‘It’s time we faced into the reality that people don’t want as much new stuff any more’

In the face of continuous sector disruption, retailers have taken solace in the belief that people will always want more. Over the 30 years from the inception of the ONS Retail Sales Index in 1988, this was also true – total UK retail volumes saw 2.5% annual growth, the pie getting steadily larger as retailers and channels tussled over the size of their slice.

The pandemic was an abrupt shock to that trend, but we’ve seen retailers spend much of the past three years explaining away sluggish volume recovery with talk of inflation and cost-of-living pressure. While those forces are real, they don’t tell the whole story and certainly don’t fully explain why in 2025 we’re seeing 10% fewer new retail items purchased than we did in 2019.

It is time we faced into the reality that people don’t want as much new stuff any more. The big volume rebound isn’t coming. It’s not just that the pie is smaller, consumer tastes require a different recipe.

Call it conscious consumption. Call it decluttering. Call it sustainability. There are lots of forces at play that conspire to cause consumers to rethink what – and how much – they need across all categories.

In fashion, WRAP estimates the average UK shopper now buys 30% fewer new garments per year than in 2016, while recent OC&C research would show secondhand sales is growing at 20%+ year on year.

Meanwhile, in grocery, food waste has declined by 18% per household since 2020. Even in home and tech, previously seen as growth categories, S&P Global research shows the proportion of consumers holding laptops and tablets for over five years has risen from sub-20% in 2022 to well over 30% now. Consumers are holding off on upgrades and opting to retain and repair.

This is not austerity. It’s selectivity, driven by changing values as much as economic pressure.

Consumers are asking harder questions about ‘do I really need this?’ which may not feel like success to the retailers grappling with volume pressure, but more considered and sustainable consumption should be heralded as a positive force. It is now up to retailers to respond and profitably move with this flow.

“Many roads are leading towards retailers reviewing and rethinking their loyalty strategies, but if consumers are buying less overall, retailers must fight to become part of the chosen few”

A few thoughts on the defining features of successful retailer responses:

Edit the excess

Consumers are leaning more into quality over quantity, buying products built to last (and carry resale value), or reduce wastage. This should change the architecture and range shape that retailers build, and the promotional mechanics they use. It may trigger a shift to new pack sizes and fewer volume-based promotions in grocery, or change the centre of gravity into trade up tiers in non-food and curb the endless aisle to curate and strengthen around a winning core.

Make longevity pay

If consumers are looking for their products to endure, then retailers need to monetise that. You could imagine extended warranties, quality guarantees, repair and service contracts all becoming more desirable to consumers and creating recurring value to retailers. While it may also feel counterintuitive, retailers may also benefit from illustrating and communicating the superior resale value of their products to attract first-hand volume – accepting they now co-exist but serve distinct needs to emerging secondary sales platforms like Vinted.

Refocus value away from ticket price

We’ve already seen a more concerted shift in the US towards consumers thinking of value more based on ‘cost per use’ over item price, and you could imagine this increasingly becoming part of the UK psyche too. Reframing value positioning and messaging to help consumers to justify investing more upfront if it allows them to access more resilient or enduring solutions.

Earn the right to be chosen

Many roads are leading towards retailers reviewing and rethinking their loyalty strategies, but if consumers are buying less overall, retailers must fight to become part of the chosen few. Precision loyalty schemes need to deepen engagement without chasing volume, and have potency in recommerce platforms, resale communities, or service ecosystems – where the original brand can still play a role.

To conclude, retailers need to accept that ‘less’ is no longer going to get solved by a market correction and is an enduring consumer choice that is here to stay. It’s time to embrace a future that certainly is not more, but definitely could be better.