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Value redefined

The new consumer mindset

In 2025, value isn’t just about price. Consumers are thinking harder about how and where they spend their money, and brands must evolve to keep up. 
While price remains important, today’s spending choices are guided just as much by emotion, experience and meaning. This evolving definition is central to understanding how and where people choose to spend – and why.

The rise of the savvy consumer

With household budgets under pressure, consumers have become more adept at navigating rising costs. They scrutinise prices and actively seek better deals – all while trying to maintain the quality of life they value.

  • 66% pay more attention to their budget than they did a decade ago 
  • 81% are concerned about shrinkflation and are becoming increasingly aware of pricing tactics
  • 49% plan to reduce discretionary spending, with new clothes and accessories, eating out at restaurants, and takeaways emerging as the most listed cutbacks.

Cutting back, but not cutting out

Amid economic pressure, consumers are finding ways to stretch their budgets – cutting back in some areas to prioritise the things that matter most.

  • 9.2% average growth in non-essential spending in 2021-2024, compared to 5.0% growth in essential spending
  • 67% are looking for ways to reduce the cost of their weekly shop
  • 57% of these cost-cutters are switching to budget supermarkets
  • 44% say they have less disposable income than 10 years ago – predominantly the 35-54 age group (50%) – yet many still prioritise emotional and experience-led purchases.
     

What this means for brands

To connect with the future consumer, brands must go beyond discounts. They need to understand what their audience values emotionally, behave transparently, and create experiences that feel truly worth the money.

  1. Be transparent – avoid tactics that damage trust
  2. Build emotional connection – understand and tap into personal priorities
  3. Deliver relevance – focus on quality, experience and meaning.

British shoppers are savvier and more sophisticated than ever when it comes to managing their money, and they have become experts at prioritising the things that really matter to them. To win new customers, and just as importantly, to keep existing ones, brands have been forced to continually innovate to meet these heightened expectations.

Karen Johnson

Head of Retail and Wholesale, Barclays Corporate Banking

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