Jul 21, 2011

Back-to-School Sales Expected to be Flat as Parents Practice Restraint, According to NRFBy NRF.com

Washington – As they prepare for their annual back-to-school shopping trip, parents this year will make children scour their closets before agreeing to buy any new jeans, pencils or backpacks. According to NRF’s 2011 Back-to-School survey conducted by BIGresearch, families with children in grades K-12 will spend an average of $603.63 on apparel, school supplies and electronics, within a few dollars of last year’s $606.40 average. Total spending on grades K-12 is expected to reach $22.8 billion.*

Combined K-12 and college spending will reach $68.8 billion**, serving as the second biggest consumer spending event for retailers behind the winter holidays.

“Families aren’t opposed to spending on what they need, but parents want their children to take a good look around at what they already have before deciding what to buy for back to school this year,” said NRF President and CEO Matthew Shay. “Retailers understand consumers are extremely focused on value and are taking this opportunity to offer substantial savings on merchandise.”

Although the worst of the recession is over, a shadow of insecurity still remains when it comes to how the economy will impact consumers’ back-to-school plans. According to the survey, Americans are compensating for the economy by purchasing more store-brand or generic items (39.9%), comparison shopping more online (29.8%), and shopping for sales (50.0%). Additionally, nearly half of survey respondents said the economy is forcing them to simply spend less in general (43.7%).

Read complete article.