasing customer acquisition costs (CAC).

If you want to transform your operation and leverage the full potential of these advertising networks, the time to act is now. The market doesn't forgive those who ignore data evolution. Keep following the e-Plus blog for more strategic insights into the future of retail, or contact our team of experts to design your next big move in e-commerce.

FAQ – Frequently Asked Questions about Retail Media in Brazil