The U.S. luxury market is set for significant transformation in 2025, driven by evolving consumer behaviors, economic uncertainty, and an increasing focus on experiences, sustainability, and digital engagement. This report distills key trends and strategic recommendations to help luxury brands navigate the shifting landscape.

Key Takeaways

Luxury spending is shifting toward experiences.  Consumers are prioritizing travel, dining, and exclusive events over material goods, emphasizing a broader lifestyle shift.

The first European Consumer Retail Returns Survey examines how consumers across the continent are experiencing and reacting to increasingly stringent returns policies. Notably, the findings reveal the importance that most consumers place on returns policies, with 61% of those surveyed acknowledging that a lenient returns policy significantly or moderately influences their buying decisions. A majority of respondents also stated that tighter returns policies deterred them from making purchases.

Search engine optimization evolves rapidly, influenced by advancements in technology, user behavior, and search engine updates. Understanding emerging trends ensures businesses stay competitive. Focusing on key changes and adapting strategies positions companies for growth in the digital space.

Quick Takeaways

• Voice search optimization is reshaping the way users interact with content.

• Artificial intelligence (AI) influences content creation and ranking systems.

ChatGPT is sending more traffic to education and tech sites while redefining how users discover and engage with content. Education, technology, and software development websites have gotten a referral traffic boost from ChatGPT search – and ChatGPT sent more traffic to more than 30,000 unique domains by November. That’s according to new Semrush analysis of 80 million lines of global clickstream data from the second half of 2024.

Most shoppers (69.3%) discover new products at least once a week, and many research products at least three times before deciding to buy, according to a new survey of more than 1,000 US consumers. The modern consumer journey is more complex than ever before. You’ll learn:

• The influence of multiple research touchpoints on buying behavior

• Critical factors influencing purchase decisions across product categories

Orlando Martins, an executive recruiter and founder of the Growth Index, shares the retail and consumer trends he predicts will shape 2025. Four trends in the retail and consumer industries have become clear in recent months, as leaders prepare for the second half of the decade. These will shape how boards and CEOs approach 2025.

Streamlined leadership teams and boards

Boards and executive committees are beginning to take a ‘less-is-more’ approach to hiring C-suites. 

Consumer behaviour today is predictably unpredictable. For shoppers, the paths from discovery to decision are wildly varied and non-linear. People are constantly connected: watching videos, scrolling through social media, browsing online, and actively shopping.

Extensive research from Google has visualised shoppers’ messy decision-making process, which looks like an infinite loop as people go back-and-forth between exploring options and evaluating their choices, then finally making a purchase.

With insights from 4,500 shoppers in The USA, The UK, the Netherlands, Germany, and France, this report uncovers unique insights on marketplace adoption, usage, and preferences. Marketplaces are more than a sales channel— they’re where shopping begins. In our Marketplace Shopping Behavior Report 2025, we reveal how online marketplaces are now the #1 starting point for online consumers’ shopping journeys.