Back-to-School Shoppers to Spend Less: Survey
High gas and food prices are prompting some shoppers to drop their back-to-school spending, a new survey found.
Some 71% of people said they plan to spend less on back-to-school items this year, according to Deloitte. And nearly half (48%) said they plan to reduce household spending by more than $100.
The majority of shoppers (83%) said they plan to cut back on clothes spending, whereas close to half said they would spend less on shoes, the survey found.
“These survey results indicate that consumers will likely stick to the basics this fall, and parents may be saying ‘no’ more often as they head to the register,” Stacy Janiak, Deloitte’s U.S. Retail leader, said in a statement. “Retailers should focus on areas that will contribute to profitable growth, such as adapting their merchandising and promotional activities to increase loyalty among existing customers and attract new customers.”
Among other findings, 79% of people will buy more back-to-school items on sale and 68% will spend more on lower-priced items. Less than half (46%) will shop at different, or less expensive, stores than normal, the report found.
The Deloitte survey contradicts another report released last week. Brand Keys, a brand and customer loyalty research consultancy, released a report predicting a 5% annual increase, about half of the typical annual increase (Promo Xtra, July 16, 2008).
http://promomagazine.com/research/backtoschool_spending_up_5percent_0716/index.html
The two surveys, however, found common ground when it comes to discount store shopping. Deloitte’s research says 88% of people plan to shop at discount/value stores for back-to-school needs, whereas Brand Keys’ says the preference for discount store shopping rose to 85% from 75% last year.
“As consumers look for deals and value, discount stores are clearly well-positioned,” Janiak said. “Dollar stores have an opportunity to enhance their market share and positioning by getting the word out about their back-to-school selections.”
Deloitte’s online survey polled 5,035 consumers between July 11 and 14.
