Consumers’ continued spending both in spite of and in response to challenges is fueling retail growth in 2026. Total U.S. retail sales revenue, across discretionary general merchandise, retail food and beverage, and non-edible consumer packaged goods (CPG), for the first 10 weeks of 2026 is up 2 percent from the same time last year, with equivalent demand levels overall, according to Circana, LLC.
The macro results demonstrate the consumer’s overall resilience amid rising costs, economic challenges, and other distractions making headlines. While those distractions are adversely impacting many areas of retail, the consumer’s ability to pivot their behaviors in ways that benefit them is providing substantial pockets of growth.
“The economy is underscoring the changed behaviors and purchase dynamics consumers developed as a result of the COVID-19 pandemic, but the focus on usage and replenishment has evolved,” said Marshal Cohen, chief retail industry advisor for Circana. “Consumers are spending on products that extend beyond the core needs and are increasingly grounded in lifestyle passions – the kind of passion that sparks growth at retail.”
The top growth industries reveal examples of lifestyle spending. Video games, toys, prestige and mass beauty, auto aftermarket products and tires, retail food and beverage, fashion accessories, and non-edible CPGs have all demonstrated dollar gains in the 10 weeks ending March 14, 2026, despite varying shifts in demand and price. The top growth brands highlight larger consumer themes and provide a view into the lifestyle priorities consumers are investing in. Current themes span aspects of wellness, functional beverages, flavor innovation, next-gen tech solutions, nostalgia, and viral social moments.
“Consumers have to have a reason to spend, be it a fundamental need, a change, or a passion – it is those reasons, and the ‘feel good’ impact, that are fueling today’s retail growth,” added Cohen. “Marketers must tap into both the practical and emotional sides of today’s consumer, addressing their lifestyle needs and creating a hunger for something more.”
