2023 Overseas Guide: US Market Trends and Marketing Focus

As 2022 draws to a close, I believe that cross-border e-commerce companies that are going to the US market are gearing up and starting to make development plans for next year. Recently, consumer research platform Attest released the "2023 US Consumer Trends Report", which reveals the main trends and marketing priorities of the US consumer market next year.

It is learned that the report surveyed American consumers from four aspects: emotional trends, marketing trends, shopping consumption trends, and lifestyle trends, providing a reference for brands and retailers' layout next year.

Consumer sentiment trends

Trend 1: Young people are optimistic about consumption

Overall, the number of U.S. consumers who are optimistic about the economy in 2023 fell only 2 percentage points from last year to 64.1%. Gen Z is more than twice as likely as baby boomers to feel "very positive" (35.8% vs. 15.8%), and 32.4% of millennials are also optimistic.

Trend 2: Consumers’ main concerns

Despite a majority of optimism about 2023, food prices remain one of Americans' top concerns for next year, at 24%, followed by rising gasoline prices (17%), political unrest (15%) and unaffordable energy bills (10%).

In addition, concerns vary by demographic, with 23.7% of Generation Z worried about gas prices. On the other hand, baby boomers are more likely to worry about political unrest (24.0%). Brands can lower retail prices by reducing packaging.

Trend 3: Changing advertising preferences

Last year, American consumers preferred "humorous ads", but this preference has dropped by 5.4% this year, especially among young consumers. Instead, it has been replaced by "motivational ads", with Generation Z and millennials preferring this type of ads twice as much as older consumers.

Trend 4: Emphasis on brands’ stance on sensitive topics

Consumers are increasingly concerned about brands’ stance on social issues, including women’s rights (29.5%), poverty and inequality (35.9%), racial discrimination (30.8%), gun violence and climate change (both 29%).

Marketing Trends

Trend 5: Millennials favor email marketing

Millennials are more likely to be influenced by email marketing than other groups (23.8%), higher than Generation Z (14.7%) and Baby Boomers (9.7%). However, email marketing is still suitable for reaching people of all ages. Only 12.4% of consumers do not want to receive marketing emails, and "once a week" is the ideal rhythm.

Trend 6: The rise of TikTok marketing

The number of consumers engaging with brands on TikTok has increased 10% since last year to 35.0%, the fastest growth of all social platforms.

Gen X and Millennials were more likely to interact with brands on TikTok, at 60.8% and 42.3%, respectively. Overall brand engagement on TikTok increased 4.7 percentage points to 88.0%.

Trend 7: VR marketing becomes popular

The report shows that in the United States, the number of consumers who own VR devices is growing, with more than 25% of households having at least one. Millennials are the largest adopters, with 36.6% owning a VR headset (9.9% of whom own more than one).

Trend 8: Millennials take over virtual spaces

In the U.S., awareness of the Metaverse platform is highest among Millennials, who are twice as likely to be familiar with MetaHorizon Worlds as other demographics (23.7%).

Additionally, Roblox has the highest awareness among the metaverse platforms, and brands can create virtual products in Roblox and use it as a channel to attract young consumers (and their parents).

Shopping and consumption trends

Trend 9: Consumers are cautious about spending

It is not surprising that inflation has an impact on consumer spending, but data shows that the number of consumers who spend "quite cautiously" has increased by 5.4% this year, and the number of people who spend "very cautiously" has increased by 4.7%. Among them, older consumers are more cautious. Therefore, brands can focus on promoting value for money to this group of people.

Trend 10: Seniors prefer physical shopping

Data shows that Gen X and Baby Boomers are returning to physical stores for shopping, with nearly 41% of Gen X saying they now primarily shop in-store, and 44% of Baby Boomers doing the same.

On the other hand, young consumers still prefer online shopping: 36.3% of Generation Z and 39.5% of Millennials shop online "mostly or always". For brands, multi-channel sales may be the most beneficial option.

Important note: One-third of Americans split their purchases between online and in-store, which means multichannel distribution is the safest bet.

Trend 11: Amazon’s market share growth

Data shows that the number of American consumers who plan to increase their shopping on Amazon in 2023 has increased by 11.1% year-on-year. This growth is mainly driven by Generation Z, with 23.8% more people saying they will buy more on Amazon this year. Therefore, Amazon remains an important sales and marketing channel.

Trend 12: Fast fashion faces a reckoning

The impact of fast fashion on the environment has come under the spotlight recently, and it appears to be having an impact. 10.4% of consumers said they will buy less fast fashion items by 2023. Consumers aged 40 and over are more likely to do so, but Gen Z is also increasing in numbers.

For brands, they can help reduce waste by introducing resale platforms, joining clothing brands such as PrettyLittleThing, Zara and Shein.

Trend 13: Subscription services take a hit

As the cost of living rises, subscription services are taking a hit. 68.9% of consumers are canceling streaming subscriptions, especially younger consumers.

Data shows that 25% of millennials have stopped subscribing to Amazon Prime, 17.8% have canceled product subscriptions, and 20.4% of Generation Z have canceled gym subscriptions. For brands, you can introduce a subscription pause function.

Lifestyle Trends

Trend 14: Social media returns

Despite the COVID-19 vaccination campaign, many Americans' social activities remained limited last year. Social activities will increase in 2023.

The survey shows that the number of people who socialize with friends at least once a week has increased by 10.5% (63.3%). The number of people who do outdoor sports every week has also increased by 7.4% (36.6%), with Generation Z being the most active. Brands can market to social relationships.

Trend 15: Continued work from home

Data shows that currently, more than 27% of people switch between home and office, while 15.6% work from home five days a week. Only 25% do not work from home. Therefore, advertising targeting commuters may not be as effective due to reduced traffic flow.

Trend 16: Second-hand market continues to develop

By 2023, buying and selling second-hand goods will become an important pastime, with 38.0% of consumers saying they will look for second-hand goods to cope with rising inflation costs, and nearly 38% of consumers will sell their unwanted goods.

Brands can capitalize on this mentality and come up with ideas that help consumers reuse and recycle goods.

Trend 17: Rational shopping is on the rise

Consumers are more frugal and pay more attention to the long-term use value of goods. 43.3% of consumers said they are buying less and spending less, an increase of 9.6% from last year. This trend is most obvious among consumers over 40 years old.

For brands, while price is the main driver in 2023, quality should not be overlooked as consumers look to buy fewer things and use them for longer.

Editor✎ Ashley/

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