Americans Hunt Deals, Cut Back, and Switch Brands to Combat Tariffs Effect

Americans Hunt Deals, Cut Back, and Switch Brands to Combat Tariffs Effect

August 2025 sees U.S. consumers navigating a retail environment increasingly defined by tariffs, inflation, and heightened price sensitivity. A recent survey by Wunderkind reveals how these economic pressures are changing shopping habits, brand loyalty, and online behaviours across demographics.

Over half of respondents (58%) describe themselves as pessimistic, cautious, or panicked about the economy, with men showing slightly higher optimism (31%) than women (17%). Younger shoppers, particularly Gen Z, report the highest levels of panic (16%), while older cohorts like Boomers and Gen X register the strongest pessimism (32% and 31%, respectively).

The findings suggest that brands need to balance value-driven offers with messaging tailored to emotional states, addressing concerns among women and younger shoppers while appealing to the confidence of men and older consumers.

Price Pressure Mounts

Around 35% of consumers report actively seeking deals, 31% are cutting back on non-essential items, and another 31% are shopping less overall. Women are most engaged in deal-seeking and reducing discretionary spending, while Gen Z demonstrates notable brand-switching behaviour (22%) and attention to product origins (19%).

Boomers remain cautious, shopping less but rarely changing retailers. The result is a marketplace where visible value propositions, clear promotions, and transparency about sourcing and pricing have become essential for marketers.

Tariffs themselves are directly influencing consumer behaviour. Following the August 1st, 2025, tariff deadline, 34% of shoppers report heightened price-consciousness, most prominently among Gen X and women. Millennials display both cautious and proactive behaviour: 21% postponed purchases to wait for price changes, while 18% accelerated purchases ahead of the deadline.

Reviews Help Purchase Decisions

Online shopping habits are also adapting to economic realities. Over 30% of consumers are comparing prices across multiple websites, with Gen X leading at 49%. Younger generations are embracing digital tools, from browser extensions and coupon apps to social media shopping forums.

Men tend to rely more on product reviews, while women are more frequent visitors to deal-focused sites. According to the report, digital visibility, credible information, and user-friendly tools help shoppers identify value quickly.

Only 14% of consumers fully support tariffs as a way to protect U.S. jobs and industries, while 27% outright reject their effectiveness. Perceptions of who bears the cost are even clearer: half of all consumers feel they personally shoulder the financial burden, a view especially pronounced among Boomers (67%) and Gen X (55%).