Why Consumers May Never Return to Their Pre-Pandemic Habits

The COVID-19 pandemic has left a mark on nearly every aspect of life. The ways people shop, make purchasing decisions, and perceive value have fundamentally shifted over the past few years. When we emerged from the pandemic, it became clear that many of the changes in consumer habits were here to stay. Retailers that once hoped that consumer behavior would eventually return to pre-pandemic norms are now realizing that this shift may be permanent.

During the pandemic, economic instability and job uncertainty led to a significant rise in promotional shopping. Consumers became increasingly focused on getting the most value for their money, leading to a culture of heavy discounting across industries. Even premium brands, which traditionally avoided frequent sales, found themselves offering discounts just to keep products moving. Consumers, in turn, grew accustomed to these deals and began to expect them as the norm.

As one industry expert noted in a recent discussion, “In my almost 28-year career, I've never seen a more promotionally minded consumer.” The data supports this observation. Studies show that consumers are now less willing to pay full price, expecting deals and discounts as a part of their regular shopping experience. Even when the end price point remains the same, the perception of a discount can drive significantly higher sales, reinforcing the idea that promotions are now integral to consumer decision-making.

One of the most significant shifts in consumer behavior has been the rise of private label brands and the so-called "dupe economy." Private label brands — i.e., retailer-owned brands that often mimic premium products at lower prices — have seen substantial growth since the pandemic. Major retailers have developed private label brands, which offer products that rival premium brands in both style and quality but are sold at more accessible price points.

This trend is emblematic of the post-pandemic consumer mindset: the desire for value often trumps brand loyalty. Shoppers are no longer willing to pay top dollar for branded goods when they can find high-quality alternatives at a fraction of the price. As one expert pointed out, “You can call it the knockoff economy or the dupe economy, but the bottom line is that consumers want value.” Private label brands not only offer that value, but they also provide higher profit margins for retailers, creating a win-win scenario that is reshaping the retail landscape.

Retailers now face the challenge of attempting to retrain consumers to pay full price, a daunting task in the current environment. Many companies that relied heavily on discounting to maintain cash flow during the pandemic are finding it difficult to shift away from promotions, even as the economy recovers. As one executive noted, “We’ve had such heavy discounting for so long that it’s just become the new consumer expectation.”

Even brands that traditionally avoided sales, like high-end activewear retailer Alo, have had to adjust their strategies to meet consumer expectations. The rise of e-commerce has also played a significant role in this shift. Consumers shopping online have a vast array of choices at their fingertips, making it easy to compare prices and wait for the best deals. This ability to shop around at the click of a button has further entrenched the idea that discounts are always available somewhere, making it harder for brands to convince shoppers to pay full price.

Despite a strengthening economy, it seems unlikely that consumers will return to their pre-pandemic shopping habits. Even as businesses anticipate a stronger economic environment in 2025, experts believe that the promotionally driven consumer mindset will persist. Years of discount-driven shopping have created an expectation that will be hard to reverse. Additionally, the rise of private label brands and the dupe economy has provided consumers with more options than ever before.

The key to success will lie in balancing value with brand differentiation. Brands that can offer something truly unique — whether it’s superior product quality, an exceptional shopping experience, or a strong emotional connection — may still be able to command full price. However, for most businesses, the era of discount-driven consumer behavior is a challenge for the foreseeable future. Retailers will need to embrace this reality and find innovative ways to meet consumer expectations while maintaining profitability.

While the pandemic may be behind us, the lasting impact on consumer behavior is undeniable. The discount culture, the rise of private labels, and the demand for value have reshaped retail. Brands that recognize and adapt to this new reality will be best positioned for success in the years to come.

Polly Wong is the president of the direct mail and digital marketing company Belardi Wong.