Winterberry Group, in collaboration with Chicory and Mars United Commerce, has released a new report titled Demystifying Contextual Commerce: From Online to In-Store. The research highlights how nearly 70% of marketers are already using contextual commerce to supplement their Retail Media Network (RMN) strategies—an approach gaining importance amid tightening inventory and rising RMN costs.
This report builds on Winterberry’s February projections, which estimated that U.S. spending on connected commerce would exceed $112 billion by 2025. Now, the focus narrows to contextual commerce, which is expected to surpass $1 billion in spending by 2026 as brands aim to engage consumers earlier in the purchase journey.
Contextual Commerce Explained
Unlike traditional e-commerce that relies on consumer search behavior, contextual commerce integrates shopping capabilities directly into the content users already engage with—such as:
- Recipes and cooking sites
- Editorial content and lifestyle blogs
- Influencer videos and livestreams
- Shopping lists and productivity apps
This frictionless model helps brands meet consumers at moments of high intent, well before they land on a retailer’s site or app.
Key Findings from the Report
- Widespread Adoption: Over 69% of marketers are already using contextual commerce in their connected commerce mix.
- RMN Diversification: As retail media demand outpaces supply, brands are looking to contextual strategies to expand their media mix.
- AI-Driven Relevance: Contextual commerce utilizes machine learning and real-time signals to surface highly personalized product recommendations—without the need for third-party cookies.
- Measurement Challenges: Fragmented platforms and inconsistent attribution models highlight the need for unified standards and industry-wide cooperation on measurement and responsible AI use.
Industry Perspectives
“Retail media demand is outpacing supply and brands are feeling the squeeze. Limited inventory and rising costs are forcing marketers to rethink their marketing mix.”
— Yuni Baker-Saito, Co-Founder and CEO
“Contextual commerce is emerging as the next big bet. It complements RMNs, extends brand reach, and connects with consumers at a moment when they’re most likely to purchase.”
The Bigger Picture: Connected Commerce Evolution
As brands continue to invest in connected commerce, contextual commerce offers a scalable, privacy-safe solution to maintain relevance across a fragmented consumer journey. It complements maturing RMNs while bridging gaps in reach and timing—placing products where consumers are already inspired to buy
Contextual commerce is quickly becoming a vital component of the modern marketing mix. With nearly 70% of marketers already leveraging it, and spending expected to top $1 billion by 2026, brands and advertisers are embracing this strategy to boost performance, reach consumers earlier, and remain competitive in an evolving RMN landscape.
