What lies ahead for the consumer sector?

The confidence that has defined the sector remains firmly in place, and leaders are increasingly clear that the opportunity now lies in capturing the right kind of growth, which is profitable, sustainable and built to last. Drawing on Forvis Mazars’ 2026 C-suite Barometer, the consumer sector reflects top-line optimism alongside a disciplined, cautious and margin-focused approach in practice.

Optimism, tempered by caution

Across the global mid-year insights, 92% of C-suite executives remain positive about growth. Yet within that stability, overall confidence has softened slightly. These findings correlate with what we are hearing from our clients in the sector, with the gap between optimism and confidence offering a valuable insight into how leaders are navigating the market.

The sector is cautious due to a cluster of pressures bearing down on UK consumer businesses: geopolitical instability, the knock-on effect on inflation in food, fuel and fertiliser, and domestic headwinds from tax changes including national insurance and the national minimum wage. The result is a leadership that still sees opportunity but is measured about it.

Protecting margin over chasing top line

One key theme that defines the sector’s current agenda is the shift from growth at any cost to profitable growth. According to the mid-year insights, 57% of global C-suite leaders highlighted that they have diverted resources in the last six months in light of the macroeconomic and geopolitical situation. 

This discipline is reshaping how consumer businesses operate, with 59% of C-suite executives in the consumer sector indicating that some costs will be passed on to customers to account for the market uncertainty. Pricing has become sharper and more deliberate, with the heavy discounting that traditionally ran through the early months of the year giving way to bundling, loyalty-led differentiation and more careful assessment of their value proposition.

Businesses are taking harder structural decisions with some looking at doubling down on an omnichannel model spanning both physical and online rather than just relying on their physical stores. The strategic logic is consistent throughout: build up the balance sheet and working capital first, so the capacity to invest in the future is there when it is needed.
This mirrors the strategic priorities from our 2026 C-suite Barometer which highlighted how adapting business models in response to competition and tariffs ranks second only to technology transformation, and where increased competition is named by more than a third of leaders as a constraint on growth.

A sector driven by accelerating digital adoption

Technology transformation is the clearest throughline of all. In our 2026 C-suite Barometer, nine in ten UK consumer companies had a technology transformation strategy, making it the sector’s top strategic priority with AI sitting at its centre. However, this investment does not mean indiscriminate spending.

The pace of change makes restraint a virtue rather than a weakness in such a fast-paced market. Firms are spending on digital transformation but selectively, where the use cases are strong and the payoff is real.

Supply chains, manufacturing processes and demand forecasting are areas delivering genuine advantage, alongside the data-led personalisation now reshaping the customer experience. Consumer businesses can model what a shopper is likely to buy, anticipate which items will be returned and where, and tailor what stock each store carries to its local customer base, a marked shift from the old model of bulk-buying 18 months ahead and discounting whatever failed to sell.

The UK consumer sector is building for what’s next

The UK consumer sector is centred on agility: becoming faster, more responsive and able to anticipate customer preferences “before they know what they want,” using data to do so. The pressures are real, with mounting compliance, new packaging taxes and rising business rates. But so is the opportunity.

The consumer landscape itself is shifting in ways that will reward adaptability. Consumers have less money in their pockets and are more selective and price-savvy than ever, trading down to own-label where it makes sense and researching higher-value purchases carefully. Dynamic pricing and price-matching are spreading, and brand value, which was once the sector’s anchor, is eroding as price becomes the sharper differentiator. Demographics add another layer, with consumer businesses, in particular, retailers, building multi-channel strategies to reach different age groups.

The direction of travel is consistent with an overarching message: a future defined by AI-enabled transformation, resilient supply chains, adaptive business models, targeted international growth and relentless customer-centric innovation. With an eye on what’s next, the task is to hold that ambition while staying disciplined about margin, deliberate about technology and clear-eyed about the human and economic realities underneath.