Retail Briefing: Tariffs, Value Shoppers, Ozempic Users & More

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Welcome to our new retail insights briefing.

In this monthly email, we will curate the most important insights from our team of industry, political and economic experts and deliver them right in your inbox. Consider it your one stop shop for the data you need to know about the retail industry. 

Our first edition covers the topic that’s on everyone’s mind: tariffs. Here we unpack consumer opinion on a previously little-known rule that will become more top of mind in the coming days: the de minimus exemption. Then, we uncover a trend of consumers, even wealthy ones, turning towards the less expensive option. Plus, we dive deep into the spending habits of Ozempic users and how Gen Alpha is already influencing household purchasing decisions. 

Read on for recent insights into these topics and more, or download our full reports for a deeper dive.

The consumers who benefited the most from the de minimis exemption have heard the least about it

Gen Zers are big fans of sites like Temu, Shein, and AliExpress that previously took advantage of the de minimis exemption, so it would stand to reason they are the generation most supportive of it, but it’s actually the opposite. 

Ahead of the expiration of the de minimis trade exemption, Morning Consult asked consumers if they support or oppose the rule which allowed foreign companies to send goods under $800 to the United States on a tax-free basis. Gen Zers were more likely to say they opposed the exemption compared with older consumers. This illustrates a lack of understanding of the policy and how the change will impact them. See our complete catalog of tariff research here.

A tendency toward affordability is rising across all income groups

A daily Morning Consult survey asks respondents if they “tend towards the less expensive or more affordable option,” and the share who do has been steadily climbing since we started asking the question in 2021, even among wealthy respondents earning over $200,000 annually. 

The steepest shift occurred across 2021 and 2022 when inflation spiked to 9.1% in mid 2022, and leveled off somewhat in 2024, especially for the higher earners in this analysis. However, current prices, and their prevalence in discussions on social media and news headlines, don’t indicate this trend will reverse any time soon. Read more to see the standout value brands of affordability-driven users.

Gen Alpha has the power of persuasion — and they’re using it a lot

Regardless of any funds they may or may not have access to, Alphas are influencing the buying behaviors of those around them in notable ways. Across most age bands, pluralities ask to buy something at least a few times every week. 

When it comes to clothing purchases, a child’s influence only grows with age. For example, 17% of parents of kids under 2 say their children influenced some of their recent clothing purchases. That share jumps to 36% for parents of kids aged 9-11. Read more about how Gen Alpha is choosing to spend their own money and download our report for even more insights on the youngest generation.

GLP-1 users spend more on personal care, clothing, luxuries and experiences

The changes GLP-1 drugs bring to users’ lives don’t just directly impact their spending at the grocery store and restaurants. Other categories benefit from the Ozempic boom, particularly from consumers who attribute confidence gains to the medication: these users report that they spend more in discretionary categories while on GLP-1s. 

Some of this is a natural byproduct of weight change: 35% of respondents said they spend “much more” or “a little more” on clothes while on a GLP-1 drug, which is often necessary to accommodate size changes. But increased spending in other categories suggests the newfound confidence users report gaining while taking the drugs is inspiring both physical and social changes. Read more about how Ozempic users are spending, feeling while taking the drugs.

Young urban women love to shop in person

Just because it’s a stereotype doesn’t mean it isn’t true — young, urban women enjoy shopping in stores more than others. 

That’s not to say others don’t: The demographic profile of people who enjoy stores is 47% male, but does overindex among women. Young urban dwellers are also more likely to indicate interest in events at stores, and these events can also help to lure in men, who were more likely than women to say they’re interested in store events featuring food, drink and live music. The urban factor is likely just a reflection of the convenience of having more stores available in a compact area, and suburban areas are also of course strong locations for stores and in-person brand experiences. Read more about the audiences who enjoy shopping in-stores, and why in-person brand engagement is more valuable. 

Want more insights? Dive into additional analysis from our team of experts below.

• Trust, Value and Variety: What Helps Brands Stand Out, According to Consumers. A pulse check on what consumers think is most important when choosing a brand in a number of key industries, including retail.
• How Mexicans Are Responding to Trump’s Tariff Threats. Brands beware: many Mexican consumers say they are avoiding buying products sold by U.S. companies in response to President Donald Trump’s tariff threats. 
• Strong Consumer Spending in Q1 Could Be Partially Supported by Consumers Pulling Forward Purchases Ahead of Tariffs. A look at consumers who say they purchased durable goods and services “sooner” in advance of impending tariffs. Electronics, home repair supplies and furniture lead the list.
• Consumption Habits and Brand Preferences of the Wealthiest Consumers. See the social media and brand preferences of the wealthiest shoppers driving the consumer economy.