How Will Consumer Confidence Impact Spending in 2025?

What exactly does a dip in consumer confidence mean for householders and their homes?

Back in 2023, our team began thinking about what life might be like for the householder economy in 2025. Some of the activities we anticipated would be relevant in 2025 are more obvious responses to low consumer confidence. For example, investing in more affordable décor refreshes and getting creative with DIY projects. However, there are less obvious activities we foresaw, such as a ‘freeze-first’ approach to eliminate food waste and finding new ways to reappropriate inherited furniture.

Here are 3 key questions brands and retailers should ask themselves to appeal to the 2025 consumer.

Access the full Householder Spending Habits: 2025 report outlining key insights for 2025 and beyond when you register for a free My TrendBible membership.

How might you enable customers to adapt what they already own to leverage maximum value from it?

In our 2025 Macro trend report, we forecast the rise of The Savvy Home, where we expected to see householders compromise and find more affordable ways to indulge in the regular stylistic décor refresh they’ve become accustomed to. We cited examples of product innovations and ideas that helped their money go further – from getting more from their fresh groceries with a ‘freeze-first’ approach, to adaptable upholstery covers to regularly switch up the style of their sofa.

How might you retain your meaningful connection with your audience?

Even if your audience undertake a ‘no-buy in ‘25’ challenge, how do you maintain relevance with them beyond a transactional engagement? One example of a great low investment strategy is by online bank, Monzo, whose 1p saving challenge auto-deposits 1p into your savings account to allow customers to save up to £667 over the course of a year. What can you do to make the small moments stack up?

How might you enable householders seeking a low-cost, low-energy lifestyle?

With 55% of companies planning a price hike in 2025 [BBC], 33% of consumers expect to spend less on non-food retail in 2025 [Alix Partners] and over 60% of households going into 2025 with less disposable income [Asda] forcing many consumers to buy less, thriftiness is on the agenda for 2025 and beyond. Access the full report and discover how our Spring Summer 2025 trend: Retrofit Club translates this into design.

Unsure what this means for your consumer?

At TrendBible, we’re supporting our clients in identifying how low consumer confidence will impact their future product ranges. As part of our My TrendBible trend subscription we provide comprehensive insight reports, helping you to create commercially viable products for home and interiors’ markets.