The Measurement Imperative: Building Trust in Retail Media Networks Through Independent Validation
A fundamental shift is underway in how brands and retailers approach media investments. A recent Modern Retail article by Kimeko McCoy (March 25, 2025) highlighted growing tensions in the retail media space, with manufacturers increasingly pushing back on investments due to concerns about measurement transparency and questions around true incremental value.
The Growing Challenge
Retail media networks have become big business, expected to account for almost a quarter of all U.S. media spend by 2028, according to 2024 figures from eMarketer cited in the Modern Retail article. But as the industry grows, so do the complications in what has always been a complex relationship between manufacturers and retailers.
For decades, manufacturers have provided retailers with co-op dollars and trade funds that retailers leveraged to advertise on the manufacturer’s behalf. These dollars were often required as part of distribution agreements and typically weren’t controlled by the marketing organization. Now, with the growth of retail media networks, a significant shift is occurring – retailers are asking for brand marketing dollars that traditionally fall under marketing team control rather than sales or trade budgets.
This creates a fundamental tension: marketing teams expect greater measurement accountability than what’s historically been accepted for trade funds, while retailers are creating substantial new profit centers through these media networks.
Growing Pushback from Manufacturers
The Modern Retail article details how this tension is playing out. Some brands are going so far as to walk away from joint business planning (JBP) negotiations entirely. Other brands candidly admitted to wanting to pull out but reconsidered out of fear.
According to Modern Retail, advertisers are “pressured to justify an increased spend without incremental return on investment or standardization in measurement.” This is creating what the article describes as “executive dysfunction in the $140 billion global business that is retail media.”
Beyond immediate sales impact, manufacturers are becoming increasingly focused on understanding how these retail media dollars are not only driving current sales, but what (if any) impact they are having on long-term brand health and customer relationships. This represents another layer of complexity as marketing teams typically evaluate investments based on both short-term performance and brand building contributions.
Additionally, manufacturers are looking for their retail partners to offer more near real-time guidance about what’s working within campaigns and initiatives. In other digital channels, brands have grown accustomed to making optimization decisions mid-campaign based on performance data. To put it another way, “Don’t just tell me how to make next quarter or next year better… tell me how to lean into what’s working now.”
The Measurement Imperative
This dynamic creates a clear opportunity for independent, third-party measurement that serves both parties’ interests. Retailers are asking marketing teams to move dollars that were previously under sales team control into retail media, but manufacturers are now asking for the same level of transparency and measurement that other marketing channels deliver.
When manufacturers attempt to push back, they face what Modern Retail describes as pressure to “spend more year-over-year or risk losing in-store shelf space.” This creates an untenable situation for many brands who depend on these retail relationships.
Creating a Foundation of Trust Through Independent Measurement
Independent measurement serves retailers by building credibility for their media offerings through third-party validation. It provides detailed insights into which tactics deliver the strongest results for brand partners, creating meaningful differentiation in an increasingly crowded retail media landscape. Most importantly, it supports sustainable growth based on demonstrated value rather than leverage.
From the manufacturer perspective, independent measurement delivers transparent assessment of retail media performance, connecting investments to actual incremental sales impact. This transparency enables more confident decision-making about budget allocation across the entire marketing mix – including traditional co-op funds and newer retail media investments.
By implementing independent measurement, both parties benefit from more productive conversations focused on optimization rather than justification. This measurement approach must be holistic, considering both historical trade funding and newer retail media investments to provide a complete picture of how manufacturer dollars are driving results.
Beyond Measurement: Building True Partnerships
While measurement is essential, the most successful retail media relationships go beyond metrics. They’re built on a foundation of mutual respect, transparent communication, and shared objectives.
Independent measurement facilitates this by establishing a common language and trusted source of truth that both parties can reference. When retailers and manufacturers align around clear, validated performance metrics, they can focus on strategic optimization rather than debating the validity of results.
The Path Forward
As the retail media ecosystem continues to evolve, independent measurement will become increasingly critical. The Interactive Advertising Bureau (IAB) and Media Rating Council (MRC) have already taken steps to standardize retail media measurement, finalizing standards last year that set a framework for audience measurement, metrics, and best practices in measuring incrementality, as noted in the Modern Retail article.
For retailers with media networks, implementing independent measurement isn’t just about satisfying current manufacturer demands—it’s about positioning for long-term success in an increasingly competitive landscape. For manufacturers, demanding transparent measurement ensures retail media investments deliver true business value alongside traditional trade investments.
By partnering with experienced measurement providers that understand the nuances of both retail operations and marketing effectiveness, both parties can create more productive, trust-based relationships that drive sustainable growth. In an environment where every investment must demonstrate clear return, independent measurement isn’t just nice to have—it’s a business imperative.
Independent measurement offers a path to this industry-wide solution, creating the transparency and accountability that benefits the entire ecosystem.