New report: The State of Creative Effectiveness
GET IT NOWAs these new U.S. tariffs come into play, consumers and brands alike are experiencing the effects in real-time.
To understand consumer price sensitivity in the face of these tariffs, we surveyed 1,000 U.S. consumers across age ranges and political affiliations and asked them to imagine they were purchasing their favorite product in each of the following categories and at what point a price increase would cause them to stop buying that product.
Read on for a breakdown of our key findings, how consumers responded for each category and what each industry can take away from these findings.
For our complete findings, download the report.
A 5–10% price increase is enough to change behavior in most categories. More than half of consumers would stop purchasing snacks, fast food, cosmetics, wine and spirits, and tech products if prices rose by just 10%.
Consumers are already in a cost-cutting mindset: Many report cooking more at home (49%), reducing impulse purchases (45%), and eliminating non-essentials (33%) to cope with rising costs.
Tariff-driven price increases could have a swift impact on demand, especially in discretionary categories like QSR, beauty and alcohol. Brands in these industries should consider how to justify price hikes or shift messaging to highlight value and necessity.
Let’s dive into the impact on purchasing for each specific product category.
Consumers show flexibility with produce, with 28% saying they’d continue purchasing no matter the price.
Still, nearly half (48%) shared they would stop buying at a 10% markup or less — showing even essential items are vulnerable to price hikes.
🍎 Industry takeaway:
Fresh food suppliers may have some buffer on pricing but should avoid assuming that produce is immune to demand shifts. Pricing transparency and highlighting quality or origin may help retain loyalty.
More than half (56%) of consumers say they would stop buying their favorite snacks if prices increased by 10% or less.
And only 1 in 5 say they’d continue purchasing no matter the cost — suggesting snacks are a price-sensitive category.
🍿 Industry takeaway:
Snack brands may need to rethink pricing strategies or offer smaller size options if tariffs drive up costs, especially in a category where private label products are carving out greater market share.
Only 24% say they’d keep buying no matter what, suggesting that loyalty isn’t guaranteed in this category.
🧃 Industry takeaway:
Whether it’s soda, juice or functional drinks, brands in this space should be prepared to justify price increases or risk losing share to cheaper alternatives or store brands.
A quarter (25%) of consumers say they’d continue purchasing dry goods like canned or baking ingredients no matter the increase, making this one of the more resilient pantry categories.
🥫 Industry takeaway:
Dry goods brands may face less immediate fallout than snacks or beverages, but still should monitor elasticity — especially in lower-income or bulk-buying households.
Fast food faces a steep cliff: 59% of consumers say they’d stop buying at a 10% price increase or less.
And only 17% would continue buying at any price.
🍟 Industry takeaway:
Quick-serve restaurants may need to hold prices steady or pair increases with clear value messaging. Discretionary dining is among the first areas consumers are cutting back.
Cosmetics are among the most price-sensitive categories, with 61% of consumers saying they’d stop purchasing by a 10% increase.
And just 16% would keep buying at any price.
💄 Industry takeaway:
Beauty brands should be cautious about price hikes — or focus on premiumizing products to justify the cost. This is a category where brand loyalty may not withstand inflation.
61% of consumers shared they would stop buying their favorite alcohol brands by the time prices rose 10%, and only 15% stated they would stick around at any price.
🍷 Industry takeaway:
Tariff-driven increases in alcohol could prompt consumers to switch to lower-cost brands or cut back entirely. Messaging around quality, origin or local sourcing could help soften the blow.
Over half (58%) of consumers shared that a price increase of 10% or less would stop them from buying a new computer.
And only 15% share that they would continue purchasing no matter the markup.
💻 Industry takeaway:
Infrequent, high-consideration purchases like computers may be delayed or skipped altogether when prices rise. Brands should consider focusing on financing options, trade-ins or bundles to maintain interest.
Finally, 57% of consumers shared they would stop buying tech accessories or gadgets with just a 10% increase in price.
And only 16% are brand-loyal enough to keep buying regardless.
📱 Industry takeaway:
Smaller-ticket tech items (like wearables, smart home devices, etc.) are at risk of being deprioritized during economic pressure. Brands should consider focusing on clear value and utility to sustain demand.
These tariffs are already affecting consumers' purchasing behavior. This means it’s an incredibly important time (certainly more than usual) for brands to maintain a pulse on their consumer, so they can pivot or double down as needed.
For a deeper look into consumers’ thoughts on the rising tariffs, download our full report.
Download the report for our complete findings.