New Data Reveals Challenges for Brands as Consumer Loyalty and Confidence Wanes
RESTON, Va., April 16, 2025 /PRNewswire/ -- Resonate, the leader in AI-powered predictive consumer and voter intelligence, today released its Summer 2025 Consumer Trends Report, revealing a major increase in consumer angst about the economy, a significant decline in brand loyalty, and a surge in consumer price sensitivity.
According to Resonate's real-time data, as of April 2025, consumers belief that the economy will return to pre-pandemic conditions has reached an all-time low. 45.5% of consumers now believe that the economy will never return to normal, up from only 19.8% of consumers who held that belief in the summer of 2021 at the height of the global meltdown resulting from the coronavirus pandemic. An additional 38.5% believe it will take at least 7 months or more to see improvement.
This economic discontent is applying additional pressure to brand loyalty which was already taking a hit. A staggering 45% of consumers are now opting for cheaper store or alternative brands to mitigate financial pressures. Additionally, 21% are switching channels, purchasing familiar products from different retailers, both online and offline. This trend, coupled with a nearly 22% increase in consumer anxiety about the economy over the past six months, poses a critical challenge for brands seeking to retain their customer base.
"The data is clear: brand loyalty is eroding at an alarming rate," said Bryan Gernert, CEO of Resonate. "In this environment, brands must quickly adopt new, data-driven customer retention strategies to navigate this turbulent economic landscape and respond to these rapidly evolving consumer behaviors with actionable strategies."
The Summer 2025 Consumer Trends Report also reveals key insights into consumer behavior during the upcoming travel and summer holiday season:
- Brand Social Justice: Support for brands that attach themselves to a particular cause is down across the board. The number of people who say that no cause would influence them to buy from a particular company has risen steadily over the past year and a half: It started at 21% in summer 2023 and has remained at an all-time high of 30% for the last six months.
- That said, there is a core segment of ethical values-oriented consumers who will still pay more despite the economic pressure.
- Inflation Blame: 39% of consumers continue to blame corporate price gouging for inflation, indicating that corporate efforts to shift blame are ineffective. 37% attribute inflation to excessive government spending.
The full report can be accessed HERE.
About the Resonate Consumer Trends Report
The Resonate Consumer Trends Report is a bi-monthly report offers current shifts in sentiment on key issues impacting American consumers. This real-time analysis is powered by Resonate's proprietary system of AI-powered models known as rAI. rAI employs advanced AI algorithms to identify patterns and uncover correlations from a variety of sources including the observation of 30B daily online behaviors, data from the US Consumer Study, and offline consumer data. This analysis allows Resonate to develop a deep understanding of consumer and voter values, preferences, motivations, and intent spanning 15,000 attributes across 250 million US adults.
About Resonate
Headquartered in Reston, VA, Resonate is the leader in predictive consumer intelligence, delivering proprietary, privacy-safe consumer and voter data for insights, analysis, and activation. The Resonate data set includes more than 15,000 rich, relevant, real-time data points that holistically describe more than 250 million U.S. consumer profiles. Resonate's AI-powered data is readily available for delivery and activation where marketers need it most, offering unmatched flexibility and integration across the marketing ecosystem. This data can be accessed directly through top demand-side platform (DSP) providers, data append and licensing, the Resonate Ignite platform, and Resonate Managed Media Services. Marketers can leverage this data to enrich their first-party information, activate media across all channels, and install it to power predictive models, clean rooms, or data lakes, enabling comprehensive consumer insights and targeted marketing strategies.
Hundreds of companies and campaigns use Resonate to drive more effective marketing strategy and execution fueled by a comprehensive and continuously updated understanding of their audience that extends beyond traditional demographics, psychographics and behavioral data to uncover why people choose, buy, or support certain brands, products, candidates or causes.
Resonate.com
SOURCE Resonate
Share this article