Maintaining strong brand connections is more important than ever as consumers tighten their budgets in uncertain economic times. Brands that build genuine emotional resonance and align with customer values create loyalty that withstands financial pressures. Jacqueline Long, President of Evins Communications, explains why emotional connection—not just price—is key to thriving when spending habits shift.

Vuarnet via Evins

Today’s consumer is in a tough spot. Faced with the dual challenges of inflation and the economic uncertainty created by new and proposed tariffs, many are choosing to put off non-essential purchases and drastically reduce their spending. But where does this leave brands reliant on the purchasing habits of consumers?

When wallets tighten, discretionary spending is often the first casualty, but not all brands are affected equally. In fact, some brands will continue to thrive despite the current economic challenges, and the difference between these brands and those that don’t succeed often comes down to emotional connection.

People don't make purchasing decisions based on price alone. Recent studies uncovered that when faced with financial constraints consumers become more selective, and rather than cutting out all discretionary spending, they instead spend on brands with which they feel a stronger emotional connection. According to a 2023 report from Edelman's Brand Trust Barometer, 81% of consumers say they must be able to trust a brand to do what is right in order to buy from them. Harvard Business Review research shows that emotionally connected customers are more than twice as valuable as highly satisfied customers. Even in difficult times, consumer price sensitivity is less important when they feel understood and validated by a brand.

A great example of this is the historic loyalty built by luxury brands, who have maintained remarkable customer connection despite premium pricing. We also see this today with tech brands like Apple, who create an entire world where their customers feel comfortable, validated and welcome. This can often resonate beyond the rational concerns about price and function and instead cultivate a feeling of need and importance that transcends most other concerns, even financial ones.

The psychology behind this is known as ‘resource scarcity’, which posits that when the demand for a good or service exceeds its availability, and the gap between what people want and what is available widens, creating a scarcity mindset that focuses on personal needs and desires. Brands that have successfully positioned themselves as meaningful parts of consumers' lives—rather than interchangeable providers of goods or services—benefit from this protective instinct.

The secret is simple: authenticity, consistency, and value alignment can help strengthen emotional connections between brands and consumers. Brands do need to show caution, however, as today's consumers are remarkably adept at detecting insincerity, those that demonstrate a genuine understanding of their audiences' challenges and aspirations, communicate in ways that resonate with their values, and deliver experiences that feel personally meaningful are the ones that will thrive in nearly any economy.

The brands that thrive in today’s evolving landscape craft immersive experiences that engage multiple senses and create lasting impressions. Think about the distinctive aroma in a hotel lobby, the satisfying tactile feel of premium packaging, or carefully curated ambient sounds in digital spaces, all of which transform fleeting moments into memorable experiences.

Additionally, when brands use sophisticated data analysis alongside human insight to offer relevant recommendations or incorporate authentic elements, they move beyond transactions to build deeper connections. These relationships develop further when consumers recognize their own values in brand actions, through elements such as meaningful partnerships, shared heritage, or moments that speak to collective experiences. Success in this situation doesn't come from amplified marketing volume but from authentic meaning.

As we continue to navigate an uncertain market landscape, and economic pressures continue to impact consumer behavior, the brands that win will be those that recognize that emotional connection is a survival necessity rather than a marketing tactic. Consumer purchases are shared and publicized more than ever before, not only with friends and family, but on social media, online forums and in reviews. This leads to increased scrutiny from the outside, as well as a closer link between the product or service and what it supposedly says about its purchaser. Being “good enough” is no longer good enough. The brands that endure will be those that understand emotional connection, cater to the needs and desires of their consumers and drive conversation and advocacy.