SAN JOSE, Calif. — PayPal is entering the retail media race with a bold new offering: Storefront Ads, a shoppable ad format that transforms digital ads into fully transactional mini storefronts. Launched this week, the new product enables consumers to browse and purchase directly within an ad unit, without ever leaving the content they’re viewing.
Storefront Ads blend discovery and checkout in one seamless interaction, designed to meet the demands of today’s frictionless, decentralized shopping landscape. With PayPal and Venmo’s secure payment infrastructure built in, the format allows users to complete purchases inside the ad itself, then instantly return to their original digital experience.
“Agentic commerce risks siphoning traffic and diluting retailers' brand experiences. Additionally, shopping is no longer something consumers do; it's something that comes to them,” said Mark Grether, SVP & GM of PayPal Ads. “PayPal Storefront Ads gives merchants a powerful way to reach new customers and re-engage loyal shoppers by planting dynamic storefronts directly within the open web, creating a compelling, frictionless shopping experience anywhere.”
The innovation arrives as commerce becomes increasingly “agentic”, driven by recommendations, algorithms, and real-time relevance rather than search or direct web traffic. Storefront Ads address this shift by enabling brands to meet consumers where they already are: browsing articles, watching videos, or scrolling feeds.
Early media partners, including Business Insider and Vox Media, are optimistic. “Business Insider's readers expect experiences that are fast, relevant, and intuitive. With PayPal's Storefront Ads, we will be able to deliver commerce that meets them in the moment and engages them through a seamless checkout experience,” said Maggie Milnamow, Chief Revenue Officer, Business Insider. “PayPal's new offering brings real-time personalization, creating a smarter, more seamless way for audiences to discover and buy what matters to them.”
Backed by PayPal’s massive transaction graph—which spans over 430 million accounts and captures cross-merchant purchase behavior—the ads are fueled by first-party data intelligence. This allows for dynamic, personalized product recommendations and targeting, without compromising user privacy.
“We're excited by the opportunity to advance frictionless, content-driven commerce. The more steps in the path to purchase, the more drop-off we see—PayPal/Venmo's new shoppable ad capability brings conversion closer to the moment of inspiration and helps eliminate that friction.” said Kate Monaghan, Executive Vice President of Integrated Investment & Retail Partnerships at Horizon Media. “Coupled with PayPal and Venmo's powerful first-party data, this unlocks new ways to deliver relevant, high-intent, shoppable experiences—giving consumers the ability to purchase instantly, right within the content they're engaging with.”
“Advertisers are rightly focused on results—and the strongest outcomes come from pairing high-quality data with trusted connections to real audiences,” said Ryan Pauley, President of Revenue & Growth at Vox Media, Inc. “That's what Vox Media delivers, and we're excited to work with PayPal Ads to bring this new opportunity to life.”
Storefront ads will debut this summer in IAB-standard formats, with plans to expand into brand carousels and sponsored listings tailored for fast-moving consumer goods. According to PayPal, the goal is to help merchants reach and convert customers wherever they engage.
