Shoppers are tired of constant sales.
AlixPartners surveyed over 9,000 U.S. consumers about their shopping preferences across 140 retailers and nine fashion sectors. The findings show a dramatic shift in consumer behavior.
The importance people assign to price dropped 13% compared to last year. It fell across all sectors except luxury and beauty.
Even more striking: 30% fewer consumers ranked sales and finding the best deal as "very important" versus last year.
In the off-price sector - where bargain hunting is supposed to be the whole point - deal finding fell from the top factor to number 19.
After President Trump raised tariffs on dozens of countries in April, retailers panicked about consumer reactions.
Their solution? Discount everything.
"Retailers leaned on discounts and promotions to alleviate consumer concerns that prices were rising because of trade policy," said Sonia Lapinsky, head of AlixPartners' global fashion practice.
But the strategy backfired. Now there's "fatigue" around promotions. Shoppers are looking for more than just a discount.
The constant barrage of sales has made discounts feel meaningless. When everything is always on sale, nothing feels special.
Consumers are prioritizing different things:
Consistent pricing between stores and online Value for money (not just lowest price) Quality products Better store experiences
Over 60% of surveyed shoppers plan to make over half their fashion purchases in stores this holiday season. But they're not buying as much.
Time spent in stores dropped 3%. Basket size fell 5% over the last two years.
"We have higher foot track traffic and lower baskets. Something's missing that they're not converting," Lapinsky said. "So what is it about that experience in-store that's not helping them convert?"
Translation? People are walking into stores, looking around, and leaving without buying.
This is terrible timing for the retail industry.
The holiday shopping season could be weaker than previous years. Consumer sentiment is falling. The job market feels uncertain. Inflation persists.
Many retailers raised prices to offset tariff costs. Now they're discovering their usual playbook - discount to drive traffic - isn't working.
"They've always had this lever of discount to drive traffic and get folks into the store, but when you're compounding it with tariffs and their need to raise prices... that lever for them is going to become even more risky," Lapinsky said.
The survey findings are a "warning" that discounts won't be enough this holiday season.
The luxury sector shows what can go wrong.
Over the last few years, luxury brands dramatically raised prices. Chanel increased the price of one bag from $5,800 in 2019 to $11,300 in 2025.
That nearly doubled the price in six years.
Consumers responded by pulling back. They traded down to premium brands "that felt more rationally priced."
The report warns: "The same dynamic applies across other sectors. Retailers who attempt to hold the line on pricing by reducing quality risk losing credibility."
Retailers face a tricky Black Friday and Cyber Monday.
Their traditional strategy of heavy discounting has lost effectiveness. Consumers are numb to constant sales. They see price increases as "inevitable" anyway.
But retailers still need to move inventory during the crucial holiday season. And many just raised prices due to tariffs.
What's the solution? There isn't an easy one.
The report suggests retailers need to focus on: • Maintaining quality • Delivering genuine value • Improving in-store experiences • Being consistent with pricing
Just slashing prices won't cut it anymore.
For consumers, this "discount burnout" might actually be healthy. It suggests people are thinking more carefully about purchases and valuing quality over just getting a deal.
For retailers, it's a headache. Black Friday has traditionally been about massive discounts driving traffic. If shoppers don't care about discounts anymore, what's the hook?
This holiday season will test whether retailers can adapt. Those that figure out how to compete on experience and value rather than just price might thrive. Those still relying on discount-driven traffic might struggle.
The era of "everything must go" sales driving consumer frenzy may be ending. Retailers will need new tricks to get people to open their wallets.
