was in vogue in 2024.
Shoppers and restaurant patrons in the U.S. were choosy about where and how to spend their money as they wrestled with high housing and .
Well-heeled customers to Walmart and Aldi. Diners opted for fast food or instead of sit-down restaurants. Department stores struggled as buyers shopped online or at cheaper chains like H&M.
Residents also moved or investing in expensive renovations, opting to refresh their homes with inexpensive items like frames .
Those shifts changed the buying and eating landscape in 2024. As of Dec. 20, Coresight Research tracked 48 retail in the U.S., compared with 25 during the same period a year ago. And at least 22 restaurant chains filed for bankruptcy this year, the highest number since 2020, according to BankruptcyData, a company that tracks filings.
Here are some of the trends 鈥� and dead ends 鈥� that The Associated Press tracked in 2024:
WINNERS:
WALMART
The typically shines during tough times as for groceries, which account for 60% of Walmart's total business. And just like during the 2008 Great Recession, Walmart saw households with incomes of $100,000 or above making up more of its clientele. But this time around, company executives think they can keep those customers because they鈥檝e expanded online services and added and mannequins.
AMAZON
Amazon leaned into as a destination for deals to appeal to bargain-hungry buyers. In November it , a new low-cost storefront featuring electronics, apparel and other products priced under $20. And the company said its Prime Day event in July resulted . But Amazon could face headwinds in the coming year with on products from China and in the U.S.
FAST CASUAL CHAINS
It was a good year for restaurant chains like that are a step up from fast food but still offer good value. Cava, which specializes in fresh Mediterranean food, said its revenue surged more than 33% in the first nine months of this year as it rapidly built new restaurants. from value-conscious diners about smaller portions, but drew customers back after retraining workers to ensure 鈥渃onsistent and generous鈥� portions.
JEANS SELLERS
The wide-leg jeans silhouette 鈥� the 鈥渋t鈥� style that rapidly replaced boot-cut and skinny jeans 鈥� drove sales across many different retailers this year. , Abercrombie & Fitch, Levi Strauss, Gap and Stitch Fix were among those citing the trend as a big sales booster in recent months. Value-conscious buyers could snap them up at Walmart for $29. At the high end, Gucci had wide-leg versions for $1,200.
惭颁顿翱狈础尝顿鈥橲
The year didn鈥檛 begin well for . The as inflation-weary customers chose to eat at home instead of grabbing fast food. But a $5 meal deal introduced in June helped draw lower-income customers back into stores. 惭肠顿辞苍补濒诲鈥檚 through the end of this year and said more value is coming in 2025. The fast food giant is working to get customers back after a fall linked to raw onions in Quarter Pounder hamburgers sickened at least 104 people in 14 states.
LOSERS:
TARGET
Target鈥檚 cheap chic fashions and home decor have long been a big attraction, but in 2024. Unlike Walmart, Target is more reliant on discretionary items like clothing because less than a quarter of its sales come from food and beverages. It has always battled a perception of being more expensive, and analysts say its merchandise has lately been in disarray. Still, Target drew crowds on with exclusive Taylor Swift products.
STARBUCKS
Starbucks had . Orders are getting increasingly complex, with thousands of ways to customize drinks. That鈥檚 leading to long lines and incorrect pickup times on the mobile app. New offerings like didn鈥檛 attract customers, who also grew tired of Starbucks鈥� high prices. Starbucks hired a new CEO, , in the fall to . But labor strife, which led to in December, could continue to hurt the company in 2025.
LEGACY RESTAURANTS
Several decades-old chains threw in the towel in 2024, succumbing to rising competition, changing dining patterns and big portfolios of outdated restaurants. , and Buca di Beppo all filed for Chapter 11 bankruptcy protection and shuttered dozens of locations. A leaner bankruptcy under new ownership, but it remains to be seen whether older chains can turn around years of declining sales.
BIG TICKET ITEMS
At the height of the coronavirus pandemic, U.S. consumers took advantage of low interest rates and to remodel their homes and make other big purchases. But last year, . That鈥檚 been a challenge for retailers like the nation鈥檚 largest consumer electronics chain, which noted lower sales of appliances, and gaming equipment. and Lowe鈥檚 also reported lower sales of big-ticket items, particularly discretionary kitchen and bathroom remodeling projects.
DEPARTMENT STORES
Department stores, particularly those catering to middle income shoppers, to hold onto customers as many turn to online shopping or to fast-fashion retailers. Among the worst performers: Menomonee Falls, Wisconsin-based , which reported its 11th consecutive quarter of sales declines this year. Outgoing CEO Tom Kingsbury recently owned up to merchandising mistakes, including scaling back fine jewelry, popular store label brands and petite sizes. Customers will see those categories return in the coming year.
said it would close 150 namesake stores over three years and open 15 higher-end Bloomingdale鈥檚. Upscale Nordstrom, on the other hand, had a better than expected fiscal year due largely to soaring sales at its off-price Nordstrom Rack stores. Last week, the department store chain and taken private by Nordstrom family members and a Mexican retail group. As a private company, Nordstrom may have more leeway and less scrutiny of its efforts to reinvigorate sales.
Anne D'innocenzio And Dee-ann Durbin, The Associated Press
