Consumers demand clarity as tariffs disrupt spending habits, DEPT study

New research from global marketing and tech services company DEPT, surveying over 4,000 consumers across the US, UK, Germany, Netherlands, and Australia, reveals how aggressive trade policies and growing uncertainty are reshaping consumer behavior, and what brands must do to keep pace.

The DEPT NavigatorIQ study, launched alongside its Strategic Navigator global think tank, finds that while uncertainty is universal, people’s responses are deeply local. From shifting loyalty to rising demand for transparency, the data makes clear that tariffs aren’t just an economic issue; they’re a brand issue.

Andrew Dimitriou, Global Chief Client & Growth Officer, DEPT: “Uncertainty has gone global, but consumer reactions are far from uniform. What reassures a shopper in Berlin might frustrate one in Boston. That’s why brands need real-time intelligence and real-world agility to stay ahead. Our NavigatorIQ global study will gauge consumer sentiment over the next few months as we help our clients turn these insights into action.”

Key findings: Local pressures, global lessons

The NavigatorIQ survey asks consumers how they expect tariffs to affect their spending, what kinds of brand messaging resonates right now, and how rising prices or delays would influence their purchasing decisions. It also explores whether consumers are shifting toward local brands, how they define brand trust, and which product categories are most vulnerable to trade-driven disruption.

The study found that loyalty is more fragile and conditional than expected. Brands assume consumers will tolerate moderate price hikes if they like the product. However, even modest price increases can trigger brand switching in multiple markets, especially the Netherlands and the US. And yet, 67% of U.S. consumers said they’d accept a price hike if the reason is clearly explained. It’s not just the cost increase that drives consumers away; it’s the lack of context. Clear communication can preserve loyalty better than discounts alone.

In the US, consumers are bracing for personal impact: 72% say they expect to feel tariff-related effects directly, with 48% ready to switch brands over price hikes and 44% planning to seek more deals.

In Germany and the UK, tone matters just as much as pricing. 45% of German respondents want brand messaging to be clear and informative, while 43% of Brits prefer a calm and honest tone. Only 9% of U.K. consumers favor upbeat or humorous messaging during economic uncertainty.

In the Netherlands, pragmatism prevails: 54% would trade down to cheaper products if prices rise, and 39% say they’d stop buying altogether.

In Australia, domestic loyalty is climbing: Over 70% of consumers are more likely to buy from local brands, driven by national pride and a desire for economic stability, especially in essential categories like groceries and apparel.

Despite regional nuances, one theme spans all markets: Communication is currency. Consumers respond best when brands communicate early and honestly about delays, cost changes, or broader market shifts.

www.deptagency.com

Follow Marketing Report on LinkedIn