THE EVOLUTION OFCONNECTED COMMERCE FROM IN-STORE TO ONLINE ACKNOWLEDGMENTS This report would not have been possible without the significant contributionsof the hundreds of marketing industry leaders who contributed their time and Additionally,we recognize the support and contributions of those companieswhose sponsorship made this research possible,including: PLATINUM SPONSOR SUPPORTING SPONSORS NOTICEThis report contains brief, selected information and analysis pertaining to the advertising, marketing and technology industries and has been prepared by Winterberry TABLEOF CONTENTS 05Introduction & Executive Summary 06The Evolution of Connected Commerce: From In-Store to Online08Why is Connected Commerce a Top Priority for Marketers?10What’s Included in Connected Commerce—and Why?12How are Brands Investing in Connected Commerce Efforts? 14How Well are Brands Activating Connected Commerce Strategiesto Support Their Core Use Cases? 18Methodology & Research Panel Background 19About19Our Platinum Sponsor19Our Supporting Sponsors TABLESAND CHARTS 07Figure 1.The Evolution of Connected Commerce INTRODUCTION & EXECUTIVE SUMMARY The retail landscape is undergoing a transformation,where innovation meets theescalating demands of today’s consumers.Connected commerce represents morethan just a response to these demands—it’s a reimagination of how brands andretailers work to create unified shopping experiences.By integrating digital and DEFINING CONNECTED COMMERCEDEFINING CONNECTED COMMERCE Unified measurement standards:Developing cross-platform metrics and AI-driven analytics enables brands The seamless integration of online andoffline retail channels to create a unifiedshopping experience for consumers across Breaking organizational silos:Aligning budgets, strategiesand operations across marketing, trade, and shopper teams Integrated data and technology:Unified data viewsand transparency, automation tools and AI-poweredpersonalization drive efficiency, enhance targeting and Brands are increasingly investing in connected commerce,with US spending expected to exceed $112 billion in 2025,fueled in part by growth in retail media network (RMN)spending. However, while investment in RMNs—a core part ofany connected commerce capability—continues to grow, many Regional market dynamics further shape how connectedcommerce strategies unfold. While RMNs in the US are maturingquickly, Europe and the UK show slower adoption but benefitfrom stronger integration between in-store and digital efforts. RMNs excel at connecting brands to high-intent shoppers but amyopic focus on RMNs often overlooks broader opportunities forperformance and growth. Non-RMN platforms like connectedTV (CTV), social commerce, contextual commerce and in-store Connected commerce isn’t just about meeting today’s consumerexpectations—it’s about redefining how commerce operates forthe future. By embracing integration, innovation and alignment,brands and retailers can deliver frictionless, impactful experiences Despite its growth, connected commerce faces key hurdles: Measurement and attribution:Inconsistent metricsacross platforms hinder performance evaluation and budgetoptimization. Connecting the dots between online and offline Fragmentation across RMNs:The proliferation of RMNs,each with unique requirements, creates inefficiencies inplanning and execution. This fragmentation requires brands Misalignment between RMNs and merchants: RMNs operate as media organizations while merchantsprioritize sales, leading to conflicting objectives that To address these challenges, the market must shift towardgreater integration, standardization and alignment across THE EVOLUTION OF CONNECTED COMMERCE:FROM IN-STORE TO ONLINE Retail has undergone a dramatic transformation,evolving from pure brick-and-mortarstores to the more integrated,omnichannel approach that defines today’s connected Consumer expectations have shifted as digital and physical retailenvironments converge, creating demand for seamless shoppingexperiences across every touchpoint. This shift, in concertwith rapid technological advancements enabling a wider range experience-driven model, physical stores have evolved beyondsimple points of purchase to offer immersive brand experiences Brandsface the dual challenge of standing out in increasinglycrowded marketplaces and aligning their strategies to bothtake advantage of and collaborate with retailer-drivenplatforms and ecosystems. Staying relevant in the age ofconnected commerce means being present across multipletouchpoints while maintaining brand consistency and offer This evolution has reshaped the roles of three critical stakeholders: Consumersnow expect frictionless journeys, personalizedrecommendations and consistency across platforms, whethershopping online or in-store. Shoppers have more informationat their fingertips, frequently researching online beforepurchasing in-store and anticipating the same level ofconvenie