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Study: Consumers seek value over low prices

About 40 percent of U.S. consumers are cost-conscious and willing to trade convenience for deals

Deloitte value-seeking report 2025

Amid economic uncertainty and inflation, consumers are prioritizing value over low prices, prompting brands, including hotels, to adapt, according to a Deloitte study.

Summary:

  • Consumers are prioritizing value over low prices, pushing brands—including hotels—to adapt, Deloitte finds.
  • Economic uncertainty and inflation are driving caution and shifting views on pricing and spending.
  • Value-seeking by generations: 49 percent of Gen X, 43 percent of Boomers, 40 percent of Millennials and 44 percent of Gen Z.

AMID ECONOMIC UNCERTAINTY and inflation, U.S. consumers are prioritizing value over low prices, favoring brands with added benefits, according to a Deloitte study. This shift is reshaping the market as companies, including hotels, adapt to changing expectations.


Deloitte's report, “The Value-Seeking Consumer,” found that 40 percent of consumers are value-seekers—cost-conscious, deal-driven and willing to trade convenience across sectors like travel, automotive, grocery, restaurants and retail.

The report shows value-seeking spans all demographics, including higher-income earners. Economic uncertainty and inflation have made consumers more cautious, reshaping perceptions of fair pricing and prompting a shift in spending habits, the study found.

Deloitte’s ConsumerSignals data shows the Value-Seeking Behavior Index rose 10 percent from September to April, driven by trends like more home cooking and less grocery delivery. A 6 percent dip in May highlights ongoing consumer sentiment volatility.

Rise of value-seekers

The report also challenges the view that financial pressures mainly affect younger generations. Around 49 percent of Gen X and 43 percent of Boomers engage in value-seeking behaviors, compared to 40 percent of Millennials and 44 percent of Gen Z, the report found. Notably, 23 percent of consumers earning $200,000 or more are value-seekers, as are nearly 30 percent of young families with six-figure incomes.

Value-seekers plan to cut discretionary spending, on personal care, household goods, furnishings and entertainment, by 40 to 50 percent, redirecting budgets toward essentials like housing and transportation, the survey found. High-income value-seekers, though fewer, make sharper cuts of 50 to 60 percent in categories like clothing, restaurants, recreation and personal care compared to their peers.

While price matters, Deloitte finds that 10 to 40 percent of perceived value comes from factors beyond price. Brands that deliver quality, reliability and trust are more likely to win consumers—especially in hotels, grocery and restaurants, where quality is the main value driver.

Meanwhile, the report urges brands to become “Most Valuable Players” by offering more than low prices. Those prioritizing quality, reliability and trust are better positioned to attract consumers and earn loyalty, the report said. A 2 percent rise in spending at MVP brands across hotels, grocery and restaurants reflects this shift in behavior.

A TravelBoom survey found that 74.5 percent of Americans still plan to travel this summer.

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