Written by: RBA Insights — Posted on: August 13, 2025

In recent months, U.S. immigration policy has taken a more aggressive turn, with federal enforcement ramping up raids and publicizing high-profile deportations. Regardless of political stance, the ripple effects are undeniable, particularly in industries that rely heavily on Hispanic consumers. Furniture retail is one of them.

The Hispanic community represents one of the most powerful consumer groups in the United States, contributing trillions annually to the economy. In many metropolitan areas, including entire neighborhoods in states like Texas, California, Florida, and Massachusetts, furniture stores depend on Hispanic buyers for as much as 70 to 90 percent of their customer base. When fear and uncertainty take hold in such communities, the financial impact can be immediate.

Store owners in Latino-majority neighborhoods have reported steep declines in foot traffic since early spring. The shift began around February and intensified in March and April, coinciding with increased media coverage of enforcement actions. For many immigrant families, even those with legal status, the risk of encountering immigration authorities while shopping has created a climate where discretionary purchases like new furniture are postponed indefinitely.

The result is what some retailers describe as a “freeze-all” in sales. Customers who were once frequent buyers have simply stopped showing up. The emotional toll is matched by a sharp financial one. A store that has long relied on Hispanic customers may find its revenue slashed in half within weeks, leaving little time to react.

For furniture retailers in this position, survival often depends on pivoting to new demographics without alienating the core customer base. That is a delicate balance. Moving too slowly risks bleeding revenue; moving too quickly risks losing long-standing trust. The most resilient businesses are those that can expand their appeal to other market segments while continuing to serve the Hispanic community with sensitivity and support.

That pivot might include broadening marketing campaigns, diversifying product lines to meet different tastes, or forging partnerships with organizations that reach other cultural groups. It might also mean shifting sales efforts to digital platforms where customers feel safer browsing and purchasing without leaving home.

Timing is everything. Delaying diversification until sales have already collapsed leaves fewer resources to invest in the transition. Acting early before the worst impact sets in can preserve stability and position the business to capture new customers while maintaining connections with existing ones.

Immigration policy will always be a political issue, but its effects on consumer behavior are an economic reality. For furniture retailers whose livelihoods are tied to the spending confidence of immigrant communities, the challenge is clear. Understand the risks, plan for demographic shifts, and be ready to adapt before fear turns into long-term disengagement.

At RBA Global, we recognize that the real danger in moments like these isn’t just the drop in foot traffic, it’s the erosion of momentum. That’s why we work with our clients to make sure the showroom feels just as alive today as it did before the shift. For stores with a predominantly Hispanic customer base, our approach focuses on two parallel tracks: retention and expansion.

On the retention side, we help reinforce trust with existing customers through targeted community outreach, culturally aligned marketing, and low-visibility purchasing options that reduce perceived risk. On the expansion side, we execute rapid-cycle campaigns to attract new buyer groups, adjusting product mix, language strategy, and media placement so the store is relevant to a wider demographic without alienating its core audience.

By blending immediate tactical moves with long-term brand repositioning, our clients maintain sales consistency, not by waiting for market conditions to change, but by adapting in real time. In volatile environments, stability isn’t luck. It's strategy. And we make sure our clients have one.