Walmart Suppliers: How to Rethink Retail Media Strategies in an Unpredictable Market
For Walmart suppliers, retail media has never been more important—or more scrutinized.
As economic conditions shift—fueled by rising tariffs, inflationary pressures, and cautious consumer spending—brands are being forced to rethink every investment they make, including how they engage with Walmart Connect.
The old model of simply allocating a larger budget each year no longer guarantees success. Instead, suppliers must become even more strategic, focusing on media investments that drive real, incremental sales and support Walmart’s broader business goals.
Retail Media at Walmart: A New Mandate for Suppliers
Retail media through Walmart Connect offers unmatched advantages: direct access to Walmart’s massive customer base, closed-loop reporting, and real influence at the point of purchase.
But with tighter margins and higher demands for performance, suppliers must evolve from treating retail media as a compliance item to treating it as a true profit lever.
Today’s leading suppliers are setting a new standard: Every media dollar must tie back to growth—growth for Walmart and for the supplier’s bottom line.
Tariffs, Costs, and Consumer Caution: Why the Pressure Is Rising
With tariffs increasing the cost of goods and consumers becoming more value-conscious, suppliers are caught in the middle. Raising prices risks losing share. Absorbing costs hits margins hard.
In this environment, the most sustainable path forward is maximizing the effectiveness of spend—particularly through Walmart Connect investments. Suppliers who fail to show clear, incremental results risk seeing budgets cut or retailer support diminished.
Building Smarter Retail Media Strategies at Walmart
So how can Walmart suppliers navigate this challenge? It starts by shifting from “spend and hope” to “spend and prove.”
Here are three critical pivots suppliers should make right now:
1. Focus on Incrementality, Not Just Activity
Walmart Connect campaigns should be evaluated based on the incremental sales they drive—not just impressions or clickthroughs. Suppliers must push for true measurement and attribution wherever possible.
2. Align Media to In-Store Priorities
Digital media should be tightly integrated with in-store execution, whether that’s new item launches, seasonal promotions, or shelf resets. Media that drives foot traffic and basket size at Walmart will have a greater impact—and a stronger case for future investment.
3. Build Test-and-Learn Agility into Budgets
Rather than betting everything on a handful of large campaigns, suppliers should reserve budget for smaller experiments. Piloting new tactics, creatives, and targeting strategies within Walmart Connect can unlock valuable insights—and help future-proof investments.
Meeting Walmart’s Expectations—and Your Own
Walmart is raising the bar for supplier performance across the board—and retail media is no exception. Suppliers who demonstrate a clear link between media spend and Walmart’s success (through increased sales, share growth, or shopper engagement) will earn more influence and stronger partnerships.
At the same time, suppliers must advocate for themselves internally—showing finance teams, leadership, and cross-functional partners that Walmart Connect is not just a cost center, but a critical driver of profitable growth when managed strategically.
Final Thoughts:
Retail media at Walmart isn’t doomed—but it is changing.
Suppliers who embrace a smarter, more results-driven approach will not only protect their margins during turbulent times—they’ll build the kind of high-trust, high-performance relationships that will set them apart as Walmart’s most valued partners in the years ahead.
Shaun Brown
Shaun Brown is the Founder and CEO of Birddog, a leading agency at the intersection of commerce media, digital shopper marketing, and retail technology. With over 25 years of experience, he specializes in connecting big data and AI to deliver better ideas, optimized shopper connections, and proven business results.
Shaun's career spans both client and agency sides, working with some of the world’s most recognized brands. His expertise includes shopper marketing, customer marketing activations, and the seamless integration of broadcast, print, retail, digital, social, mobile, and influencer channels to drive strategic, insight-led campaigns that resonate with today’s shoppers.