Today : Feb 25, 2025
Business
25 February 2025

Consumer Trends To Watch For 2025 Across Industries

From automotive design innovations to shifting fashion market dynamics and the rise of moderation in alcohol consumption, 2025 promises transformative consumer trends.

With 2025 on the horizon, businesses are gearing up to navigate the changing landscapes across various industries. From automotive aesthetics to fashion and alcohol consumption trends, insights gathered from various studies and experts are shedding light on what to expect.

The automotive sector, for example, is undergoing significant changes as noted by the Colour, Materials & Finish (CMF) Trend Survey 2025, launched by Car Design News and Ultrafabrics. This initiative calls upon automotive designers to share their perspectives on the shifting trends affecting vehicle designs. The survey aims to examine key areas including color, materials, finishes, and cultural influences affecting preferences across different regions.

Particularly, the focus on color trends will assess how interior and exterior aesthetics vary by vehicle segment and geographical region. Meanwhile, the materials segment will analyze innovations from PU leather to bio-based materials, as well as the impact of finish textures on overall designs. The survey identifies four core areas:

- Colour trends by vehicle segment and region
- Material innovations and interior trends
- Exterior and interior finish preferences
- Cultural and consumer influences by region

Once completed, participants will receive access to exclusive findings, which will be unveiled at the Car Design Dialogues event scheduled for April 8, 2025, at Milan. It offers automotive designers not just insight but the opportunity to help shape the future of vehicular design.

Shifting gears, the global fashion industry is confronting its own set of challenges. According to the BoF-McKinsey State of Fashion Executive Survey, 2025 could be pivotal for fashion, as persistent economic uncertainty takes center stage. The survey, presented during a McKinsey Live session, reveals truly sobering insights: the luxury market is struggling, with overall revenue growth projected to languish within the low single digits.

Executives expressed pessimism, marking consumer confidence at historically low levels, as trade restrictions and talent shortages continue to hamper growth. Yet, not all is bleak. Surprisingly, segments like the midmarket are witnessing revenue and profit margin growth for the first time. Particularly noteworthy is the rise of the silver spenders—consumers aged 50 and above—who are gaining traction within the fashion market. Simultaneously, the value segment is seeing expansion as brands adapt to more price-sensitive customers. Among the bright spots is the sportswear category, which seems to be thriving, often fueled by newer, agile brands unencumbered by traditional practices.

Geographically, there’s a shift as brands look beyond stable U.S. and established markets. Countries like Japan, Korea, India, and dynamic markets such as Bangkok and Jakarta are now vying for attention as potential powerhouses with significant consumer bases. India alone boasts a middle-class population larger than those of the U.S. and Europe combined, making it one of the world’s fastest-growing consumer markets.

Technological advances also play a pivotal role as brands grapple with how best to engage customers through initiatives like advanced analytics and generative AI.

Meanwhile, the drinks industry finds itself at the intersection of changing consumer preferences and market pressures, particularly with increasing interest in moderation. The IWSR’s Bevtrac 2024 Wave 2 report demonstrates how moderation is rapidly becoming the new norm as light drinkers now form the largest segment of consumers across 15 key markets.

Younger consumers are leading this shift, many opting to abstain from alcohol entirely or drinking less frequently. For example, data shows 71% of affluent urban drinkers in India have taken breaks from alcohol use. Other regions like South Africa, Mexico, and Brazil report similar trends, where over half of drinkers are temporarily abstaining. Miles Beale, CEO of the WSTA, noted, “People are drinking less, but they’re drinking bigger.” He emphasized the necessity for the industry to simplify its messaging to attract younger consumers.

The rise of the no and low-alcohol segment is another pivotal trend. It is transcending being merely just niche, now capturing the attention of approximately 25% of drinkers across surveyed markets, with markedly high adoption rates seen in Spain (40%) and Germany (44%). North America, once lagging, is catching up as the category grows, especially within the no-alcohol beer market.

To adapt effectively, producers are exploring innovations aligned with these trends. For example, Loire wines are naturally lower in alcohol, positioning them favorably to accommodate shifts toward no and low-alcohol beverages.

All considered, industries are at the brink of transformative shifts, each answering to the same core challenge: how to adapt to the unexpectedly rapid changes among consumers. Brands and businesses face the dual challenge of reacting to economic pressures, talent shortages, and the need to craft messages and products aligned with changing consumer values. The road to 2025 demands resourcefulness and adaptability as bright spots emerge amid uncertainties.