How CTV is transforming Retail advertising strategies

The rise of Retail media—and what comes next

In 2025 alone, more than $10 billion in new ad spend is expected to flow into retail media. By 2028, that number is projected to reach nearly $100 billion, making it one of the most dynamic segments in digital advertising.

But as consumer shopping habits evolve, Retail brands have to look beyond mainstream growth channels—think social platforms and walled gardens—where performance is hitting a ceiling. Enter Connected TV (CTV): a fast-growing space for reaching untapped audiences across screens, combining the impact of television with real-time, measurable conversions.

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Retail Media ad spending trends in 2025

Display spend is expected to nearly double from $17.6B in 2024 to $34.9B in 2027. A big part of that growth will come from CTV, which is forecasted to exceed $10 billion in retail media ad spend by 2028, accounting for more than a quarter of retail display and nearly 22% of all CTV spend [1].

There's another reason why 2028 is shaping up to be a major turning point: that's when CTV ad sales are projected to surpass linear TV, reaching $46.89 billion [1] and signaling a major shift in how advertisers prioritize video channels.

Hulu and the early adopters are leading the way

Only two US streaming services, YouTube and Hulu, surpassed the $1 billion mark in CTV ad revenue back in 2020, but eMarketer predicts this elite group will expand to nine platforms by 2026—a growth of more than 4× in just six years [1].

Although linear TV still dominates total viewing minutes, the rapid growth of streaming services means significantly more CTV ad inventory, giving advertisers access to premium audiences at more attractive costs. At the same time, the shift toward advertising-supported models is gaining momentum across different CTV monetization systems, from FAST (Pluto TV, Tubi) to premium SVOD/AVOD (Netflix, Disney+), offering brands an even broader spectrum of opportunities to efficiently scale their reach.

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Key drivers behind the shift to CTV ad spending

The rapid growth of CTV within retail media is fueled by several converging trends:

• CTV is the new industry standard: This channel already soaks up ~20 % of US adults’ daily media time [2], helping you scale beyond mobile.
• ‍‍It's like programmatic on the big screen: The latest CTV performance technology combines the scale of programmatic with real-time tracking from MMPs, enabling marketers to optimize their campaigns for measurable, ROI-driven results.‍
• New ad formats encourage in-app purchases: Performance-focused CTV ad formats feature interactive elements such as dynamic QR codes that users can scan to install an app or navigate directly to specific in-app sections, like special promotions or products.

“CTV isn't just a branding channel anymore—and it's no longer a ‘nice-to-have’. We're seeing budget shifts toward CTV performance campaigns across multiple industries and regions, which means it's a space your competitors are already actively exploring and investing in.” — Rocío Vivot, Head of Customer Success at Jampp.

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Final thoughts: Is the living room the new checkout aisle? 😜

Retail media is expanding beyond traditional channels, with CTV emerging as a powerful driver of full-funnel performance. As this trend accelerates, mobile remains the essential endpoint where user attention translates directly into measurable results.

Together, these forces are reshaping what full-funnel advertising looks like in 2025 and beyond. For retail brands with app-based strategies or mobile-first experiences, the opportunity is clear: use CTV to win users’ attention, and mobile to encourage conversions.

Want to get started with CTV? Drop us a line to learn how Jampp can help—or check out some of our recent insights into CTV advertising: 

• Who’s who in the CTV ecosystem? – Meet the different types of OTT platforms and key industry players in the CTV landscape.
• How CTV can help you grow your mobile app – Learn why mobile marketers are choosing this trending channel to drive installs and in-app conversions.‍
• 7 actionable CTV creative best practices to grow your app – How to leverage TV viewing habits to optimize your Connected TV (CTV) creative strategy and grow your app.

References

[1] eMarketer forecast, November 2024.
[2] AdExchanger, 2025.