#consumer-spending

#consumer-spending

My take is that revenue will be flat to slightly up in comparison to 2024 - low single-digit growth at max. 2024 was up 4% from projections, which surprised everyone in the beauty industry and across CPG in general. However, with rising costs of living and tariffs - which will start to trickle down to the consumer right in time for the holiday season - consumers have less disposable income to spend, and so they are making extremely conscious decisions about where to spend that.

China's economy is stuck in the doldrums. Youth unemployment is at a two-year high. Housing prices have been falling for more than four years, and many believe they're yet to hit bottom. And Chinese consumers, like 32-year-old Lu Yingcai and 36-year-old Liu Lu, who NPR recently met on the streets of Beijing, are tightening their belts. LU YINGCAI: (Through interpreter) I'm actually traveling less and eating out less often.

To do so, Modern Retail+ Research surveyed 68 brand and retailer professionals about their past and current use of sales channels during the holidays, their past and current holiday marketing tactics, as well as how their current holiday season discounts and holiday revenue expectations compare to last year's. We also interviewed executives at the Fwrd Group and NEOM Wellbeing to learn about their plans and expectations for the upcoming holiday sales season.

For you to have money, you have to learn to live below your means but within your needs. How do you do that? You do that by simply purchasing needs versus wants. What is a need? Need is food that you buy at a grocery store. What is a want? A want is going out to eat at a restaurant and doing it over and over again.

Since the end of the pandemic, consumers have proved to be the backbone for the American economy-much to the surprise of some of Wall Street's biggest names. This underlying strength has pushed the U.S. stock market to record highs this year, with analysts pricing in continued growth of the S&P 500. But the ever-reliable consumer is beginning to look shaky, courtesy of an unpleasant mix of a stagnating jobs market and sticky inflation.

Meanwhile, third-quarter growth is shaping up to be hotter. Durable goods orders for August jumped more than expected, according to data released on Thursday. And the personal income and spending report on Friday showed consumption remained healthy in August while also topping forecasts. Given that consumer spending represents over two-thirds of the U.S. economy, the gains more than offset weakness in housing, which remains buffeted by high home prices and mortgage rates.

As the summer comes to a close, hot-button issues like tariffs, manufacturing and pricing are continuing to dominate conversations at fashion brands. After the chaos of the last few months, some companies are managing to find a way forward. Abercrombie & Fitch Co. recently reported record net sales of $1.2 billion for its second fiscal quarter. Urban Outfitters, Inc. reported a record $252.2 million in net income for its first half of the year.

For years, dating back to the 2022 inflation wave, McDonald's and its fast-food rivals have contended with shopper frustration over rising menu prices, with combo meals increasingly breaking into double digits. Customers at the higher end of the income spectrum continue to order premium products and use delivery apps at healthy rates. Lower-income diners, however, are cutting back, Kempczinski argued in an interview on CNBC's "Squawk Box," treating fast food less as a daily convenience and more as an occasional splurge.

Wall Street traders drove stocks lower amid a selloff in tech shares that have powered the surge from April's meltdown. That's despite economic data that did little to alter bets on Federal Reserve rate cuts, with bonds and the dollar seeing small moves. Equities fell after a rally that drove the S&P 500 to all-time highs. The market is bracing for what has historically been the weakest month for US shares.

Nearly 57% of workers from households earning less than $50,000 report delaying or canceling a major purchase. That compares with 48% of households making $50,000 to $100,000 and 35% of those earning more than $100,000. Among renters, nearly half (49%) say they were holding off on major purchases compared with 27% of homeowners. Roughly a third (32%) of respondents say their job security had no impact on their purchasing decisions.

"I think the underlying trend ... is really tied to the consumer sitting on the sideline," he said, citing increased price sensitivity, an uncertain economic climate, and the challenge of lapping last year's promotional successes.

AI has significantly contributed to improved efficiency and gains across Meta's ad system, leading to a remarkable 22% year-over-year increase in second-quarter sales.

The non-surgical cosmetic procedures market is booming, with consumers spending more on beauty than on gym memberships, football matches, and amusement parks combined.

The modern iteration of the Ball Park dog is made from 100% USDA-inspected beef with no artificial colors, flavors, byproducts, or additives.

Rising costs have put immense pressure on small high street businesses, pushing many to consider closure or selling due to financial viability concerns in the next few years.

A recent Bank of America Institute note spotted a contradiction: While data shows customers increasing spending at restaurants recently, when surveyed, shoppers said they actually cut spending on dining out. They explain this by deal-hunting: Diners still went out, but scaled down the types of restaurants they visited to get more bang for their buck.

Confidence among UK small business owners remains strong in 2025 despite rising costs and economic uncertainty. Nearly half reported stronger business performance this year compared to the last.

Consumers seem 'basically fine,' with strong spending habits continuing amid economic pressures such as inflation and higher borrowing costs. Investment banking activity has also rebounded.

Costco remains one of the best growth stocks in the market, significantly outperforming other retail-oriented names. Strong consumer spending activity has contributed to this trend.