Immigration crackdown sparks sales concern among brands

Hispanic customers, fearful of being stopped by immigration officers, are increasingly becoming skeptical of stepping out and even going shopping, and this is hurting brands.

Coca-Cola and other major companies are feeling the impact as many immigrant shoppers retreat from stores.

Apart from deportation fears, rising inflation and job losses in industries like construction have driven many Latinos—including those with legal status—to stay home and cut spending.

ICE raids have spooked communities, sparking protests and keeping families from shopping or dining out.

Coke’s North American sales dropped 3% in the first quarter, partly due to this pullback. Modelo maker Constellation Brands, Wingstop, El Pollo Loco, and JD Sports also reported lower spending by Hispanics.

A false rumor linking Coca-Cola to ICE led to a boycott, pushing shoppers toward Pepsi and store-brand colas.

Retailers are responding with discounts, bilingual campaigns, and new packaging to win consumers back, but fear and tighter budgets continue to weigh heavily on Hispanic communities.