Today I’m breaking down why Costco’s decision to publicly reveal its retail media tech stack sent shockwaves through NRF, and why it matters so much for advertisers, merchants, and retail media leaders alike. Retail media is one of the highest-margin revenue streams retailers have, but what happens when the pursuit of ad dollars starts to undermine the core business?

In this recap of my recent article for The Drum, I walk through the philosophy of Mark Williamson, head of Costco’s RMN, and why sales velocity, member experience, and merchandising discipline come before media profits. This episode isn’t about copying Costco’s vendor list — it’s about understanding how transparency, trust, and infrastructure can fundamentally reshape advertiser relationships and the future of retail media networks.

This episode is sponsored by Mirakl Ads

Timeline

[00:00] Why my Costco article became one of The Drum’s most-read pieces, and what that says about retail media curiosity

[01:45] The NRF moment that caught everyone’s attention: Costco reveals its full retail media tech stack

[02:45] The danger of chasing high-margin ad revenue at the expense of merchandising outcomes

[03:31] Costco’s hierarchy explained: sales velocity, member experience, and renewals come first

[05:33] The four-layer retail media tech stack powering Costco’s strategy

[07:39] Why transparency builds advertiser trust, and what other retailers should really learn from Costco

Links & Resources

• Costco just revealed its entire retail media tech stack. Why? (The Drum)
• Read my related articles:
  • My Notes From an Interview with Costco's RMN leader, Mark Williamson
  • Ace Hardware's RedVest Media: Notes From My Interview With Molly Hjelm
• LinkedIn Live on Thursday Feb 5 at 11am ET with Jordan Witmer (SALT): The Store As Media: Retail Media That's Scalable, Memorable & Worth Buying. Click here to join us!
• Subscribe to Retail Media Breakfast Club's daily newsletter
• Follow Kiri Masters on LinkedIn