US consumers overcame the initial pandemic lockdowns, hopeful for an economic boom and the end of uncertainties. But the last two years have been full of twists and turns that left many consumers pessimistic about the future. Companies should proactively prepare for consumer behavior changes as they grapple with rising concerns of inflation and recession.
Key Question: What signals are consumers sending about their priorities as they navigate this turbulent economy?
KEY STAT: Inflation impact is uneven across spending categories. Consumers are cutting back on discretionary spending almost as much as on the essentials, despite being more sensitive to price hikes on essentials.
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