5 contradictory consumer behaviour marketers will need to be ready for in 2025

Planning season is hard enough as it is with consumers today making purchase decisions in a fragmented media space.

Unfortunately, this confusion is going to get even more convoluted as consumers throw marketers and organisations into a tailspin, said a recent report by Forrester.

In 2025, marketers will need to deal with “apathetic activists, disloyal loyalists, skittish socialites, privacy-concerned practitioners, and maximising minimalists”.

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Here are five contradictory behaviors you need to be ready for:

Brand loyalty dips, but loyalty programmes boom

In 2025, price sensitivity will be a key force that will impact brand loyalty, with Forrester predicting that it will see a whopping 25% dip.

Amidst this shift, organisations will double down on loyalty programmes, as brands use these programs to help customers realise value in excess of what they might get from indiscriminate price shopping.

Loyalty members lock in value through “instant discounts” and “loyalty currency”.

Meanwhile, more than two-thirds of US online adults say that these are important features of loyalty programs.

So, in 2025, we can expect consumers to be less loyal to brands in general but more committed to brands that assure them value without the hassle of the haggle.

Desensitised cancel culture

Over the past few years, cancel culture, the act of boycotting or shaming companies or people who have acted objectionably, has been sizzling hot.

But as media hysteria around cancel culture reaches new heights and social media’s algorithms amplify hot takes, Forrester predicts that consumers will slowly tune out, resulting in apathy in consumer activism.

The report said that the number of online adults who say they often think about a company’s social, environmental, or political values when purchasing is down 10 points in Italy and eight points in Germany from 2023 to 2024, and the belief that companies have a responsibility to participate in debates about current issues fell four points in the US.

Social media goes beyond social connection

Around 66% of US online adults think that social media negatively affects the mental health of minors, said the report, yet consumers will spend even more time on social media.

Social media is evolving beyond social connection, and in 2025, we’ll see more entertainment and shopping dominating these platforms — TikTok, Instagram Reels, and YouTube Shorts see themselves as entertainment platforms. And TikTok Shop and Instagram Shopping are driving social commerce integration for brands.

Apps such as WhatsApp are incorporating more content, community, and business capabilities into their platforms. In 2025, social media won’t be a distraction but rather, will be indispensable, to consumers, making these venues ideal platforms for brands to build relationships across the consumer lifecycle.

Privacy-concerned but convenience-led

AI is already hard at work for consumers and in 2025, generative AI will continue to do more. But to do that well, platforms must know a whole lot more about the user.

The report predicts that in 2025, the benefits of AI will compel consumers to abandon their skittishness and relinquish their personal data to reap the rewards.

Brands must realise that this is a value exchange and reciprocate with clear and compelling consumer benefits, such as convenience and productivity, in exchange for information.

Big buys amidst recession?

Talks of recession keeps rearing its ugly head, and even as we approach the end of 2024, we are seeing a fair bit of companies cut employees.

Safe to say, consumer confidence is down as pandemic-era savings have dwindled and consumers have endured years of persistent inflation. Does this mean that consumer spending will stay low in 2025? Yes and no.

There’s been pent-up demand as high interest rates have made credit more expensive.

The almost-certain rate cuts in 2025 will unlock demand for big-ticket items — most notably, housing — which will have a cascading effect on consumer durables. In contrast, spending on nondurable goods will be tempered as consumers are repelled by sustained multiyear inflation in everyday categories.

Brands must find ways to provide customers value in exchange for their business, such as opportunities to save money or better features and experiences.

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