Roundel, the retail-media unit of general merchandise retailer Target, has generated over $1 billion in value – a figure defined by the company in terms that go beyond revenues alone.

Why it matters

Retail media is a rapidly-growing element of the advertising ecosystem, as retailers tap into shopper data and targeting capabilities to help brands connect with different customer segments. Its financial impact for retailers does not only include direct revenue, but may also incorporate factors such as lowering their cost of sales.

Target’s approach to retail media

• Roundel was established in 2007 with a team of five people. Today,...