Much has been said about Retail Media being nothing more than “Trade in disguise”—a competitor that siphons off Trade Marketing’s budget and shelf space. While this perception is common, it is far from accurate. In my experience, this debate is misplaced and unproductive.
Throughout my career in Retail Media, I’ve firmly believed that Retail Media and Trade Marketing are not adversaries but natural allies. A well-synchronized Trade operation is essential for Retail Media to thrive—and the reverse is also true. These are not opposing forces but complementary strategies. When aligned, they create a powerful combination that can drive explosive results.
Reframing the Fundamentals
Let’s revisit the foundations of each function.
Trade Marketing stems from a direct relationship with manufacturers. It focuses on organizing and negotiating physical store space, in-store activations, promotional campaigns, and activities funded through Joint Business Plans (JBPs). These budgets typically represent 1% to 2% of the manufacturer's sell-in value to retailers. At its core, Trade Marketing drives product exposure and promotional execution at the point of sale.
Retail Media, by contrast, is a media channel built within retail environments, offering advertising inventory to both endemic brands (who sell through the retailer) and non-endemic brands (who want access to retail audiences). It is driven by marketing metrics like ROI, ROAS, and campaign KPIs more common in digital advertising ecosystems.
Although there may be overlapping objectives or inventory at times, the origins, goals, and budget sources for Trade and Retail Media are fundamentally different. So why the tension?
Understanding the Risk of Conflict
In organizations where short-term financial targets dominate decision-making, competition between Trade and Retail Media can arise. Here are two typical—and damaging—scenarios:
1. Trade Protecting Its Territory
Trade teams often feel the need to protect historically controlled budgets. The argument goes: “We’ve always used this budget for in-store activations, so it should remain under our control.” This fear-based mindset creates silos, blocking collaboration and limiting the effectiveness of Retail Media initiatives. In doing so, Trade may inadvertently forgo larger strategic opportunities in favor of legacy approaches.
2. Retail Media Chasing Revenue Alone
Conversely, Retail Media teams can fall into the trap of prioritizing media revenue over holistic business impact. In this mode, campaigns are created in isolation, without considering broader brand or in-store realities. The result? Campaigns that generate foot traffic but fail to convert, or that focus on conversion without generating new traffic. A fragmented approach that ultimately underdelivers.
I’ve seen both scenarios unfold—and the result is always the same: internal friction and missed potential. When functions fight each other, the whole business loses.
The Winning Formula: Retail Media + Trade + Commercial
Now, imagine a collaborative model where Retail Media, Trade Marketing, and Commercial teams work as one. Trade brings deep industry knowledge, strong execution at the point of sale, and relationship equity. Retail Media brings segmentation, targeted reach, and data. Add the Commercial team—responsible for margin recovery and promotional intensity—and you get a formula for true retail impact.
Here’s how this synergy works in practice:
- The Commercial team leverages historical budgets to support in-store promotions.
- Retail Media contributes incremental marketing budgets from manufacturers.
- Together, these drive traffic and promotional pull—maximizing both exposure and conversion.
A Real Example
I once led a negotiation involving a budget exceeding R$1 million. Over half of it was allocated to Trade Marketing. But instead of seeing it as a loss for Retail Media, I brought Trade to the table and co-created a campaign that drove sales and results for the business. The 360° campaign included:
- Targeted digital media
- CRM-based customer activation
- In-store promotional placements
- Trade-aligned promotional actions
The outcome? A win for every team—and most importantly, for the company.
In retail, it’s simple:
Communication (Retail Media) + Activation (Trade) + Promotion (Commercial) = SALES.
And in retail, sales solve everything.
Final Reflection: How Do You Want to Play?
Let’s move beyond silos and self-interest. Retail Media and Trade are not rivals. Viewing them as competitors fighting over budget slices only leads to short-term thinking and missed opportunities.
Trade brings invaluable insights from its proximity to the store and shopper behavior—insights that can fuel smarter Retail Media campaigns. Retail Media, in turn, offers data-driven scale and measurable impact that enhances the value of Trade investments. It’s a two-way street.
Be Strategic, Not Territorial
I take pride in the partnerships I’ve built with Trade and Commercial teams throughout my career. Every time we’ve aligned, results have exceeded expectations.
There is no silver bullet in retail. Success comes from playing as a team, not protecting silos.
Retail Media is not “Trade in disguise.” Once we stop debating this and start collaborating, we unlock not just effective campaigns—but exponential business growth.
So, how do you want to play this game?
Will you fight for a bigger piece of the same pie—or help bake a much bigger one?