Mercado Libre is broadening its advertising strategy beyond sponsored product placements and marketplace performance campaigns, with connected TV (CTV), creator marketing and AI-driven commerce emerging as areas of focus for its Mercado Ads business.
The company’s advertising strategy was discussed by Jesus Moreno Sosa, senior vice president of advertising at Mercado Libre, in the latest episode of its investor relations podcast, Inside Mercado Libre. The conversation covered retail media, brand advertising, social commerce and the potential impact of AI agents on how consumers discover and purchase products.
One notable disclosure was that 25% of Mercado Ads campaigns now have a branding objective, according to the announcement. The figure suggests that the business is seeking to serve advertisers across more stages of the marketing funnel, rather than concentrating exclusively on campaigns designed to generate immediate marketplace sales.
Mercado Libre operates an e-commerce marketplace and fintech ecosystem across Latin America. That combination gives Mercado Ads access to commercial interactions and payment-related services that could help advertisers connect media exposure with shopping activity. However, the extent to which those signals can be used across individual campaigns depends on the products, integrations and measurement arrangements involved.
Retail media moves toward full-funnel advertising
Retail media networks traditionally monetize retailer-owned properties through sponsored listings, display placements and other advertising tied closely to shopping activity. Commerce media extends the concept by connecting advertising with a broader set of shopping experiences, channels and commercial outcomes.
Mercado Ads is positioning itself within that wider model. The company says it is expanding into brand-building formats, including CTV and other off-platform channels, allowing advertisers to reach audiences outside the Mercado Libre marketplace.
This shift matters because brand campaigns and performance advertising require different planning and evaluation methods. Sponsored product campaigns can often be assessed against clicks, conversions and attributed sales. Brand campaigns typically require broader measures of reach, frequency and consumer response, alongside any downstream commercial effects.
The announcement also references a planned partnership with Netflix, expected to begin in early 2027. According to Mercado Libre, the collaboration is intended to connect CTV audience reach with outcomes across its marketplace and Mercado Pago ecosystem. The announcement does not specify the complete campaign mechanics, measurement methodology or commercial terms.
AI agents could change advertising touchpoints
Another focus is agentic commerce: shopping experiences in which AI agents help consumers discover products, evaluate options, complete purchases and track orders.
Moreno Sosa argues that advertising will need to adapt to these different moments. An agent could influence product discovery early in the journey or help a consumer complete a transaction later, creating new questions about how brands earn visibility when software assists with product selection.
For advertisers, this could eventually shift some competition from traditional search results and marketplace placements toward recommendations generated within AI-assisted shopping experiences. But the commercial model remains unsettled, including how sponsored recommendations would be disclosed, ranked and measured.
Mercado Libre’s comments describe a strategic outlook rather than confirmation of a fully deployed advertising product for autonomous shopping agents.
Social commerce expands the addressable audience
Mercado Ads is also connecting brands with a network of more than 12 million affiliates and creators, according to the announcement. Through its DSP, advertisers can set campaign budgets and return-on-ad-spend objectives while measuring results. The company also works with social platforms such as TikTok.
This extends Mercado Ads beyond inventory it directly owns or operates. It also illustrates the broader transition from retail media toward commerce media, where transaction-related data and advertising inventory can support campaigns across owned platforms and external channels.
For advertisers, the opportunity is to connect awareness-building activity with downstream shopping outcomes. The challenge will be establishing consistent measurement across environments that differ in audience data, attribution windows and reporting standards.
Top Insights
- Brand advertising is expanding: Mercado Libre says 25% of Mercado Ads campaigns now have a branding objective.
- CTV is becoming a strategic channel: The planned Netflix partnership is intended to connect streaming reach with marketplace and Mercado Pago outcomes.
- Agentic commerce could reshape discovery: AI-assisted shopping may change how brands compete for consumer attention and product recommendations.
- Creator marketing is part of the strategy: Mercado Ads offers advertisers access to a reported network of more than 12 million affiliates and creators.
- Measurement is central to the model: Connecting off-platform media with commerce outcomes will require transparent, comparable performance measurement.
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