Increased optimism sees US consumers willing to spend more in 2024

With the new year right around the corner, consumer spirits are soaring high, especially in the United States. American consumers are reportedly feeling more confident going into 2024 and, therefore, more willing to open their wallets and spend, according to the latest US Consumer Trends Report from data analyst platform Attest.

One-third (33 percent) of the 2,000 nationally surveyed consumers stated they feel "very positive" about the next year, a seven percentage point increase compared to last year's report. Overall, 71 percent of consumers said they felt positive about 2024, up from 64 percent last year.

With a growing number of consumers remaining optimistic about the upcoming year, indications point to an increase in spending for 2024. Even the most cautious spenders are willing to spend more, with the number of Americans stating they are spending "cautiously" declining by 5.6 percentage points to 53 percent in comparison to last year. On the other hand, nearly 25 percent of those surveyed stated they plan to spend "freely" next year.

What's more, there seems to be a notable shift among US consumers towards supporting brands that match their ethical values. The report highlights a 12 percent increase in shoppers willing to pay extra for eco-friendly and ethical products. In 2023, 57 percent of US consumers surveyed were reluctant to spend more on green products. However, this number has dropped to 44 percent in the run-up to 2024.

In line with their optimistic view for 2024, US consumers seem to be increasingly favoring brands with a sense of humor. The preference for humorous brand messaging has grown by 4.9 percentage points to 56 percent, compared to last year. Meanwhile, the demand for reassuring messages has decreased by 4 percentage points to 35 percent, indicating a clear shift from last year's consumer attitudes.

This last year, numerous brands struggled with public scrutiny over their stances on social and political issues. The report notes growing sentiment among Americans in 2024 who prefer brands to stay clear of contentious topics, up 5.5 percentage points from last year to 26 percent. Despite this, the majority of Americans still expect brands to address societal issues in their marketing, with poverty and inequality topping the list of concerns they wish brands to emphasize in 2024, accounting for 35 percent of those surveyed.

Increased consumer optimism also seems to be contributing to diminished environmental concerns. Interest in brands representing climate change issues has fallen by 6.3 percentage points to 22 percent. Additionally, more than a year after the reversal of Roe v. Wade, data shows a 7.4 percentage point drop in the number of Americans expecting brands to take a stand and advocate for women's rights at 22 percent.

The report also found that more and more US consumers are interacting with brands on TikTok. With 43 percent of those surveyed using the Chinese social media platform to engage with brands, those between the ages of 18 and 24 are driving this trend, with 70 percent of this demographic doing so. YouTube is also experiencing a surge in brand engagement, with 60 percent of US consumers reporting interacting with brands.