U.S. consumers have not stopped spending since fuel prices climbed during the war involving Iran, yet retailers are reporting noticeable shifts in purchasing behavior. From gasoline purchases to grocery shopping habits, many households are making adjustments to manage rising costs.
The changes remain uneven across income groups, and overall spending has held up in several categories. Still, executives from major companies and retail analysts say signs of financial strain are becoming more visible, particularly among lower-income consumers facing higher costs across multiple parts of their budgets.
Consumers Adjust Everyday Habits as Fuel Costs Rise
According to reporting by The Associated Press, warehouse retailers including Costco, Sam’s Club, and BJ’s Wholesale Club have experienced increased traffic at their gas stations since the conflict began in late February. Fuel prices at these locations are typically lower than at many traditional gas stations, prompting some drivers to change their routines.
Trevor Chapman, a communications executive in California, told AP that he and his wife now plan fuel purchases around Costco locations. He also said they have increased online grocery shopping to avoid impulse purchases.
Retail executives have observed additional behavioral changes. Walmart Chief Financial Officer John David Rainey said customers and Sam’s Club members are purchasing less than 10 gallons of fuel per trip on average for the first time since 2022. Rainey described the trend as a sign of consumer stress.
Costco reported a similar pattern. Chief Financial Officer Gary Millerchip said members are visiting gas stations more frequently to “top up” their tanks rather than waiting until they need a full refill, reflecting concerns about future fuel price increases.
The shift has affected convenience stores, where most U.S. fuel sales traditionally occur. According to the National Association of Convenience Stores, pump transactions at 130 convenience-store companies fell by nearly 10% in March and April compared with the same period a year earlier. In-store sales declined by 10.4% over the same timeframe.
Spending Priorities Shift Toward Necessities and Value
Higher fuel prices have also influenced spending beyond the gas pump. According to Circana, restaurant traffic in April remained unchanged from a year earlier, although spending increased 2.6%, largely because of higher menu prices rather than greater demand.
McDonald’s Chairman and Chief Executive Officer Chris Kempczinski said customers with household incomes of $45,000 or less have continued reducing fast-food purchases, a trend that began after the inflationary period following the COVID-19 pandemic and intensified last year.
Research from Revenue Management Solutions, cited by AP, analyzed 14.6 billion restaurant transactions over four years and found that restaurant visits tend to decline as gasoline prices increase. The effect becomes stronger when gasoline reaches $4 per gallon, a threshold the national average reached on March 31.
Grocery shopping patterns are changing as well. Stew Leonard, president of the supermarket chain Stew Leonard’s, said customers are increasingly buying meat in bulk when prices are favorable and are showing less interest in demonstration and sample products. He said the behavior suggests shoppers are sticking more closely to prepared shopping lists.
Retail data point to broader shifts in discretionary spending. Circana reported that between April 25 and May 23, retailers sold 6% fewer non-grocery products than during the comparable period in 2025. Housewares, clothing, footwear, and sporting goods posted declines ranging from 5% to 7%.
Meanwhile, location intelligence firm Placer.ai found reduced foot traffic at clothing, electronics, and home-furnishing stores by early May, alongside increased visits to grocery stores and discount retailers. According to the company, consumers are increasingly prioritizing value-oriented shopping options as fuel and other living costs remain elevated.
