A new study from strategic market research firm Alter Agents highlights the growing impact of economic pressures on U.S. consumer behaviour in 2025. The research emphasises how inflation, political instability, and trade concerns are forcing Americans to rethink their spending patterns, seek financial control, and gravitate toward brands that deliver tangible value.
“Consumers are adjusting quickly and strategically to what they anticipate will be a tough year financially,” said Rebecca Brooks, CEO of Alter Agents. “Brands that reward loyalty, provide real value, and demonstrate they care about their customers will come out ahead.”
In addition, the study reveals a noticeable pivot toward value-seeking behaviors, with consumers increasingly turning to loyalty-based initiatives as a way to stretch their dollars. Among the most common cost-saving strategies, 40% of respondents plan to use more loyalty programs that offer discounts, 36% are leaning on cashback programs, and 31% intend to use credit cards that provide rewards for purchases.
In contrast, discretionary spending is on the decline. Almost half of those surveyed (45%) say they will cut back on non-essential expenses, while over a third (36%) expect to dine out less frequently. One in four respondents (25%) are choosing to delay large purchases such as vehicles or high-priced electronics, indicating a broader caution in the face of economic headwinds.
Looking ahead, most consumers are bracing for continued financial strain. As many as 60% anticipate that the cost of everyday goods will continue to rise, 53% expect price increases for big-ticket items, and 41% predict further downturns in the stock market.
Generational and gender-based differences
Gen Z consumers, for example, are more likely than Gen X to have made significant changes to how they manage their money, such as shifting investments, pulling funds from banks, or making strategic purchases. However, knowledge gaps remain: while 44% of Gen Z claim to be financially literate, only 56% correctly identified what a “tariff” is, compared to 78% of Gen X.
Additionally, men appear to view the current economy more optimistically than women, with 47% of men rating their financial health positively compared to just 31% of women.
Trust in public institutions
Compared to similar findings from mid-2024, Americans today are significantly less likely to trust both local (down from 48% to 38%) and federal (from 38% to 29%) governments. Many also feel the national political discourse has grown increasingly toxic. While these attitudes aren’t directly tied to spending behaviour, they underscore a broader climate of scepticism and disillusionment that brands must navigate with care.
In a time of rising economic stress and waning institutional trust, companies must respond with more than just discounts—they need to demonstrate empathy, transparency, and a deep understanding of their customers’ lived realities.