As we navigate a year of economic uncertainty and shifting consumer shopping preferences, ThinkNow’s latest Clicks vs. Carts: 2025 Shoppers Report reveals a nuanced picture of how Americans are shopping in 2025, and what that means for retailers, marketers, and brands looking to stay competitive. The quantitative research report is based on a nationally representative sample of 1,500 consumers from ThinkNow’s market research panels and breaks out the findings by age and ethnicity. Some highlights include:

1. Cautious Optimism Amid Economic Uncertainty

While two out of five Americans believe their finances will improve this year, the country remains split on the broader economic outlook. Inflation remains the top concern across all demographics, especially among older consumers. Millennials and Gen Z are more hopeful about their personal financial future, which is an encouraging sign for brands targeting younger buyers.

2. Shopping Priorities Reflect Economic Caution

In 2025, consumers are prioritizing practical purchases such as smartphones, travel, electronics, and home upgrades. Big-ticket items like homes and luxury goods are on the back burner. More than ever, brands must now focus their messaging on value, durability, and emotional connection.

3. E-Commerce Is Here to Stay, But So Is the Store

Online shopping continues to grow, with nearly half of Americans making online purchases at least once a week. Gen Z and Millennials lead the charge here, with Gen Z showing the highest daily online shopping rates. Still, in-store shopping remains vital—especially for groceries, alcohol, and home goods—proving that omnichannel strategies are essential.

4. Hybrid Shopping Is the New Norm

Clothing and fashion purchases increasingly straddle online and in-store channels, as consumers seek convenience and tactile experience. Millennials are expanding their online habits into groceries and appliances, while Gen Z is driving new growth in beauty and electronics online.

5. Price and Quality Drive Purchases

Across categories, price and quality are the two biggest decision drivers. Brand reputation, customer reviews, and the ability to touch or try products also play a role, especially for big purchases. Speed of delivery and easier returns are crucial levers for increasing online conversion.

6. Amazon Still Reigns, But Niche Retailers Are Gaining Ground

Amazon is the top online retailer, but Walmart and Target are strong contenders, especially among African American and Hispanic consumers. Younger shoppers are also exploring platforms like Shein, Nike, and Instacart, reflecting a broadening of the digital marketplace.

7. Cultural Relevance Matters—Especially in Multicultural Segments

More than half of Hispanic consumers say they sometimes or always look for Spanish-language shopping options. Millennials and Gen X Hispanics also place greater importance on culturally relevant marketing, from language to holiday promotions. For brands, marketing to the nation’s growing Hispanic population isn't a trend—it's a necessity.

Future of Retail: What’s Next?

Consumers see faster delivery, mobile-first shopping, and sustainable options as key trends shaping the future. Gen Z and Millennials are driving interest in social media shopping, while Gen X shows the greatest enthusiasm for immersive retail experiences like AR and VR.

How Retailers Can Win in 2025

To boost online sales, consumers are calling for better discounts, faster shipping, and simpler return processes. This points to a continued expectation for convenience, transparency, and value delivered with cultural fluency and digital agility.

Consumer Shopping in 2025: The Bottom Line

As consumer shopping expectations evolve, brands must adapt strategies that blend price sensitivity, omnichannel experiences, and cultural resonance. Whether online, in-store, or in-between, the shopping journey of 2025 is dynamic and deeply human.

Download the report here.

Economic trends, cultural differences and the digital age in Central America 

As Latin America emerges as a hub for digital commerce and consumer engagement, Central America stands out as an untapped opportunity.  While much attention has been given to markets like Brazil and Mexico, Central America has lagged despite its economic growth and rapid digital transformation, including mobile and broadband internet access expansion. With limited market research in the region, brands lack the insights to effectively connect with local consumers.

On the rise: Economic trends in Central America

Central America, comprising of Guatemala, Honduras, El Salvador, Nicaragua, Costa Rica, Panama and Belize, has long been overshadowed by larger Latin American economies. However, recent economic trends indicate that the region is undergoing significant changes:

• Economic growth: According to the World Bank, Central America has shown resilient GDP growth, driven by remittances, nearshoring opportunities and investment in infrastructure. Panama and Costa Rica, for example, have positioned themselves as innovation and financial hubs, while Guatemala and Honduras benefit from robust manufacturing and agricultural sectors.
• Nearshoring boom: U.S. companies are increasingly shifting production closer to home, and Central America is benefiting. The CAFTA-DR free trade agreement (which includes the U.S., Dominican Republic and Central American nations) makes the region attractive for investment in manufacturing, textiles and tech services.
• Digital acceleration: The rise of FinTech and e-commerce is expanding digital consumer behavior, making online transactions more accessible across the region.

The digital age and mobile-first technologies

Unlike other regions that gradually adopted digital technologies, Central America has accelerated its shift, diving headfirst into mobile-first internet access. According to GSMA, mobile penetration in the region is projected to surpass 70% by this year, with smartphones becoming the primary tool for accessing information, services and social media. Let’s take a closer look at what this means:

• Mobile-first behavior: Many consumers are skipping desktops and going straight to mobile commerce, banking and entertainment. This presents a unique opportunity for businesses to engage audiences through mobile-friendly surveys and research methodologies.
• Social media accessibility: Platforms like WhatsApp, Facebook and TikTok play a central role in consumer engagement, making them prime channels for recruitment and research.
• Evolving consumer preferences: As internet access expands, more Central Americans are engaging with digital content, e-commerce and global brands. Understanding these preferences is key for companies seeking to enter the market.

The growing need for market research

Despite the region’s economic and digital growth, market research infrastructure remains underdeveloped. Many global studies group Central America into broader Latin America segments, failing to capture each country's cultural, economic and linguistic nuances. This lack of data has left businesses with blind spots when trying to connect with local consumers. Recognizing the importance of granular, country-specific insights for brands entering or expanding in the region is critical. 

Understanding cultural differences

Beyond economic trends and digital access, Central America’s rich cultural diversity is what truly sets it apart. Each country has distinct consumer behaviors, traditions and histories that must be considered. Brands that succeed here recognize that a one-size-fits-all approach doesn’t work. For example:

• Guatemala: With its strong Mayan heritage, Guatemala’s consumers value tradition and rapidly embrace digital banking and mobile commerce.
• Honduras and El Salvador: Both countries have seen economic shifts driven by remittances, influencing how families spend and save.
• Costa Rica and Panama: These nations have the region’s most developed economies, with strong middle-class consumer segments and high digital literacy.
• Nicaragua and Belize: While smaller markets, they have unique tourism-driven economies that present opportunities in hospitality, FinTech and e-commerce.

Understanding these distinctions is crucial for companies and brands aiming to enter the market successfully. That’s where our investment in high-quality data and insights comes in.

Investing in market research in Central America

Central America is no longer a secondary market; it’s a key player in Latin America’s growth. As economic expansion, digital transformation and consumer sophistication increase, the need for reliable, culturally nuanced data has never been greater.

Brands that invest in understanding Central American consumers today will be the ones that win long-term loyalty and market share tomorrow. So, the question isn’t whether companies should invest in Central America; the question is whether they can afford not to.

This blog post was originally published on Quirk's Media.

Despite the headlines, rollbacks, and legal battles, the conversation around race has never been more crucial for marketers and businesses. While diversity and inclusion (D&I) often dominate discussions, doing so serves only as a distraction from the broader concerns surrounding the racial dynamics embedded in our society. The issues of race aren’t simply about diversity. They are structural and historical and are tethered to the fabric of consumer behavior.

Race has been a determining factor in shaping how consumers experience various markets, from grocery stores to hospitals. It’s not enough for companies to aim for a "diverse" customer base. They must understand the unique racial dynamics at play. Without acknowledging the social and historical factors behind these dynamics, marketing strategies fall flat and fail to resonate with the very consumers they aim to engage.

However, addressing race in marketing requires deeper engagement with communities, not just performative gestures. Companies often fall into the trap of "woke-washing," offering initiatives that sound good but lack authentic connection. Consumers, especially those from marginalized groups, can quickly see through these disingenuous efforts. This can damage the trust businesses work hard to build, which is crucial for lasting brand loyalty. A meaningful, long-term focus on racial equity, in both action and strategy, is essential for companies to succeed in this increasingly diverse market.

The latest generation of marketers is entering the workforce with a heightened awareness of these issues, but they face significant challenges when discussing race within a business context. Learning to address these issues with sensitivity and data-backed insights will ensure that brands not only avoid perpetuating harmful stereotypes but also foster more genuine, inclusive relationships with their audiences.

In this episode of The New Mainstream podcast, Dr. Sonya A. Grier, Kogod Eminent Scholar Chair in Marketing at the Kogod School of Business at American University, examines how race influences consumer behavior and why businesses must go beyond diversity to create inclusive marketplaces.

Meet Dr. Sonya A. Grier:

Sonya A. Grier is the Kogod Eminent Scholar Chair in Marketing, at the Kogod School of Business at American University. Her expertise spans issues of race, diversity, and equity at the intersection of markets and society. She has examined the racial dynamics underlying consumption issues in gentrifying neighborhoods, digital marketing to youth of color, and racialized food marketing. Sonya builds on her expertise to identify how inclusive marketing practices can enhance individual, community, and societal well-being. She shares her research in academic journals, photographic narratives, and two award-winning documentary films. She remains connected to practice through consultations with diverse organizations across business, government, and non-profit sectors.  Dr. Grier is a co-founder and current President of the Race in the Marketplace (RIM) Research Network, which has nurtured the sub-field aimed at advancing our understanding of the role of race in markets.

Market research equips brands with the tools to understand their target audience and, ultimately, shape a more effective brand strategy. Through qualitative research, such as focus groups, marketers gain deep insights into customer motivations, preferences and behaviors. Quantitative research, like surveys completed by online panels, provides data points on demographics, consumer attitudes and market trends.

After compiling the data, the next step is to translate those insights into messaging showcasing the brand’s value in the marketplace. Let’s look at how to do that using core market research methodologies.

Core Market Research Methodologies

While artificial intelligence is transforming the market research industry, fundamental methodologies continue to play a crucial role in gathering qualitative and quantitative data used to better understand consumer behavior. Traditional research methods provide valuable insights that drive brand value that cannot be solely derived from AI algorithms.

• Online Surveys:  A cost-effective method for gathering data from a large, geographically diverse audience. Surveys are ideal for gauging general sentiment, brand awareness and basic customer preferences. By quantifying consumer trends, brands can identify broad patterns to aid in strategic decisions that drive brand value.
• Focus Groups: Intimate in-person or virtual group discussions led by a trained moderator to gauge observative insights, such as emotional reactions to specific products or concepts, or to gather nuanced perspectives. This method uncovers deeper emotional responses, helping to tailor brand messaging and product features that resonate emotionally with the target audience.
• In-Depth Interviews: One-on-one interviews allow a deep dive into customer experiences. These interviews are ideal for exploring complex decision-making or gathering detailed feedback on product prototypes that can later inform product development and customer service strategies.
• Social Media Listening: Analyzing online conversations and brand mentions on social media platforms reveals real-time customer sentiment and emerging trends. These insights help marketers understand how the target audience perceives the brand organically, allowing for timely adjustments to marketing strategies and engagement efforts.

Data Bridges the Gap

Regardless of the method employed, market research is essential for understanding and building relationships with your target audience. Through research, brands can identify market needs and respond by launching products and services that effectively meet these demands. This deep understanding enables brands to create more relevant offerings, enhance customer satisfaction and foster loyalty—key factors that significantly impact brand value.

By consistently aligning with consumer expectations and preferences, brands strengthen their competitive position and enhance their perceived value in the marketplace. This alignment leads to the potential for increased revenue and profitability and a greater likelihood of sustained brand longevity.

Black Americans, comprising about 14% of the U.S. population, wield significant economic influence, with buying power surpassing $1.5 trillion. Their cultural impact is equally undeniable, shaping everything from music and fashion to cuisine and beyond. Yet, generally, brands fail to invest in the market research needed to truly understand the complexity of this demographic.

Like most multicultural consumers, Black Americans are not a monolith. Within this group are subcultures that extend far beyond skin tones and hair textures to differences in culture, countries of origin, geography and language.

Beyond demographics are psychographics, right? Traumatic events like George Floyd's death deeply affected many Black consumers, prompting shifts in their brand interactions. Despite these challenges, there's a growing interest among brands in understanding and serving Black consumers, particularly Gen Z. Authenticity emerges as a crucial factor, with Black consumers seeking brands that acknowledge them, invest in their communities and empower them.

However, the lack of diversity within the market research industry remains a glaring issue, jeopardizing efforts to engage this consumer group. The failure to build diverse and inclusive teams hinders authentic insights and decision-making processes, leading to tone-deaf marketing campaigns and underwhelming customer experiences. Brands that genuinely understand what Black consumers like and build real connections with them will discover a vast, hidden market just waiting to be explored.

In this episode of The New Mainstream podcast, Dawn V. Carr, CEO and Founder of Mahogany Insights, discusses the importance of increasing diversity within the insights industry and how it can lead to more meaningful connections with Black consumers.

Mainstream media often focuses on the economic and racial disparities that plague Black communities, and brands misunderstand and misrepresent Black Americans in advertising. Despite this, Black Americans are a resilient consumer group with $1.6 trillion in purchasing power and undeniable influence on American culture.

But reducing Black Americans to their economic potential is a disservice to their value as people. Because they speak English and have acculturated in many ways to various circumstances, often to access better opportunities or for safety, there is a tendency to roll them into the mainstream instead of seeing them as a unique demographic with their own set of values, experiences and behaviors. And even within the Black population, it’s important to note that Black consumers in the U.S. are not a monolith. Like Hispanics and Asians, Black Americans are diverse — from skin tones to language, culture rules to mores. One in 10 Black consumers living in the U.S. is foreign-born, bringing with them the cultural nuances of their countries of origin.

The diversity of Black American sub-cultures makes it essential for marketers to close the gap of misunderstanding about the Black consumer collective through market research and insights.

In this episode of The New Mainstream podcast, Pepper Miller, president and senior analyst at Hunter-Miller Group, returns to the podcast to discuss the importance of market research in understanding underrepresented consumer segments and her new book, “Let Me Explain Black, Again.”

The beauty industry has transformed in recent years driven by consumer demands for products that align with their cultural values and personal beliefs. While the top cosmetic brands continue to be L’Oreal and Estee Lauder, they are being challenged by younger, edgier brands like Selena Gomez’s Rare Beauty, Rihanna’s Fenty and e.l.f. Cosmetics. Consumer opinion, however, is not homogeneous. There are significant differences in preferences based on ethnicity, age, income and gender. ThinkNow uncovered some of those differences in our recent Inclusive Beauty Report based on a nationally representative online survey of 2,800 respondents.

Download the full results of the survey here.

The Rise of Conscious Consumerism

The era of conscious consumerism has brought about a major shift in the beauty industry. Increasingly, consumers seek products that align with their values, whether minimizing harm to animals, supporting sustainable practices, or promoting inclusivity. This has led to a growing demand for cosmetics and beauty products that are cruelty-free, meaning they are not tested on animals and that are considered inclusive.

Interestingly, while nearly half of cosmetic consumers want cruelty-free brands, 88% of them are still not cruelty-free. However, the fastest growing brands like e.l.f. and Rare Beauty are both cruelty-free and vegan. Legacy companies that want to compete in today’s market are being pushed to adopt these practices in their formulations and testing processes.

Cultural Insights and Multicultural Consumer Preferences

While the market as-a-whole is trending towards conscious consumerism, there are significant multicultural differences. For example, the demand for all-vegan cosmetics appears to be driven by non-Hispanic White consumers.

Additionally, since non-Hispanic Whites are, on average, ten years older than multicultural Americans, 42% of them choose brands based on how they address age-related needs vs. 30% of Hispanics who value age-related needs. Asians value products that offer solutions for different skin tones (37%) vs products that are endorsed by celebrities (15%) while Black and non-Hispanic White consumers are more likely to value brands that have a variety of price points. Understanding and addressing these specific preferences, as supported by cultural consumer insights, is crucial for building a loyal customer base.

Age and Income Drive Preferences

One might assume that younger consumers would be most interested in conscious consumerism. Gen Z however, is much less likely to seek out vegan cosmetic brands (19%) than Millennials (33%) or Gen X (31%). Gen X is more likely to seek out organic/natural ingredients (41%) than the 36% average for other age groups.

Income, however, is one of the factors that most affect cosmetic product preferences. For example, those earning more than $80K a year are significantly more likely to choose brands that are cruelty-free (53%) and vegan (42%) than those earning less than $40K annually (39%) and 21%), respectively. This insight-driven approach doesn't just enhance product offerings; it also builds trust and loyalty among diverse consumer groups.

The Impact of Inclusive Beauty

The beauty industry's shift towards cruelty-free, vegan, and inclusive beauty products aligns with trends observed in multicultural consumer insights. Younger generations are the most statistically diverse in history and wield the power to affect change. They are communicating their expectations to brands or starting their own and challenging heteronormative stereotypes of “beauty.” Companies willing to adapt to these culture shifts will stay relevant as consumer tastes change and contribute to a more compassionate and diverse world.