Brands are keeping innovation flowing to serve diverse needs
24 PHARMACY: TECH & AUTOMATION
Companies have ramped up their offerings, and many are embedding AI in their platforms
32 HEALTH: DIGESTIVE AISLE GLP-1 drugs’ popularity, social media and multifunctional products are driving digestive health sales
36 CONSUMABLES: SPORTS DRINKS
New products have natural sweeteners, more electrolytes and
The Ethics of AI
Artificial intelligence holds the promise of much good, but its potential for harm is real
“APPLICATIONS IN CLINICAL AREAS ARE EMERGING MORE SLOWLY WHILE PHARMACISTS EVALUATE HOW PROFESSIONAL LIABILITY AND HEALTH DATA PRIVACY ARE AFFECTED.”
— Lisa Schwartz, PharmD, senior director of professional affairs at the National Community Pharmacists Association
Last month, we looked at the various ways artificial intelligence could transform and revolutionize the retail healthcare industry. We talked to industry watchers, consultants and analysts to predict and explore all the potential ways the technology could be used to free up time for pharmacists and create efficiencies for staff.
We learned how retailers are implementing AI-powered solutions in everything from chatbots that help provide customer service to data analytics tools that assist in category management. But we also learned something alarming: the technology comes with a growing list of ethical questions that need some consideration. In this issue, we get into them.
Our cover story (page 12) looks at the ethical concerns that retailers and suppliers must contend with, including patient data privacy, cybersecurity, misinformation and bias, liability and job displacement due to AI.
New tools can accommodate patient communication preferences by method, while other tools could help the pharmacy manage inventory or assure proper documentation and coding for medical billing or value-based contracts.
“Tech offers the promise of efficiencies that can only help the bottom line, but AI systems that handle sensitive health data require heightened vigilance,” our reporter writes. “Ensuring patient consent and maintaining HIPAA compliance are paramount. Missteps can not only breach trust but could also result in legal consequences.”
“Applications in clinical areas are emerging more slowly while pharmacists evaluate how professional liability and health data privacy are affected,” Lisa Schwartz, PharmD, senior director of professional affairs at the National Community Pharmacists Association, told us.
The list of pitfalls goes on, and they all bring their own set of issues. The bottom line is that everyone should be aware of the promise of AI but also be aware of the potential problems if the technology is misused.
As our reporter writes, the success of your business depends on it.
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CVS HEALTH GETS COURT APPROVAL OF RITE AID ASSET BIDS
The U.S. Bankruptcy Court of New Jersey approved CVS Pharmacy bids on the prescription files of 625 Rite Aid pharmacies across 15 states in areas that CVS serves, as well 64 Rite Aid stores in Idaho, Oregon and Washington. The transaction is subject to applicable regulatory approvals and other customary closing conditions. Additional details will be available closer to the transaction closing dates in the coming weeks, CVS Health said.
CVS Health issued the following statement: “CVS Pharmacy is America’s leading and best run national retail pharmacy with more than 9,000 community health destinations across the country. We’re well-positioned to serve our existing customers and patients, as well as those who may be transitioning to us from Rite Aid and are excited to introduce them to our best-in-class front store and pharmacy offerings, upon the closings of the transactions.
The statement added, “CVS Pharmacy plays an important and trusted role in the communities we serve, creating simpler, more accessible experiences for patients, customers and caregivers.”
The statement concluded, “We’re working closely with Rite Aid on plans to ensure that the transition will be seamless for patients and customers and access to pharmacy care is not interrupted. Once the sale is finalized, we look forward to welcoming Rite Aid colleagues who are interested in applying to join the CVS team.”
WALMART TO ELIMINATE ABOUT 1,500 JOBS
Walmart is planning to eliminate about 1,500 jobs as part of a restructuring effort to simplify its operations.
The restructuring will affect teams in Walmart’s global technology operations, e-commerce fulfillment in U.S. stores and its advertising business Walmart Connect, according to a Reuters report.
“To accelerate our progress delivering the experiences that will define the future of retail, we must sharpen our focus,” the memo said, per the report.
The Wall Street Journal first reported about the plan to cut jobs.
Walmart indicated that it would hike prices for some products amid President Trump’s trade war that affects its supply chain and increases expenses, the report noted, adding that Walmart had cut some roles and closed its office in North Carolina in February as part of its move to relocate employees to its main hubs in Arkansas and California.
A Walmart spokesperson provided Drug Store News with the memo that was sent to office-based associates from Suresh Kumar, global CTO and chief development officer and John Furner, president and CEO of Walmart U.S.
The memo stated:
“As we’ve modernized the business, it is always toward the goal of enhancing associate, customer and member
experiences. To accelerate our progress delivering the experiences that will define the future of retail, we must sharpen our focus.
We are reshaping some teams in our Global Tech and Walmart U.S. organizations where we have identified opportunities to remove layers and complexity, speed up decision-making, and help associates innovate rapidly. We are eliminating roles as well as opening some new roles aligned with our business priorities and growth strategy.
In Walmart U.S., these changes are mainly focused on driving efficiency in the End-to-End Operations teams, ensuring we’re serving them so they can best serve our customers. We’re also evolving the structure of our Walmart Connect marketing organization to position us for future success as we continue growing this business.
In Global Tech, we are evolving teams across the organization, with a focus on simplifying our structure to facilitate speed and innovation. Our tech strategy is centered on a build once, deploy widely mindset. When we create solutions that scale globally, it lets us show up consistently everywhere we operate so we can spend less time building
custom solutions for different areas and more time building world-class experiences for customers, members and associates.
The world of technology is evolving at an unprecedented pace, and reshaping our structure allows us to accelerate how we deliver and adapt to the changing environment around us.
We are working closely with affected associates on their next steps, including other opportunities within Walmart where applicable.” dsn
“ To accelerate our progress delivering the experiences that will define the future of retail, we must sharpen our focus ”
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The Future of Retail Pharmacy
Pharmacists have the training and the economic incentives to play a larger role in managing patients as part of the medical community
IBy Michael Abrams, MA
t’s probably fair to say that the past 10-15 years have not been great times for the retail pharmacy business. In fact, in the United States, nearly three out of every 10 pharmacies operating between 2010 and 2020 had closed by 2021. The study, published in the journal Health Affairs, found that in most states not enough new stores have opened to offset the closures. The risk of closure was higher for independent (versus chain) pharmacies and for pharmacies located in Black and Latino neighborhoods. It is likely that these trends have not changed in the past few years.
Analysts have identified a long list of csontributing factors behind this retrenchment. Inflation is front and center, driving up the cost of rent, labor and business services. Competition from online, specialty and food stores has squeezed margins on both “front of store” merchandise and medicines. Dramatically increased retail theft has forced stores to pay for more security measures that further cut into profits. Pharmacies that were not part of an insurer-PBM-chain pharmacy conglomerate were at a distinct disadvantage. Because a triad of PBMs control over 80% of the scripts filled in the country, independent pharmacies are often forced by contract to fill prescriptions for which they’re reimbursed less than their acquisition cost for the medicines they dispensed. Then there are shortages of pharmacists, pharm-tech candidates and even floor staff that have made staffing a challenge. Plus,consumer shopping habits have been shifting, too, so the “drug store” is not the traffic magnet that it once was. Since the pandemic, a number of retail giants in the United States have made serious efforts to integrate outpatient healthcare into their retail business. Despite what appeared to be a “natural fit” between the two, most of these efforts have been abandoned. In fact, we are seeing dramatic retrenchment in the number of retail pharmacies across the United States. CVS plans to close 270 locations in 2025 after 800 net closures over the prior three years; Walgreens Boots Alliance has
closed about 2,000 stores in the past decade, with 500 more planned for 2025. Rite Aid, similarly, has closed hundreds of stores as part of its emergence from Chapter 11 in Fall 2024.
So what about the opportunities facing retail pharmacies?
As a starting point, let’s take a look at the supply and demand for physicians across the U.S. The COVID-19 pandemic dramatically accelerated the departure of physicians from clinical practice. As of 2025, there is an estimated shortfall of 64,000 physicians relative to the demand for medical care. Given the average of 11,400 Americans turning 65 every day and the increased needs of this population for care, the prospect of a shortfall of as many as 86,000 physicians by 2036 represents a serious public health problem.
During the pandemic, community pharmacists demonstrated their value as part of the medical community, providing medication to patients, administering tests, vaccinations and other COVID treatments.
Since the pandemic, pharmacists have continued to expand their scope of practice to include clinical services such as wellness screenings, medication therapy management and chronic disease management, often working collaboratively with other healthcare providers.
There is an important place for pharmacists from the perspective of patients. A 2023 Wolters Kluwer consumer survey found that 58% of Americans are likely to visit a local pharmacy as their first step with a non-emergency issue, and 81% say they trust a pharmacist, nurse or nurse practitioner to diagnose minor illnesses and prescribe medications.
Physicians are already being overwhelmed by the growing “tsunami” of aging adults, many with chronic conditions. Pharmacists have the training and the economic incentives to play a larger role in managing these patients as part of the medical community. It’s time we recognized pharmacists as providers at the federal level. It just makes good sense. dsn
Michael Abrams, MA, is co-founder and managing partner of Numerof & Associates, a strategy and implementation consultancy.
PARENTS WANT
New and Noteworthy
HRG’s five notable products from May
1 3
2
Product introductions saw a modest increase in May versus the numbers seen in April, as the trade war subsided (temporarily) and the stock market volatility eased (slightly).
In May, suppliers introduced 205 new products, eight more than the 197 new items they released in May. Waukesha, Wis.-based HRG reviewed 12 products in the health category, 124 items in the wellness sector and 69 products in the beauty aisle to see which ones stood out as Products to Watch:
1. Biofreeze Ultra Flex Lidocaine Patch
Reckitt developed a lidocaine patch as part of its Biofreeze product line. According to the company, Biofreeze Ultra Flex Lidocaine Patch contains 4% lidocaine, which is designed to temporarily numb the skin and provide targeted, temporary relief from minor aches and pains associated with muscles and joints. It also emphasizes four-way flexibility, adhesion to stay in place, as well as being easy to remove. One pack has four patches.
2. Benadryl Allergy Liquid
Benadryl Allergy Liquid by Kenvue provides allergy relief from sneezing, runny nose, itchy, watery eyes and itchy throat or nose. Now available in a new liquid form for adults, the product is alcohol free, the company said. It’s available in a cherry flavor and comes in a 4-oz. bottle.
4
5
3. Neutrogena Clear Body Sunscreen Spray
Kenvue said its Neutrogena Clear Body Sunscreen is a lightweight, non-greasy sunscreen that will not clog pores. The spray moisturizes and cools skin with antioxidants vitamin E and B3 and is fast drying, the company added. Fragrance free and water-resistant for up to 80 minutes, it’s suitable for sensitive skin. It comes in a 5-oz. bottle.
4. Nervive Nerve Health + Glucose Support Gummies
Procter & Gamble has developed Nervive Nerve Health + Glucose Support in gummy form. The product helps nourish healthy nerve function and maintain blood sugar levels and circulation. Designed for diabetics, it has the active ingredient, chromium picolinate, to support healthy glucose levels. One bottle contains 48 gummies.
5. O’Keeffe’s Healthy Feet Intense Renewal Cream
O’Keeffe’s Healthy Feet is a 3-in-1 foot cream that is formulated with alpha hydroxy acid and shea butter to exfoliate, smooth and shed dry skin. The cream is hypoallergenic, non-greasy and formulated to create a barrier on the skin’s surface that locks in moisture. It comes in a 3-oz. bottle. dsn
ETHICS AND AI ADOPTION
As tech and artificial intelligence reshape pharmacy operations, industry leaders call for guardrails to protect patient care, privacy and pharmacy jobs
By Taffel Sturgeon
AIhas entered the pharmacy—not with a white coat and clipboard but with code, algorithms and a growing list of ethical questions that don’t come with an easy set of answers.
Among the ethical concerns to contend with are patient data privacy, cybersecurity, AI misinformation, bias, liability and job displacement.
For retail pharmacies, there is low-hanging fruit that can make operations more efficient and free up staff to focus on the still-vital aspect of operations around the human connection with consumers and patients.
“Inventory management and pricing is a no-brainer,” said Lisa Schwartz, PharmD, senior director of professional affairs at the National Community Pharmacists Association. “Ordering or checking the status of a refill should be automated as much as possible. Data from a point-of-sale system or wholesaler could give insights on individual product or category turns and adjust the seasonal plan.”
Ready for the first step?
Pharmacy owners are just starting to consider adopting AI to automate or simplify business processes. It’s a big step to take, but as the saying goes: By the end of the decade there might be two kinds of businesses—those that use AI, and those that are out of business.
“We are still scoping out how to best incorporate this into our pharmacy workflows and systems,” said Jeremy Faulks, vice president of pharmacy at Thrifty White Pharmacy, a chain of 88 pharmacies serving the upper Midwest. He said he “thinks it’ll be helpful” and is working on tech integration.
Part of that promise is AI’s ability to make predictions. Think of the ability to predict patient traffic throughout the day so managers can better plan for the day or week from staffing and inventory management perspectives.
Using data from manufacturers, wholesalers and public demand, AI can help predict drug shortages so that pharmacists may support patients by switching medications ahead of a shortage, saving time and resources later.
It can also predict risk for medication errors based upon an individual’s experience and the number of patient interactions in the hour or hours before.
New tools can accommodate patient communication preferences—by method (like phone or text message, for example) or by time of day. Other tools could help the pharmacy manage inventory, keep prices for OTCs and prescriptions competitive, or assure proper documentation and coding for medical billing or value-based contracts.
Which all sounds great. But watch out— store managers must act with integrity and intelligence around a host of virtual issues that can affect real-life people.
Patient data and security
Tech offers the promise of efficiencies that can only help the bottom line, but AI systems that handle sensitive health data require heightened vigilance. Ensuring
patient consent and maintaining HIPAA compliance are paramount. Missteps can not only breach trust but could also result in legal consequences.
“Applications in clinical areas are emerging more slowly while pharmacists evaluate how professional liability and health data privacy are affected,” said Schwartz.
The most important step in the process of developing an AI strategy is to just treat it like any other system that handles sensitive information. For internal company-approved AI systems, continue to use strong passwords, never share login credentials and be cautious when entering personal or health data.
“Pharmacy teams don’t need to be tech experts to play a critical role in protecting patient data,” said Dennen Monks, field tech strategist at CrowdStrike, a leading data security firm. “AI can be a helpful assistant, but like any technology it needs to be used carefully and with clear guardrails.”
Monks told DSN of a range of threats pharmacy managers should keep in mind. “Threat actors,” as he calls them, can trick AI systems by feeding them bad information, interfering with how they make decisions, or slipping in harmful data that can put important systems at risk. Attacks can expose sensitive information, make the AI provide bad advice or incorrectly represent company objectives.
“In a real-world setting like a drug store, that could mean manipulating AI systems used for inventory, scheduling, or even customer interactions,” said Monks. “The risks are real, especially as more critical decisions are delegated to AI. But they’re also manageable. With the right safeguards and threat intelligence, organizations can embrace AI’s benefits while staying protected.”
Vigilance means watching for AI systems that might provide bad information, interfere with how store staff makes decisions, or slip in harmful data that can put important systems at risk. Robust cybersecurity strategies should be implemented, said Monks, in order to protect against ransomware, data theft and operational disruptions.
“If you’re using AI-powered chat or scheduling tools, double-check their suggestions
before acting on them,” said Monks. “And if anything seems off, like unusual system behavior or questionable recommendations, report it.”
Bias and misinformation
Here’s what really concerns anyone using AI: that bots get their information from the world wide web. Remember the old saying to only trust half of what you read? That was in the golden era of professional publications with journalists, editors and fact-checkers.
But now these large language models are pulling information from sources that are not always quite accurate. You might say they know just enough to be dangerous. And what may be worse than flagrant violations or occasional obvious mistruths are subtle forms of institutional bias.
This bias is baked into the cake because much historic published human clinical research was conducted on Caucasian males. This is starting to change to include women, less so for ethnic minorities and those groups not well represented in medical studies.
For instance, women and Black people are more likely to suffer adverse
drug effects compared to the white men who have been studying subjects for decades, results of which inform AI systems. However, the emerging studies that demonstrate this are not always enough to inform systems that inform practitioners who prescribe medicines to patients.
“AI tools have to learn from data, and data are produced in the real world. That means they learn about what does happen in an inefficient, error-prone and unfair health system, which is often a far cry from what should happen,” said Ziad Obermeyer, MD, a physician and researcher who works at the intersection of machine learning and health. Time magazine called him one of the 100 most influential people in AI.
Obermeyer advocates that AI tools have to be developed and evaluated with the utmost of caution. For pharmacies looking to use AI as a tool in operations, one question every store manager should ask an AI vendor is what kind of evaluation has been conducted to make sure the algorithm works as expected.
“It is important to recognize that AI models do contain bias,” said Brigid Groves, vice president of professional affairs at the American Pharmacists Association. “So
“The risks are real, especially as more critical decisions are delegated to AI. But they’re also manageable.”
before the data is used to make decisions or process change, you need to understand the model that created it.”
That means work on the front end to make sure AI tools are aligned with ethical care standards. It means ensuring AI tools are not unintentionally delivering different care to different kinds of customers. Pharmacies must scrutinize AI inputs and training data to avoid perpetuating health inequities.
“Collaborations between pharmacy professionals, AI developers and other healthcare professionals can enhance AI programs and tools to support pharmacists,” said Groves.
That fear around bias and misinformation can go straight to consumers as they engage with the healthcare system.
Already, insurance giant Cigna has been subject to a class-action lawsuit alleging its AI algorithm, PxDx, is rejecting claims at a rate of 1.2 seconds per claim. These original healthcare decisions are made by actual doctors whereas the claims rejections derive from bots. TikTok abounds with videos explaining how “AI denied my medical claim.” Good luck getting that claim denial overturned.
—Dennen Monks, CrowdStrike
CAN REGULATIONS TAME THE BEAST?
An October 2023 executive order signed by then-President Biden called for the safe, secure and trustworthy development of AI. It included concerns around healthcare, specifically “when AI use deepens discrimination,” and “where mistakes by or misuse of AI could harm patients … including through bias or discrimination.”
This Biden executive order was supplanted by a brief one signed by President Trump in January 2025, which called out societal harms around bias but only in the context of “engineered social agendas” and did not specifically mention healthcare.
Although Congress has not passed any legislation, several bills are pending.
For its part, the American Pharmacists Association’s House of Delegates in 2024 passed a suite of policies regarding the “judicious” use of AI, ensuring pharmacist inclusion rather than replacement in pharmacy practice.
AI, concluded the policies, must elevate the pharmacist’s role, not replace it. Education, caution, collaboration and transparency will ensure AI supports both patient care and professional dignity.
These APhA policy prescriptions included:
¤ Using pharmacists in designing AI programs.
¤ Using programs to elevate the practice and enhance patient care.
¤ Ensure patient safety and privacy.
¤ Mitigate bias and misinformation
¤ User training in the lawful, ethical and clinical use.
With such automatic healthcare decisions being made by AI, is it any wonder consumers should be concerned about this brave new world? That concern should also go straight to your drug store practice.
Is AI coming for your job?
As automation takes over tasks traditionally done by pharmacists or techs, fears of job loss must be addressed. All across the world, people are concerned that robots are coming for their jobs. Are those concerns founded? “Some may see it as a threat,” said Groves, “while others view it as a tool to increase capacity so that pharmacists may expand the scope of the offerings at their location.”
Even in these heady, early days of AI adoption, people are seeing that AI is a tool, a co-pilot, one that still needs human input. Thoughtful workplace planning, even retraining in some situations, is a key management consideration. Transparency about shifting roles and upskilling opportunities is crucial for morale.
“Communicating with staff about how their duties shift to tasks that can’t be automated is important to help people feel valued,” said Schwartz.
Store managers must act with integrity and intelligence around patient data privacy, cybersecurity, AI bias liability and job displacement fears.
Stay human
At the end of the day tech is not here to replace us but to help serve us more efficiently and effectively. The vital human connection cuts both ways. For one, while clinical judgment can be aided by insights delivered by AI, such as recognizing drug-drug interactions and providing warnings, it’s the human doctors and pharmacists who make the final call. These people are also the ones responsible if something goes wrong.
“There is no abdicating professional responsibility,” said Schwartz. “Clinical judgment may be aided by insights served up by AI, but it is ultimately up to the pharmacist.” That means treating AI tools as just that—tools. And at the end of every tool is a human hand, a human brain— and a human heart.
“AI tools are unable to replicate human characteristics,” said Groves, “such as empathy and ethical judgment.”
At retail, the human connection means keeping a focus on the patients who rely on pharmacists to diagnose and treat them. That goes beyond the treatment of patients and to the business of engaging with customers and delivering person-centered care.
“As long as patients still perceive they have the power to request a human,” counseled Schwartz, “using AI to interact with patients by phone, text or chatbot can improve satisfaction with the pharmacy.”
The success of your business depends on it. dsn
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MORE THAN 2 PEOPLE DIE OF SKIN CANCER IN THE US EVERY HOUR
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Multicultural Super Power
Brands are keeping innovation flowing to serve diverse needs
The recent Met Gala, themed “Superfine: Tailoring Black Style,” spotlighted the influence of Black style in the beauty industry. The “blue” carpet celebrated natural hair, featuring braids, textured afros and sculpted curls reminiscent of Josephine Baker.
Walmart recently added Lola From Rio to its mix, a brand getting a push on social media as trends from Brazil create a buzz. Meanwhile, Eva + Avo, a Latina-owned avocado oil brand, entered more than 1,000 Target stores earlier this year after success online. The brand is also stocked at CVS, Walmart, H-E-B and Giant Eagle.
In honor of Asian American Pacific Islander Heritage Month in May, Target featured brands Cocokind, founded by Priscilla Tsai, and Rael, a brand created by a trio of American Korean women. K-beauty is experiencing a second act in mass doors, with brands such as Chasin’ Rabbits and Knours, gaining shelf space.
There is a lot of potential. More than 33 million people in the United States identified as multiracial (meaning they reported two or more races), according to the most recent Census. Multicultural consumers over index in many beauty categories. And a Circana study in collaboration with SeeMee Index revealed that inclusive beauty products grew 1.5 times faster than less inclusive competitors.
“Today’s consumers want to be truly seen by the brands they support,” said Larissa Jensen, senior vice president and global beauty industry advisor for Circana. “The data is clear: beauty brands that are inclusive at every level grow faster, and inclusivity is a key component for business success.”
Despite some pushback against DEI efforts, the beauty industry remains full speed ahead in expanding offerings to serve a diverse shopper base.
“Multicultural beauty isn’t a category anymore,” said Juan Morillo, office manager for Okay Pure Naturals. “It is the
beauty market. And if we’re going to keep showing up, we need products that actually show up for us.”
For its part, Morillo said Okay’s Rosemary Hair Care Collection satisfies demand for rosemary, a trending ingredient on social sites. The collection includes a shampoo that cleanses without drying and a conditioner that softens without leaving a residue on the scalp.
“Rosemary’s not new, but the way people are using it right now definitely is. What started as a home remedy in a lot of cultures has now blown up on every corner of the internet,” Morillo said.
“From TikTok tutorials to dermatologist breakdowns, everyone’s coming back to what multicultural beauty has always known: rosemary promotes growth, strengthens hair and keeps the scalp balanced. It’s something that’s worked for generations.”
Ingredient stories drive sales with multicultural audiences. Guava is a key ingredient behind Camille Rose’s Guava Slip Collection. Guava, according to the company, is known for its rich vitamin content, particularly vitamins A and C, which are essential for maintaining healthy, hydrated hair. The collection introduces four new products: the Whipped Souffle, a Leave-In Conditioner, a Shampoo and a Conditioner.
Kiss isn’t just about nails and lashes anymore. The company’s Kiss Colors & Care line is gaining traction in mass doors. Kiss just launched a Healthy Hair Fixation Trio, a Multivitamin Oil Collection and an Anti-Reversion Heat Protector Collection to keep the momentum going. The product extensions reflect the intelligence Kiss gathers from consumers that revealed interest in products for scalp care and hair growth.
“At Kiss Colors & Care, we are deeply committed to listening to our community, understanding their challenges and delivering innovative solutions to enhance hair and scalp care routines,” said Karonda Cook, director of global
marketing at Kiss Colors & Care.
Also new is the Anti-Reversion Heat Protector Collection, designed to protect textured hair from heat damage and reversion. It includes the Anti-Reversion Heat Protector Hair Oil Serum, AntiReversion Heat Protector Hair Oil Spray and Anti-Reversion Heat Protector Keratin Spray.
Lola From Rio hosted a bustling booth at Cosmoprof North America in Miami last January, with retailers applauding its positioning as Brazilian beauty moves to the forefront.
“Multicultural consumers are at the heart of Lola From Rio’s mission, and we see a huge opportunity in offering vegan, high-performance hair care that’s also fun, accessible and rooted in Brazilian beauty rituals,” said Katherine Moron, CEO of Tu Azul, the distributor for Lola From Rio in the United States.
“One of the challenges is cutting through a crowded market to authentically connect
with diverse shoppers whose needs vary widely,” Moron added. “That’s why we focus on transparency, inclusive product design for all hair textures, and culturally relevant storytelling across our marketing channels.”
The brand’s Meu Cacho Minha Vida line, especially the Combing Cream and Jelly, is experiencing a sales bounce from social media, generating over 9.2 million views from March to May.
Kids have special needs for managing textured tresses, according to Psychelia Terry, founder and CEO of Urban Hydration. She recently expanded the assortment in her Breath of Fresh Hair Kids collection at Walmart. The new items include a No Frizz Curl Control Styling Mousse and a No Frizz Detangling Shampoo.
“As a mom and founder, I wanted to create products that make caring for curly kids’ hair joyful, stress-free and safe. This launch in Walmart means more
families can access clean, effective hair care that celebrates texture and culture,”
Terry told DSN
Stocking items for multicultural consumers includes accessories to maintain hair styles. Firstline Brands, celebrating its 40th year in business, is a go-to resource for solutions. Among the innovations hitting shelves at chains, including CVS and Walgreens, are the Evolve Jet Set Scarf Visor combines style and practicality while providing edge protection and sun protection in one accessory. The Evolve Triple Pro Styler Comb offers a three-in-one solution for detangling, parting and styling.
The company also responds to retailer and consumer interest in sustainability.
Firstline’s Camryn’s BFF Eco-Friendly Vented Detangler is designed with environmentally conscious materials to deliver tangle-free hair care while minimizing environmental impact, according to Firstline Brands president and CEO Joni Odum.
Merchandising Strategies Emerge Retailers can’t overhaul planograms overnight, but many are revamping departments to present products by need rather than separate ethnic departments.
“Lola From Rio performs best when our products are merchandised by hair
Okay Pure Naturals
Rosemary Hair Masque
Okay Pure Naturals
Rosemary Natural Oil
need—like curl care, hydration or hair growth—rather than by ethnicity or nationality,” said Moron.
“While we’ve been placed primarily in international and some multicultural sections, we see stronger engagement when shoppers can easily find us alongside other solutions for their specific hair goals,” Moron added. “Shelf education and clear category segmentation help demystify routines and encourage trial.
We also see an uplift when our vegan, eco-conscious formulas are called out at shelf since that aligns with what today’s beauty shoppers are actively looking for.” Walmart is among the retailers revamping hair care departments to group products by need and type rather than by ethnic. Straight, wavy, curly and men’s are examples of hair types that are presented in the planograms rolling out across the chain. dsn
Tech and Automation Disruptors
Pharmacy technology and automation companies are embedding AI in their platforms to ensure pharmacists can do more
By Sandra Levy
With pharmacists having attained an expanded clinical role in improving patient outcomes, enhancing operational efficiencies is more critical than ever.
To that end, pharmacy technology and automation companies have ratcheted up their offerings, and they are providing highly sophisticated systems, some of which rely on AI, to ensure that pharmacists can provide more clinical care to patients.
Packaging is one area where companies are forging ahead to enhance pharmacists’ efficiencies. Jones Healthcare Group is a prime example.
James Lee, director of innovation solutions at Jones Healthcare Group, said that over the last 18 months the company met with pharmacy staff and nurses to understand how medication adherence packaging is functioning in practice and where it creates friction.
“What we heard directly shaped how we redesigned our packaging to be more intuitive, more efficient and better aligned with real-world environments,” Lee said. “Our packaging doesn’t just integrate into automation systems—it actively enables them, because we understand the full workflow, from medication fill to final verification.”
When a leading customer challenged Jones Healthcare Group to develop a fully recyclable adherence pack, the result was Qube Eco, which is entering pilot testing. “It’s tailored to individual automation platforms to optimize output and sustainability simultaneously,” Lee said.
“Through connected and intelligent packaging, we’re continuing to explore how technology can improve patient adherence,” Lee said. “Whether through NFC interactions or integrated digital tools, we’re focused on packaging as a bridge between pharmacy workflow and patient engagement.”
Pharmacy fulfillment company iA also is answering pharmacists’ call to be more efficient by providing an integrated platform of capabilities to support centralized, community and shared pharmacy fulfillment solutions.
CEO Tom Utech said that by leveraging centralized pharmacy fulfillment solutions, automation and robotics, pharmacies can manage the entire prescription fulfillment process from prescription acceptance to delivery. “Benefits can include the reduced risk of human error and improved efficiency, as well
mission: zero touch
Reinvent Pharmacy
Less Complexity. More Time.
Transform pharmacy by automating virtually every aspect of prescription filling and pickup.
as easing the workload on overburdened pharmacists and staff,” Utech said.
EnlivenHealth, a division of Omnicell, has expertise in streamlining and connecting workflows so pharmacists can improve the patient experience and drive better outcomes.
Jason Ausili, senior director of solution sales and transformation, said that pharmacy business today includes both dispensing medication and providing clinical care services, increasing the risk for separate workflows and the potential for gaps and bottlenecks.
“The key to streamlining pharmacy operations isn’t just in simplifying workflows—it’s in connecting workflows. Bringing the two sides of the business together creates a better experience both for the patients and for the pharmacy staff,” Ausili said.
Ausili also pointed out that mobile apps put many functions of the pharmacy directly in patients’ hands, empowering them to refill prescriptions, schedule appointments, self-service their sync schedule for chronic medications and even pay for prescriptions.
“What we heard directly shaped how we redesigned our packaging to be more intuitive, more efficient and better aligned with real-world environments.”
— James Lee, director of innovation solutionst, Jones Healthcare Group
Additionally, EnlivenHealth’s Outbound Communications enables pharmacists to create automated campaigns, such as a messaging campaign that reaches out to patients about clinical services that they qualify for, allowing them to schedule an appointment.
MedAdvisor Solutions is also helping pharmacists address the need for personalized care experiences.
Vinod Subramanian, chief operating and AI officer, said, “We see the future of personalized patient engagement as both pharmacy-led and platform-driven. This means empowering pharmacy teams with tools that don’t just send reminders, but deliver the next best action for each patient,
based on real-time needs, medication history and behavioral insights.”
MedAdvisor Solutions’ platform combines AI, flexible automation and omnichannel capabilities, including SMS, print, in-app and in-store, to help pharmacies proactively engage patients, without adding to their workload.
“Whether it’s supporting new therapy starts, driving vaccine uptake, or improving adherence in chronic care, the platform adapts to the pharmacist’s workflow and the patient’s preferences,” Subramanian said.
Innovative tools like Interactive Medication Assistant, the company’s AIpowered medication assistant, extend
this further, giving patients 24/7 access to pharmacist-reviewed medication guidance.
ScriptPro is not sitting on the sidelines when it comes to giving pharmacists more time to improve outcomes. Darin Gleason, U.S. retail sales director, said that technology, particularly automation, plays a pivotal role in helping pharmacies reclaim their time.
Furthermore, Gleason said programs that synchronize and automatically refill prescriptions increase the likelihood that patients are taking their medications
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as prescribed. “This not only improves health outcomes but also gives pharmacies control over their daily workflow,” Gleason said. “Instead of reacting to lastminute refills, they can plan proactively, shifting from fire drill mode to a more structured, strategic approach.”
Matt Wigdahl, vice president of software technology at ScriptPro, added, “ScriptPro is committed to the thoughtful use of cutting-edge AI technologies, both to improve our internal processes and to provide advanced features in our software that assist pharmacists in delivering safe, effective care while maintaining their clinical judgment.”
Employing embedded AI to enhance the patient experience also is fast becoming the bailiwick of XiFin Pharmacy Solutions. Emphasizing that every insurance card is different and that the system is already burdened with complexity, David Pope, chief pharmacy officer, said this lack of standardization leads to delays and errors.
“By applying technologies like optical character recognition, natural language processing and machine learning, AI can interpret and provide input regardless of the variations, eliminating repetitive paperwork, improving data accuracy and speeding patient visit times,” Pope said, noting that real-time alerts can surface potential medication issues, providing pharmacists with timely, data-driven insights.
Unexpected medical bills remain a major source of frustration for patients, Pope said. “AI, powered by ML, can now provide accurate estimates of patient responsibility by analyzing historical payment and encounter data. This not only minimizes billing surprises but also strengthens trust between the patient and pharmacist while improving collection rates,” he added.
For Knapp, being a technology partner with its retail pharmacy customers
includes AI, software and the company’s overall automation solutions that enhance pharmacists’ workflows and improve patient interactions.
Brian Sullivan, principal, pharmacy solutions North America said Knapp automates DSCSA scanning for incoming medications at retail pharmacies, central fill pharmacies, warehouses and wholesalers. “This significantly reduces the burden on staff and the associated medication costs for patients,” Sullivan said.
Knapp’s technologies also are being used for enhanced workflow efficiency.
“In our retail customers’ central fill pharmacies, Knapp uses KiSoft PES software to move up to 100,000 prescriptions per shift through the facilities,” said Sullivan.“This system provides granularity and predictive guidance, allowing the pharmacy to visualize inventory throughout the facility
“The key to streamlining pharmacy operations isn’t just in simplifying workflows—it’s in connecting workflows. Bringing the two sides of the business together creates a better experience both for the patients and for the pharmacy staff,.”
— Jason Ausili, senior director of solution sales and transformation, EnlivenHealth, a division of Omnicell
and proactively address maintenance and support issues.”
Knapp’s Smart Picking with Intelligent Robotics also helps ease pharmacists’ workload. Within Knapp’s pharmaceutical operations, systems include technologies that use Knapp AI to remember the medications they picked before.
McKesson also is making strides when it comes to the integration of AI, software and automation.
Eddy Sookswat, senior vice president, commercial strategy and innovation, said, “At McKesson, we have access to data analytics which we’re able to harness to offer innovative, intelligent solutions that support our pharmacy customers’ business and patient care. AI algorithms within McKesson’s pharmacy management solutions can forecast future demand for specific medications based on historical data and current trends. This helps pharmacies maintain optimal stock levels, reduce overstocks and ensure that necessary medications are always available.”
McKesson also has developed a recommendation engine run by generative AI that automatically suggests costeffective options that a pharmacist can consider when searching for certain generic drugs.
Cardinal Health is stepping up to the plate with advanced solutions that include AI. Tony Steiner, national vice president, solutions and programs, said, “Within our solutions portfolio, we are leveraging AI and automation capabilities to enhance functionality and add new capabilities tailored to the needs of retail pharmacies. We are currently upgrading our inventory management solution, which will leverage advanced algorithms to optimize inventory levels and more accurately predict demand.”
Additionally, Cardinal Health is adding intelligent forecasting capabilities to
“When I think about innovation, it’s about enabling pharmacists to work within a single, cohesive system, driving efficiency while empowering them to meet patients where they are.”
—
Alex Miguel, chief clinical and product officer, Outcomes
help pharmacies generate daily orders, as well as logic that will identify return opportunities to better optimize inventory and increase cash on-hand.
Cardinal Health’s ordering platform, VantusHQ, features a search engine powered by AI that analyzes customer behavior to deliver smarter results, so pharmacies can find the products their patients need faster.
The company also is leveraging a combination of AI Intelligence and machine learning capabilities through its InteLogix Platform, to enable pharmacies to make more informed purchasing decisions, improve profitability and better mitigate supply chain disruptions.
Outcomes also is a leader in increasing pharmacists’ efficiencies.
Alex Miguel, chief clinical and product officer, Outcomes, said, “When I think about innovation, it’s about enabling
pharmacists to work within a single, cohesive system, driving efficiency while empowering them to meet patients where they are.”
Over the past year, Outcomes has merged two clinical pharmacy and engagement platforms, executed deep integration of one of its pharmacy management systems into the clinical suite and launched an AIpowered pill counting software within its telepharmacy offering.
Surescripts continues to lead collaborative innovations that advance trusted health intelligence sharing to address health care’s most pressing challenges.
In 2024, Surescripts facilitated 27.2 billion exchanges of patient clinical and benefit information, connecting 2.29 million care providers and organizations and virtually every insured American.
“This means care providers have access to the clinical and benefit information they
need to provide quality, safe and less costly care for their patients,” said Meg Murphy, pharmacy and regulatory affairs manager.
Murphy added that Surescripts Health Information Network is continuing this work to allow pharmacists to access clinical insights via a single, secure connection, reducing the portals, phone calls and faxes needed to fill information gaps.
CoverMyMeds’ in-workflow offerings include electronic prior authorization, automated claims processing, prescription automation and affordability options like copay programs and cash pricing.
“Our patient-first approach helps ensure solutions are designed to meet evolving needs, and our focus on system implementation, configuration, training and ongoing support helps pharmacists automate and operate at their full potential to drive better health outcomes,” the company said. dsn
Gut Reactions
GLP-1 drugs’ popularity, social media and multifunctional products are driving digestive health sales.
By Debby Garbato
Today’s digestive health category can be described as anything but gut wrenching. Once confined to scientific journals and health food stores, the topic has gone mainstream, buoyed by the popularity of GLP-1 drugs, consumer education and growth in major retail channels. GLP-1 drugs have (often temporary) side effects that digestive health products can alleviate, like nausea, vomiting, bloating, diarrhea and constipation. According to the KFF Health Tracking Poll, 12% of adults take (or have taken) GLP-1s. TD Securities projects the GLP-1 market will reach $139 billion by 2030, up 2.6 times from 2024 sales. GLP-1’s are prescription drugs used for diabetes treatment, weight loss and heart attack and stroke prevention.
On the education front, social media influencers are also driving sales. In January 2024, a new global record was set in online traffic for the topic of digestive health, indicated Clasado Biosciences’ website. But consumers must often wade through a cavalcade of legitimate information and nonsense.
“GLP-1 drugs have shifted consumer focus towards gut health, muscle maintenance and overall nutritional sufficiency,” said Dr. Mastaneh Sharafi, PhD RD, SVP of science and innovation, Ritual. “TikTok and Instagram have amplified awareness, with influencers and functional medicine doctors fueling curiosity. Growing clinical research has helped legitimize ingredients like specific probiotic strains and postbiotics.”
In 2024, U.S. digestive health sales climbed to $9.59 billion from $8.92 billion in 2023, said Precedence Research. By 2033, the market is expected to reach $18.66 billion, increasing at a CAGR of 8%. Most sales are from probiotics. This is expected to continue.
Educational Resources
For consumers, digestive health can be confusing, with many non-professionals touting products and purported benefits. An online roster of the top 60 U.S. online influencers in probiotics, for example, included doctors and nutritionists as well as selfproclaimed workout and health food gurus.
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“Digestive health isn’t easily understood,” said Jennifer Nadelson, senior director marketing and category lead, digestive health, Haleon. “There’s lots of content and misinformation.”
Probiotics can be particularly baffling. “People still don’t understand what they’re supposed to do,” said Chris Czech, senior director of sales, Nature’s Way. “They’re tough to shop. Information on how much live culture products contain is confusing. Many people want a quick fix. It takes 30 days for products to work.”
Digestive health requires comprehensive education by professionals. “Social media is definitely a key piece,” Nadelson added. “We lean into influencers who have credibility in the scientific space and the roles products play, like medical professionals, dieticians and nutritionists.”
Some suppliers are initiating proprietary educational programs. Last summer, Nestle Health Science launched www. glp-1nutrition.com, a nutrition support platform that talks about weight loss medications like Ozempic and Wegovy. It discusses specific digestive health products and how fiber and prebiotics promote gut health and support digestive comfort during weight loss. It also explains micronutrients and offers articles by medical professionals.
“The market for anti-obesity medications is expected to expand, with a substantial increase in numbers of users over the next decade,” Brian Groves, president, Lifestyle Nutrition, Nestle Health Science U.S. “Nestlé is leveraging its expertise in nutrition and health to position itself
in the GLP-1 market. This involves developing products that support weight management and overall health, ensuring that consumers have access to a holistic treatment approach.”
Online awareness, coupled with young adults’ interest in natural products, is furthering the category’s growth in traditional channels. “It’s definitely getting bigger in mass,” said Lou Machin, president, Lifelab. “Gen Z is very interested in organic products. Millennials almost equally. They want safe products without dyes and artificial ingredients.” Added Chuck Tacl, senior advisor of customer and trade relations, Mason Vitamins, “social media is driving digestive health interest among younger generations. There’s more awareness of what’s going on in the gut among millennials and Gen Zers.”
Digestive health supplements, particularly those with natural ingredients, have historically been the bastion of health-oriented retailers, not mass, grocery, drug and club. “In Whole Foods or Fresh Thyme, you’ll see 50 probiotics,” said Tacl. “There’s fewer in mainstream channels.” Tacl noted that regional grocers like Hy-Vee, Meijer and Wegman’s in particular “are doing more from an assortment standpoint.”
Multi-functional products
While probiotics continue to dominate, the category is seeing new twists, like combinations of ingredients and benefits. Pre- and post-biotics, along with enzymes, are also gaining attention. Haleon, for example, is offering Benefiber, a plant-
based, pre-biotic fiber supplement with ginseng and vitamin B. It helps support existing gut bacteria, optimizing gut health. It completely dissolves and can be added to beverages and even baked goods. “Consumers want multi-functional products,” said Nadelson. “In addition to pre-biotic fiber, vitamin B and ginseng provide added benefits of energy.”
Haleon is also targeting younger adults with Tums Gummy Bites and Tums Gummy Bites with Ginger. The latter addresses the traditional problems of heart burn, upset stomach and indigestion along with nausea support. Added benefits “speak to a value proposition,” added Nadelson.
Ritual’s Synbiotic+ combines prebiotics, probiotics and postbiotics in a delayedrelease capsule that delivers strains directly to the colon—not the stomach— for optimal impact, said Dr. Sharafi. It uses clinically studied ingredients and does not require refrigeration thanks to moisturecontrolled bottle technology.
Social media is sparking interest in enzymes that help digest particular foods. “The body may not produce enough enzymes to break down certain foods,” said Czech. “Enzymes are gaining more awareness and are something to watch.” Nature’s Way offers an enzyme that helps break down lactose, one that addresses gluten intolerance and two formulas that blend multiple enzymes to help digest multiple foods.
Magnesium is also important to gut health. Mason is emphasizing two formulations: magnesium glycinate and magnesium citrate. Magnesium regulates muscle contractions in the gut, helping food move through the digestive tract. It can help with heartburn, indigestion and constipation, said Tacl.
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Hydration Nation
New products have natural sweeteners, more electrolytes and a wider variety of consumers
By Nora Caley
Sports drinks have changed over the years, in formulations and in marketing. Once a narrow category of beverages that helped elite athletes stay hydrated, products are now marketed to a wider range of consumers, such as weekend warriors, outdoor laborers and people who consider hydration part of their wellness routines. As manufacturers redefine sports drinks’ use occasions, they are changing ingredients and updating packaging.
According to ResearchAndMarkets.com, the global sports drink market was valued at $38.42 billion in 2023 and is projected to grow at a compound annual growth rate of 8.9% from 2024 to 2030. The report points to increased participation in sports and fitness activities, effective branding and marketing by key companies and ease of availability as drivers of this growth. Among the newer innovations, the report noted, are coconut water, fruit extracts and plant-based electrolyte sources. Manufacturers are expanding the category with new products and helping retailers attract a larger segment of the population who could benefit by being hydrated all the time.
Flavor wins
As manufacturers redefine sports drinks’ use occasions, they are changing ingredients and updating packaging.
Sugar-free is a big trend now, but with sports drinks, it has been a challenge to make the products taste good. “What’s really
TriuLabs Hydrate Electrolyte Drink Mix
important is flavor, and nobody can get it right,” said Brandon Pogue, founder and CEO of TruLabs. “I think a lot of people will drink something because they think it’s good for them and they suffer through it.”
TruLabs makes Hydrate electrolyte drink mix in stick packs that the user can open and mix in 16 to 20 ounces of water. The mix is available in several flavors, including new Citrus Splash and Orange Twist. It contains 1,422 mg of five electrolytes: sodium, chloride, potassium, calcium and magnesium, plus 19 vitamins and minerals.
Hydrate is sweetened with monk fruit, to meet consumer demand for a natural, zero-calorie sweetener. “They don’t want sugary drinks, and they don’t want salty drinks,” Pogue said. “They want drinks they can drink every day.”
The product is designed not just for endurance athletes but also for people doing chores outside, families doing sports and anyone else.
Stay hydrated
Consumers seem eager to embrace the narrative that they need to increase their hydration level. For example, shoppers’ efforts to purchase sold-out Stanley water tumblers became a social media phenomenon last year. One of the newest categories of franchises people can invest in is IV vitamin therapy hydration stations—locations open for medical and non-medical uses. Online, aspiring experts toss around factoids, such as that 75% of Americans are chronically
dehydrated. (Not true, according to the National Library of Medicine, National Center for Biotechnology Information website, but dehydration is common among older adults, at prevalence rates of 17% to 28%.)
For consumers trying to stay hydrated, manufacturers are launching sciencebased products with clean ingredients. Biolyte makes electrolyte supplements in mixes and ready-to-drink bottles, providing what the company said is medical-grade hydration. The company was founded by an Atlanta physician, Trey Rollins, when his wife struggled with dehydration while undergoing chemotherapy.
Jesslyn Rollins helped launch the family owned business by selling Biolyte out of the back of her vehicle to high school athletic programs. Today the products are available nationwide in food, drug and mass stores, and convenience stores are an especially strong channel.
“Our mission is to simplify hydration,” said Rollins, who is CEO. Drinking large amounts of water can do more harm than good, she explained, so Biolyte is super concentrated with 6.5 times more electrolytes, including sodium, chloride and potassium, than leading sports drinks, the company claimed.
“The category as a total has really enhanced the number of electrolytes in drinks, but they are not skimming the surface of what you find in the human body,” Rollins said. “Biolyte quickly and efficiently matches the exact electrolyte
levels in your body.” (Her mother, Jeannine Rollins, has since recovered.)
More than hydration
Sports drink manufacturers have long maintained that electrolytes make the products more effective than water for maintaining hydration levels. Innovative new drinks have additional ingredients that offer other benefits. Swanson Health makes Simply Hydrate, an electrolyte mix that contains vitamin B12 for a boost of energy, taurine to reduce exerciseinduced muscle cramping and vitamin C for immune support.
“Customers are looking for functional products,” said Britta Sather, senior manager of regulatory affairs. “They are also looking for convenience, to take it on the go.”
The electrolyte mix is sugar-free and vegan, and is available in a variety of flavors. The mix also has 1,025 mg of electrolytes per serving.
Swanson Health also makes preworkout mixes and protein powders for post-workout or to help maintain protein levels when using GLP-1 drugs. There is also a whimsically themed Ultima Replenisher Mocktini Variety Pack for daily hydration, with zero carbs, caffeine or sugar. It’s also keto friendly.
“Consumers are more aware of what they’re putting in their bodies,” said Sather, a licensed nutritionist. “They cut back on sugar, avoid artificial sweeteners and colors, and look for functional products.” dsn
Swanson Health Whey Protein
Biolyte makes electrolyte supplements in mixes and ready-to-drink bottles.
Connected TV and Retail Media
Retail media is evolving, and Connected TV is emerging as a key driver
By Nich Weinheimer
Retail media is undergoing a seismic shift, and one of the most significant developments is the rise of Connected TV as a key channel within commerce media. In fact, 94% of U.S. consumer goods brands, agencies and manufacturers say they see significant opportunities in leveraging CTV within their retail media strategies, according to The State of Retail Media 2025 industry survey, by omnichannel advertising platform Skai and the Path to Purchase Institute .
Based on this report, CTV’s appeal for retail media advertisers is clear: 54% of brands and agencies identify enhancing brand perception as CTV’s biggest opportunity, while 52% point to increased engagement through dynamic content and data-driven targeting as major advantages. Retail media data—such as purchase history and browsing behavior—is fueling a new era of personalized ad experiences on CTV, bridging the gap between brand awareness and measurable performance.
CTV’s growth isn’t just hypothetical. According to eMarketer, CTV is the fastest-growing ad channel being tracked today. Average CTV usage in the United States is projected to nearly double, from one hour and 22 minutes per day in 2020 to two hours and 37 minutes by 2026. By then, nearly 70% of the U.S. population will be CTV
Nich Weinheimer is the executive vice president of strategy at Skai, an omnichannel marketing platform.
users. More to the point, eMarketer also reports that retail media CTV ad spend is growing three times faster than retail media search.
However, while CTV represents a promising new frontier, its integration into retail media strategies has not been without challenges. The State of Retail Media 2025 found that budget limitations (58%) and difficulties in measuring effectiveness (51%) are the two biggest hurdles brands and agencies face when incorporating CTV into their retail media mix. Unlike traditional retail media channels, CTV requires advertisers to rethink how they track return on investment.
Still, major retailers are moving quickly to make CTV a core component of their advertising offerings. Amazon, Walmart and Kroger are expanding their CTV ad products, leveraging retail media data to drive more precise targeting. With platform consolidation a top priority for 57% of brands, many are looking to CTV as the next scalable retail media channel.
Retail media’s data-driven nature aligns well with CTV’s ability to deliver highly targeted ads. Traditional TV advertising has long been a powerful tool for brand awareness, but its effectiveness was often difficult to measure. CTV, on the other hand, allows advertisers to
connect ad exposure to online and offline sales, making it a compelling option for performance-driven retail media campaigns.
CTV platforms connect directly to user data, enabling precise audience segmentation based on factors like location, demographics, interests and viewing habits. This allows brands to serve ads to highly relevant audiences, increasing engagement and conversion rates.
As more advertisers explore CTV’s potential, several trends are shaping the future of this channel:
Advanced Attribution Models: With measurement challenges cited as a key barrier, retailers and ad tech providers are developing better attribution models to track the impact of CTV on conversions.
Interactive and Shoppable Ads: CTV ads are evolving beyond static video, with formats that allow users to engage directly with products and even make purchases from their screens.
Greater Investment in First-Party Data: As third-party cookies phase out, retailers are leveraging their vast troves of first-party data to improve CTV ad targeting and personalization.
Integration with Omnichannel Strategies: Brands are increasingly using CTV as part of a holistic approach that connects digital, in-store, and streaming experiences.
Retail media continues to evolve, and CTV is quickly emerging as a key driver of its future. As the findings from The State of Retail Media 2025 reveal, brands and agencies are recognizing the immense opportunities CTV presents. While challenges around budget and measurement remain, the rapid adoption of CTV in retail media signals a shift toward more sophisticated, omnichannel advertising strategies. dsn
