Observed Signal · Aug 18, 2026 · Analysis · Source: The Drum · Impact: 3/5 · Sentiment: Positive
Brands Should Use Retail Media for AI-Led Discovery
Esme Robinson of Epsilon argues that as AI-powered search and shopping agents change how consumers discover products, brands should invest in retail media to control the product narrative within retailers' properties. Retailers' first-party data and structured product feeds increasingly inform AI recommendations, so brands that build richer, text-led pages and brand experiences inside retail media environments can influence signals used by AI assistants, improve visibility during peak buying seasons, and create co-branding and promotional opportunities at point of purchase.
Explains how retail media and retailers' first-party data intersect with AI-powered search and shopping agents—an actionable strategic point for brands, retail media networks, and search/commerce teams.
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Key Takeaways & Evidence Grounding
- Esme Robinson of Epsilon authored an opinion piece discussing retail media and AI-led discovery.
- The article states AI-powered search (e.g., Google AI, ChatGPT-style platforms) is shifting consumer queries toward context-rich questions and acting as a gatekeeper for discovery.
- Retail media uses retailers' first-party shopper data and structured product feeds that increasingly inform AI agents' recommendations.
- Brands can build richer, text-led pages and presence within retailer sites to influence AI signals and control how products are described or recommended.
- Peak buying seasons (Black Friday to January sales) heighten the need for onsite visibility, which retail media can help brands secure and control.
Connected Companies & Entities
“Esme Robinson of Epsilon explains how brands can take advantage of the channel in today's AI-powered environment.”
“People are now familiar with using AI-powered search through Google AI and platforms such as ChatGPT.”
Ontology Mapping & Concepts
Related Market Signals & Shifts
Recent verified developments and strategic activity across this market segment.
Sherry Smith on Retail Media's AI-Driven Future
Sherry Smith, President of Retail Media at Criteo, discusses how agentic AI is reshaping retail media and offers guidance for brands and retailers. She says retail media has matured and predicts three shifts through 2026: retail media will be embedded across digital touchpoints, new native ad formats will emerge that act like helpful recommendations, and advanced automation and optimization will become essential as digital shelf space grows more competitive. Smith advises brands to invest in structured product data, rich content and strong attributes to perform in conversational and context-driven discovery, and to partner closely with retailers and LLM providers. She reiterates that retailers retain core commerce advantages (trust, pricing, fulfillment) and argues retail media will solidify as a foundational revenue engine when integrated with merchandising and long-term brand strategy.
Retailers Must Own the AI Shopper Experience
At Cannes, a panel hosted by The Drum featuring executives from Albertsons Companies, Criteo, Google and Mars United discussed the evolving role of generative AI as a shopping assistant. Panelists warned that large language models can produce inaccurate or misleading outputs and argued retailers have an advantage because of their first‑party customer data. The conversation framed AI as a new discovery layer — augmenting rather than replacing search — and emphasised that combining AI with rich customer understanding, product content and digital‑shelf fundamentals will be critical for brands and retailers to capitalise on 'agentic' shopping experiences.
Testing Essential as Agentic Commerce Emerges
Circana executives Cara Pratt and Lindsay Pullins tell The Drum that as AI reshapes product discovery and purchasing, brands must rapidly experiment and prepare for an era of 'agentic' commerce where algorithms — and AI agents — influence or make buying decisions. They argue brands need clear product data, accurate taxonomies, trusted reviews and consistent brand signals so AI recommends their products correctly. Success requires combining strong data foundations with speed, precision and continuous feedback loops. The conversation also frames retail media not just as an advertising channel but as a connected ecosystem of retailers, publishers, brands and AI platforms sharing richer signals.
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