Expert Insights: How Generative AI and Retail Media Are Reshaping Media Planning in 2025

Generative AI Is Changing the Creative Game

AI is becoming an increasingly powerful tool year-on-year, with generative AI tools aiding with the rapid production of content, including video, static, and text assets, which can be adapted for multiple platforms.

In fact, according to the Interactive Advertising Bureau’s ‘2025 Digital Video Ad Spend & Strategy Full Report’, 86% of advertisers are using (or planning) to use generative AI to build video ads, with generative AI to account for 40% of all video ads by 2026.

By analysing data, generative AI can create variations for micro-segments, allowing for hyper-specific targeting and greater relevance. And while generative AI can improve a worker’s performance by 40%, over-reliance risks making content and messaging feel too similar – even identical – across campaigns.

Therefore, human strategic oversight remains essential to keep brands differentiated. We’ve seen first-hand the benefits of integrating AI tools into creative workflows, but we also know how to best use AI without compromising a brand’s voice and image.

AI Buying: Efficient but Opaque

There are many different AI tools on the market, from chatbots such as ChatGPT to image generators like Midjourney, and productivity tools like Jasper.

And as AI works its way into every industry, it is now being built into media buying programs such as Google’s Performance Max and Meta’s Advantage+. These tools promise efficiency at scale, but they also highlight a key challenge: AI doesn’t always deliver the right outcomes.

Many users have reported a lack of control and transparency with both programs. For example, having issues with not knowing which keywords are being targeted or which placements are driving results.

Although these programs are getting campaigns seen, smart brands are asking: “Are we optimising for ROI, or just what the algorithm says works?”

No one wants to waste their marketing and advertising budget on investments that can’t be measured. That’s why, at Hello Starling, we help our clients by combining the speed of AI automation with human insight. We ensure campaigns reach the right audiences, in the right places, at the right time, all while keeping outcomes measurable and under control.

Retail Media’s Rise: What’s in Store for Retail Media Networks

Retail media isn’t going anywhere. In fact, 74% of brands are establishing a dedicated retail media advertising budget, and 56% of advertisers are using five or more retail media networks.

These networks have expertly adapted to a fast-paced, digital-first world. Platforms like Amazon Advertising, Tesco Media, and Walmart Connect provide unmatched first-party shopper data, becoming a powerful advantage to brands, especially as third-party cookies are phased out.

Retail media offers direct access to purchase outcomes through transactions and loyalty programs. Therefore, brands can target with precision using data such as purchase history, basket size, and product categories.

Crucially, campaigns aren’t just judged on clicks and impressions; they’re all tied to sales uplift and ROAS, making retail media networks one of the most accountable and ROI-driven channels on the market.

And generative AI is accelerating this shift. AI tools are already being used within retail media networks to further enhance ads based on purchase data, making ads even more relevant and timely. And as demand grows, these networks are expanding beyond retailer websites into social and CTV partnerships, widening their reach and impact.

However, challenges remain, with one of the biggest hurdles being poor channel integration. This complicates media buying and makes it harder to connect retail campaigns with broader social, digital, OOH, and TV activity.

That’s where Hello Starling comes in. We help brands cut through the complexity by weaving retail media seamlessly with broader, multi-channel strategy, ensuring campaigns work together to achieve optimal reach and measurable ROI.

The Continued Power of Media Planning & Buying Agencies

Generative AI and retail media aren’t passing trends; they’re reshaping the advertising industry. But while these tools unlock new opportunities, over-investing too soon risks missing core audiences and wasting budgets.

Nielsen’s 2025 Global Media Planning Report highlights this tension. While streaming and CTV are up by 40% in the US, countries like Poland still heavily rely on traditional TV viewership. Therefore, brands still need a nuanced, locally tailored media mix.

That doesn’t mean generative AI and retail media don’t matter. Instead, there’s an opportunity to find the right blend between legacy and emerging channels using data and strategic oversight. And that’s where media planning and buying agencies can deliver real value.

At Hello Starling, we focus on transparent, data-driven results that reflect both local and global audience behaviour. For example, we helped Visit Shropshire increase website visitors by 200% in their post-COVID campaign. This is proof that smart planning can drive measurable growth.

As generative AI and retail media continue to evolve, we’ll keep helping brands unlock the right balance across channels to maximise ROI.