Open Amazon or Flipkart and search for a face wash. The first few results are often ads, not organic picks. That small moment explains why retail media networks have become a hot topic in Indian advertising. Simply put, retail media networks let shopping sites sell ad space to brands, right where buyers make choices. The shopper already wants to buy, so the ad works harder than most. Many ecommerce platforms now earn thousands of crores this way. Smart brand marketing teams no longer treat this as a side bet. They plan for it from day one. In this guide, we will unpack how it works and what it means for you.

The numbers back this up. WPP Media expects Indian retail media to reach ₹30,360 crore in 2026, asBest Media Info reports. That is about 15% of all ad revenue in the country. Just a few years ago, the channel was far smaller. Whether you run a D2C label or a small seller account, this shift touches your budget. At the same time, it opens new doors for creators. After all, a great product page needs great content, and real voices make that content believable. Let’s start with the basics, then move to the data, the strategy, and the practical steps you can take.

1. What Are Retail Media Networks?

1.1 Simple Definition

Think of a shopping app as a giant mall. Brands pay rent to sit at the best shelf. Retail media networks work the same way, only online. A retail media network is the ad business run by a retailer or marketplace. Brands bid for placement on search pages, product pages, and the home screen. Amazon Ads, Flipkart Ads, and Blinkit’s ad tools are common examples. The big difference from social ads is intent. People on Instagram scroll for fun. People on a shopping app scroll to buy. That is why an ad here often leads to a sale soon after. As a result, advertisers see clearer returns, and platforms earn extra income beyond product margins.

1.2 Main Ad Formats

Most retail media networks offer three core formats. First, sponsored product ads show your listing at the top of search results. Second, display banners appear on category pages and the home screen. Third, off-site ads use shopper data to reach people on other apps and websites. Each format serves a different goal. Sponsored ads drive quick sales, while banners build awareness. Off-site ads bring lapsed shoppers back. Moreover, video ads and sponsored brand stores are now common on large platforms. Smaller platforms and quick commerce apps are adding similar tools fast. Brands that know these formats can match each one to a clear goal.

2. The Numbers Behind the Boom

2.1 India’s Retail Media Growth

India is one of the fastest-moving markets for this channel. WPP Media expects Indian retail media to grow 25% in 2026, reaching ₹30,360 crore. Media Partners Asia tells a similar story, asExchange4media reports.Retail media grew nearly tenfold, from about $300 million in 2020 to $3.1 billion in 2025. That is roughly 20% of the country’s media and entertainment ad market. The same analysis says it could reach $8.1 billion by 2031. Meanwhile, over 70% of new ad spend in India during the last five years went to non-video digital formats. Clearly, advertisers are following the shopper to where the buying happens. Put simply, the shelf is now digital.

2.2 Amazon and Flipkart’s Ad Income

Marketplace filings show how big this has become. RoC filings, analysed by Exchange4media, show Amazon India’s ad revenue rose from ₹3,940 crore to ₹8,342 crore. That covers FY21 to FY25. Flipkart’s ad revenue jumped from ₹1,386 crore to ₹6,310 crore in the same period. In FY25, ads made up 28% of Amazon India’s revenue and 31% of Flipkart’s. Think about that for a second. Nearly a third of what these ecommerce platforms earn now comes from advertising. That growth beat the growth of their overall marketplace revenue. Selling products is still the base. However, ads have become a core pillar of the business model, not a small extra line.

2.3 The Global Giants

Globally, the story is even bigger.Marketplace Pulse reportsthat Amazon earned $68.6 billion from advertising in 2025, up 22%. Walmart’s global ad business grew 46% to nearly $6.4 billion in the same year. That figure includes Vizio’s connected TV ads, so treat the growth rate with some care. Walmart Connect, its US ad platform, grew 41% in Q4 alone. These retail media networks now sit among the biggest ad sellers on earth. Analysts at Osmos also expect global retail media spend to pass $200 billion in 2026. Together, these figures show how large this business can get. Clearly, this is no passing trend.

2.4 Quick Commerce Joins the Race

Quick commerce apps like Blinkit, Zepto, and Instamart are the newest players. Pitch Madison estimates quick-commerce advertising grew from ₹300 crore in 2023 to about ₹4,000 crore in 2025, as per Exchange4media. That is more than a tenfold rise in two years. These apps work with tiny delivery windows and limited screen space. Therefore, a top search slot matters a lot. If your brand does not show up for a search like “face wash,” a rival will. Shoppers often search, pick, and pay in a few taps. As a result, brands now treat the search bar as prime real estate, much like a shop’s front window.

3. Why Ecommerce Platforms Are Winning the Ad Game

3.1 First-Party Data Is Their Superpower

Platforms know what you searched, clicked, added to cart, and bought. This is first-party data, and it is very valuable. Social apps guess your interests from likes and watch time. Marketplaces see actual purchases. Because of this, retail media networks can target shoppers with sharp accuracy. A brand selling protein bars can reach people who recently bought oats or gym gear. Privacy rules and stricter app permissions make third-party tracking harder, so first-party data matters even more. Moreover, the platform owns the full journey, from search to checkout to delivery. No outside party sits in the middle. That closed loop gives advertisers something rare: a direct link between ad spend and sales.

3.2 Better Profits Than Selling Alone

Ads cost a platform very little to serve. There is no stock to pack and no return to handle. That is why ad income can change the profit picture so much. Marketplace Pulse notes that Walmart’s $6.4 billion in ad revenue equalled over a fifth of its operating income. India shows a similar pattern. Ads already bring in over a quarter of revenue at both Amazon India and Flipkart. For ecommerce platforms, this is steady, high-margin money on top of commissions and fees. Sellers, however, feel the pressure. When every rival bids for the same keyword, costs climb. So the platform wins twice: once through the sale, and again through the ad fee.

4. What This Means for Brand Marketing

4.1 Budgets Are Moving to the Shelf

Brand marketing used to follow a simple path. TV and print built awareness, and stores did the selling. Now the path is shorter. A shopper sees a reel, searches on an app, and buys quickly. Because of this, many marketers now give retail media networks a bigger slice of their budget. WPP Media expects the channel to hold 15% of India’s ad revenue in 2026. However, the shift brings a catch. Costs rise as more brands bid on the same keywords across ecommerce platforms. Brands that skip planning often pay more for less. So the smarter move is to link awareness work with shelf-level ads from the start.

4.2 Why Content Now Decides the Winner

When ads sit side by side on one screen, creative quality becomes the edge. Two sponsored listings can have the same price and the same keyword. The shopper clicks the one with better images, stronger reviews, and a clearer video. This is where brand marketing and content meet. Ratings, honest reviews, and short demo videos can lift both clicks and conversions. UGC and creator videos fit perfectly here. A real person unboxing a product feels more believable than a studio shot. Moreover, creators can send traffic from Instagram or YouTube straight to your product page. Those extra sales may also help your listing climb, so each paid rupee can work harder.

5. How Brands Can Win in Retail Media

5.1 Start With Search and Listing Basics

Before spending on ads, fix your product page. Use clear titles, sharp images, and honest pricing. Then pick a small set of high-intent keywords. Most retail media networks let you start with sponsored product ads and a modest daily budget. Test branded keywords first, since they protect your own demand. Next, try category keywords to reach new buyers. Check the data weekly and pause what does not convert. Chasing every keyword at once wastes money. A tight, well-tested list beats a wide, messy one. Small steady tests teach you more than one big bet. Also, keep stock healthy. An ad for an out-of-stock product burns money and annoys shoppers.

5.2 Build Reviews and Creator Content

Reviews act like word of mouth on a shelf. Therefore, ask happy buyers for honest feedback through the platform’s approved methods. Do not buy fake reviews, because platforms penalise them. Next, build a steady flow of UGC videos. Short clips showing real use, size, texture, and results answer questions before shoppers ask. Micro-influencers work well here, since their audiences trust them. You can send each creator to your product page with a trackable link. Then compare sales on days when creator posts went live. This approach gives you fresh creatives for ads too. As a result, you fight creative fatigue and keep your brand marketing spend efficient.

5.3 Measure What Really Moves Sales

Do not stop at ROAS. A high ROAS may only show sales you would have made anyway. Look at incrementality, which asks a simple question: did the ad cause this sale? Industry experts quoted by Exchange4media say brands now prioritise incrementality and unified attribution across online and offline touchpoints. Track new-to-brand customers, repeat purchase rate, and share of search. Compare periods with ads on and ads off where possible. Also review how much of your sales come from paid versus organic listings. If paid share keeps rising, your costs will follow. Finally, share these insights with your content team. Better creatives often fix weak numbers faster than bigger bids.

6. Conclusion

Retail media networks are no longer a side channel. They sit at the centre of how Indians discover and buy products online. Ecommerce platforms like Amazon and Flipkart now earn serious money from ads. The data shows no sign of a slowdown. Quick commerce apps are joining the race too. For brands, the message is clear. Treat retail media networks as part of your core brand marketing plan. Fix your listings, invest in real creator content, and measure true impact. Do that, and every ad rupee works harder. Small and mid-sized brands have a real chance here. The brands that learn this game early will own the digital shelf tomorrow.

6.1 Key Takeaways

• Retail media lets shopping platforms sell ad space to brands at the exact moment of purchase intent.
• India’s retail media is forecast at ₹30,360 crore in 2026, about 15% of total ad revenue.
• Ads made up 28% of Amazon India’s and 31% of Flipkart’s FY25 revenue.
• First-party shopper data and closed-loop reporting give these platforms a strong edge.
• Strong listings, honest reviews, and creator-led UGC lift both clicks and conversions.
• Measure incrementality, not just ROAS, to see what truly drives sales.

7. Ready to Win the Digital Shelf? Work With Hobo.Video

Retail media rewards brands that show up with strong content and smart planning. Hobo.Video helps with both. Our platform brings AI-led strategy together with a community of over 2.25 million creators. Whether you are a brand ready to launch UGC and influencer campaigns, or a creator ready to work with top names, the next step is simple. Register with Hobo.Video today and start building content that turns clicks into customers. Every big shelf position starts with one good decision. Make that decision now, and let your brand’s story reach the shoppers who are already searching for it.

About Hobo.Video

Hobo.Videois India’s leading AI-powered influencer marketing and UGC company. With over 2.25 million creators, it offers end-to-end campaign management designed for brand growth. The platform blends AI with human strategy to deliver maximum ROI.

Services include:

• Influencer marketing
• UGC content creation
• Celebrity endorsements
• Product feedback and testing
• Marketplace and seller reputation management
• Regional and niche influencer campaigns

Trusted by top brands like Himalaya, Wipro, Symphony, Baidyanath, and the Good Glamm Group.

Let’s turn your ideas into long-term brand growth.We’re ready.

Why wait for the “right time”? Your content is ready.Sign up today.