Retailers are feeling the ripple effects of new tariffs as consumers brace for higher prices. While some shoppers accept the trade-off, many are already adjusting their habits—from cutting back on fast food to seeking out deals. To stay competitive, brands must focus on value, transparency, and smart messaging. Here are five key stats on how tariffs are shaking things up.
On today’s podcast episode, we discuss how department stores are getting on, how they’re evolving, and what the contemporary department store needs to do to stick around. Listen to the conversation with our Senior Analyst Sara Lebow as she hosts Vice President of Content Suzy Davidkhanian and Senior Analyst Carina Perkins.
Anxiety around inflation, a deteriorating labor market, and trade war consequences have deepened consumer uncertainty about the US economy, with wide-ranging implications for retail.
Online resale merchandise value will reach $40 billion in the US by 2029, at a compound annual growth rate (CAGR) of 13%, according to March data from thredUP.
International boycotts of US brands and travel could cost the economy up to $90 billion: Rising anti-American sentiment caused by Trump’s policies is making it harder for companies to operate at home and abroad.
Foot traffic to Target declined for the tenth straight week, according to Placer.ai. Visits to Target fell 7.9% the week of March 31, per the latest data. Walmart’s foot traffic has also fallen for 10 consecutive weeks, while visits to Best Buy are down from a slight rise in mid-March.
Over a third of adults in the region don’t have a bank account. Only the Middle East and Africa has a larger proportion of unbanked consumers, per 2021 World Bank data analyzed by BCG. And the unbanked population is unevenly distributed: Just 59% of low-income consumers and 40% of rural inhabitants in Latin America have access to a banking account, per a January 2023 Mastercard and Americas Market Intelligence (AMI) survey.
No matter when or how they land, President Donald Trump’s tariffs will shake up retail and digital media.
Companies waste no time hiking prices: The cost of everything from coffee to video game consoles to sexual wellness products is going up, which will prompt shifts in consumer spending habits.
Consumers’ relatively stable financial footing could be undercut by trade war volatility. Already-tight lending standards could lead to a double-whammy for issuers.
Tariffs will have a wide ranging impact on prices, consumer sentiment: Warehouse clubs, off-price retailers, and discount grocers could have an edge in this challenging retail environment.
Tariffs threaten innovation’s pace: Prolonged trade wars could hike smartphone prices and delay new tech rollouts, making midrange devices a safer, more strategic choice for buyers and brands. Read online
On today’s podcast episode, we discuss some of the moves commerce media players have made this year to stand out from the pack, why advertisers are investing in more or fewer media networks, and the main challenges for advertisers when it comes to working with media networks. Join Senior Director of Podcasts and host Marcus Johnson, Analyst Arielle Feger, and Principal Analyst Sarah Marzano. Listen everywhere and watch on YouTube and Spotify.
Shopping mall mainstay Claire’s balances being on trend for Gen Alpha with being a nostalgic brand for parents by leaning into pop culture, putting the right messaging on the right platforms, and staying in constant contact with core consumers.
Trump quadruples de minimis duties on Chinese imports as trade war escalates rapidly: The new fees will not only erase Shein’s and Temu’s price advantage, but also hit US businesses hard.
US tariffs could stall Germany’s economy this year: GDP is forecast to grow just 0.1% as the duties on autos and other imports curb companies’ access to an important growth market.
Last week, Amazon made a last-minute offer to buy TikTok, just days before President Donald Trump postponed enforcement of the sale-or-ban law for another 75 days. Reportedly, the bid isn’t being taken seriously, so it’s unlikely the deal will go through. However, the deal is worth considering because it shows how Amazon is trying to maintain its status as the top retail media network and ecommerce retailer in the US.
On today’s podcast episode, we discuss what consumer confidence actually means, which specific economic indicators most significantly impact it, and what all this says about the overall health of retail right now. Listen to the conversation with our Senior Analyst Sara Lebow as she hosts Vice President of Content Suzy Davidkhanian, Senior Analyst Zak Stambor, and Research Associate Professor and Director of the Surveys of Consumers at the University of Michigan Joanne Hsu.