61% of Gen Z shoppers used AI tools to help with a purchase in the last year, according to a September 2025 survey from PayPal.
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Become a ClientThis year’s Cyber Five brought in record sales, but it’s still unclear how consumer spending will unfold through the rest of the holiday season and into the new year. Shoppers are moving in different directions based on their financial stability, and many are starting their holiday buying weeks earlier. Coming out of the gate with strong value and consistent messaging is paying off early, but brands must keep that energy going as the season stretches and shifts.
Amazon remains in negotiations to extend its USPS partnership but is reassessing its delivery strategy after learning the Postal Service may hold a reverse auction that would require major shippers to bid for facility access. The unexpected shift injects uncertainty into Amazon’s network at a time when it is rapidly expanding Amazon Logistics and investing heavily in rural delivery. Because Amazon accounts for a sizable share of USPS revenue, a split would significantly strain the agency and could accelerate Amazon’s rise as a competing carrier, reshaping how retailers meet growing consumer expectations for fast, reliable delivery.
Marketers are feeling less optimistic about business conditions for 2026 than they were a year ago, per a new WARC report. 54% of marketers believe that conditions will improve next year, down from 65% who felt this way about 2025. WARC’s forecast indicates that economic instability will continue causing marketers to adopt more conservative budgeting strategies and sharpen their focus on measurable, performance-driven advertising.
Dollar and discount retailers are gaining share as low prices draw more middle- and high-income shoppers. Dollar Tree added 3 million households to its customer count in Q3, most earning over $100,000, while Dollar General saw higher-income customer growth and broader market-share gains. Five Below’s strong Q3 comps reflected new shoppers and bigger baskets. All three raised full-year outlooks. But much of their growth stems from higher prices, not traffic, and core low-income shoppers remain strained. To sustain momentum, retailers must improve store experience and appearance, ensure pricing accuracy, and invest in convenience through delivery partnerships.
Klarna launched its premium membership model in the US, per press release. Klarna has been trying to compete with premium credit card rewards as a buy now, pay later (BNPL) provider, but the cash-back rates for both tiers are paltry compared with credit cards, which often offer 2% cash back for all purchases with no annual fee. BNPL rivals should make using installment loans for big-ticket items—a key growth area for providers—as easy as possible, like by offering 0% interest holidays, instead of promoting toothless rewards structures.
Bilt partnered with United Airlines, offering 2X miles to customers who use their United co-brand card to pay their rent through Bilt’s platform. Bilt is trying to extend travel offers to members, but clumsy economics may get things off to a slow start. While Bilt stands to earn valuable margins through third-party card payments, the cost-ineffective nature of using this promotion will likely yield low returns. Competitors like the Made Card could trial a more straightforward travel rewards program centered on their own card.
US employers have announced over 1.1 million job cuts this year, the most since 2020 and a 54% increase YoY, according to Challenger, Gray & Christmas. The report, alongside similarly soft numbers from ADP, is unlikely to stem the decline in US consumer confidence. While the end of the government shutdown eased some anxieties, households remain concerned about the weakening labor market and rising inflation. These concerns could weigh on holiday spending by pushing shoppers to reduce their budgets and prioritize essentials.
LinkedIn released a report on the trends shaping small businesses in 2026, proving that technology, trust, and relationship building will be the pillars of success for small businesses in the years ahead. Despite the unique roadblocks small businesses face amid current macroeconomic conditions, success is possible for those who stay on top of emerging technologies, invest in their digital presence, and build professional relationships.