News Analysis
The first half of 2025 was a challenging period for U.S. retailers, marked by widespread consumer pessimism and intensifying competition fueled by the growing convergence of online and offline experiences. While consumer sentiment improved in June, experts anticipate that retailers will continue to face a rapidly evolving environment in the second half, driven by shifting consumer buying patterns and the acceleration of omnichannel marketing.
U.S. consumers began the new year facing multiple financial challenges, including elevated prices, rising debt that squeezed family budgets, and growing uncertainty about the state of the labor market.
As a result, consumer sentiment fell from the low 70s in January to the low 50s in May, according to the University of Michigan’s monthly survey….