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Back-to-School Spending Intentions
It’s that time of year again, and NPD has taken a look at U.S. consumers’ purchasing intentions for this back-to-school season. Overall, consumers told us they are feeling better and have plans to spend more money and shop in more stores.
In general, consumers indicated they are feeling better about making purchases for back-to-school. That can be seen in the decreasing number of consumers who told NPD they plan to spend less. This year 38 percent of respondents said they plan to spend less this year compared to last year’s 44 percent.
Back-to-School Spending Intentions |
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| 2010 | 2009 | |
| Plan to Spend Less? | 38% | 44% |
| Plan to Spend the Same? | 40% | 32% |
| Plan to Spend More? | 22% | 23% |
Get details about our Back-to-School Monitor now.
"We are certainly seeing signs that consumers are willing to open their purse strings," said NPD Chief Industry Analyst Marshal Cohen. "The fact that fewer consumers say they plan to spend less is coupled with the fact that they say they plan to shop in more stores. Fifty-five percent of respondents told us they plan to shop in more stores this year compared to last year’s 53 percent. Those two things point to better results this season."
As with last year’s study, consumers told NPD they are in no hurry to start their shopping for back-to-school. Half the number of consumers this year (3 percent) compared to last year (6 percent) said they have purchased for back-to-school already.
"More and more consumers keep telling us that they are putting off their shopping later and later each year," said Cohen. "I would say that this is a change in the timing of consumption. More people buying now and wearing now is part of the lingering impact of the recession."
While consumers’ plans indicate a later start to their shopping they still plan to buy, and the category that tops most back-to-school shopping lists is school supplies – 74 percent of the study’s respondents said they plan to purchase them. Two categories that appear to be getting this biggest lift this season are apparel (58 percent this year vs. 52 percent last year) and footwear (45 percent this year vs. 39 percent last year).
Category Spending In Dollar Order |
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| 2010 | 2009 | |
| School Supplies | 74% | 77% |
| Apparel | 58% | 52% |
| Footwear | 45% | 39% |
| Electronics* | 30% | 30% |
| School Bags | 29% | 29% |
| Apparel Accessories | 16% | 16% |
| Beauty Products | 11% | 13% |
| Bedding | 9% | 12% |
| Calculators | 7% | 8% |
| Small Appliances | 5% | 6% | Electronics includes: personal computers, laptops, PDAs, printers, cell phones, MP3 players, digital cameras |
Get details about our Back-to-School Monitor now.
"This year it is all about freedom on a budget," said Cohen. "The kids are more likely to have the freedom to say which stores they will shop in, but their parents will still keep them on a budget."
While consumers might be feeling a bit better this year, they haven’t abandoned their quest to find value. The most often given reason that an item will be purchased this back–to-school season is value, at 79 percent, the same as last year.
Why will you purchase? |
||
| Value | 79% | 79% |
| Required | 45% | 45% |
| Replacement | 32% | 28% |
| Child Wanted It | 21% | 18% |
| Trendy/Fashionable | 11% | 13% |
| Influenced By Friends | 2% | 2% |
Get details about our Back-to-School Monitor now.
This year national chain stores gained the biggest boost in the number of consumers who told us they plan to shop this channel. Thirty-three percent said they plan to shop them; last year that number was 29 percent. Mass merchants, office supply stores, department stores, and footwear specialty stores rounded out the top five.
"The days of buying merchandise well before school starts are gone now. Kids would rather wait to see what the “cool” brands and styles are before rushing out early in the summer to shop. And parents would rather put off spending until their kids will actually wear what they buy," Cohen said."But don’t mark the back-to-school shopping season absent this year – it will just be a little tardy."
For more information about NPD’s Back-to-School Monitor or other market research products and services, contact Charles Camaroto at 866-444-1411 (contactnpd@npd.com).
