In recent years, retail media has become one of the strongest trends in digital advertising. In Latin America, this field is led by Mercado Libre. According to eMarketer, by 2025 Mercado Libre is expected to capture more than half of all retail media ad spending. During the first quarter, its advertising revenue grew by 50% year over year, and projections indicate it will reach 62% of digital ad spending in the region—a significant jump from 51% in 2024. All of this is supported by its position as the number one e-commerce platform in Latin America, with the ability to reach more than 4 out of every 10 internet users.
But what truly sets Mercado Ads (Mercado Libre’s advertising solution) apart from other ad platforms is the richness of its first-party data. Thanks to the integrated ecosystem of Mercado Libre and Mercado Pago, the platform has access to a unique understanding of the Latin American consumer:
- Shopping habits and transaction history
- Preferred payment methods
- Users who use Mercado Pago in physical stores
- Lifestyle data
- Demographic information
This level of granularity and diversity makes Mercado Ads a unique advertising space in the region, offering brands the ability to reach highly relevant audiences with precision at every stage of the funnel.
To maximize the potential of Mercado Libre and its valuable first-party data, Mercado Ads offers innovative advertising solutions that optimize reach and conversion. In this article, we’ll highlight two standout products: Display Catalog Ads, designed to maximize product catalog visibility and sales, and Display Extended Network, which expands campaign impact beyond the platform by connecting with relevant audiences across Google’s display network.
Display Catalog Ads
Within Mercado Ads’ ecosystem of solutions, one of the most innovative products is Display Catalog Ads (DCA), designed to maximize product catalog visibility and boost conversion.
With this tool, brands can showcase their products to the right audience through prospecting and retargeting strategies, both within Mercado Libre and Mercado Pago. This means reaching new buyers while reconnecting with users who have already engaged with the brand or specific products.
Key benefits include:
- Maximized reach throughout the customer journey, engaging consumers across different stages of the funnel.
- Automated relevant ads: ads are generated directly from the catalog, prioritizing products with the highest potential interest based on variables such as clicks or sales.
- Powerful segmentation: thanks to Mercado Ads’ first-party data, DCAs target the right people at the right moment.
- Increased conversions: by complementing traditional display campaigns, DCAs drive sales of specific catalog products, boosting ad spend efficiency.
As consumer attention becomes harder to capture, Display Catalog Ads stands out as a strategic solution to increase sales and enhance performance on one of the region’s most important platforms.
Display Extended Network
Display Extended Network (DEN) allows brands to significantly expand the reach of their advertising campaigns, connecting with audiences across more than 30,000 curated sites and apps outside Mercado Libre’s ecosystem—without losing traceability or control over results.
This solution strengthens Mercado Ads’ programmatic offering, providing a full-funnel approach that ensures visibility across all stages of the customer journey. At the same time, it maintains full control over user interaction, guaranteeing that every impression and click can be measured with precision.
With Display Extended Network, brands gain access to a robust and curated inventory capable of reaching the most valuable audiences both inside and outside Mercado Libre’s ecosystem. This reinforces Mercado Ads’ position as one of the leading media players in Latin America, combining reach, efficiency, and traceability into a single advertising solution.
Conclusion
Mercado Libre is solidifying its position as the most relevant retail media platform in Latin America, offering brands unique access to highly segmented audiences through its valuable first-party data.
Innovative solutions like Display Catalog Ads and Display Extended Network enable brands to maximize product visibility, increase conversions, and expand campaign reach both inside and outside Mercado Libre’s ecosystem. These tools consolidate Mercado Ads as a strategic ally for advertisers—one that combines reach, precision, and traceability at every stage of the customer journey, driving results and optimizing ad investment.
