Back-to-school spending is likely to stay flat or tick down this year as cash-strapped parents hit hard by inflation pull back on electronics purchases and prioritize value, according to a new survey.
“Families are searching for deals and prioritizing value and convenience to save wherever possible,” Brian McCarthy, principal of retail strategy at Deloitte, said in a statement. “This dynamic creates an opportunity for retailers to take some of the anxiety out of the season by extending loyalty programs and incentives.
Shoppers are likely to spend $12.60 billion on clothing and school supplies, roughly on a par with what they spent in 2023, and $8.6 billion on technology products, down 11% from a year earlier. Meanwhile, higher-income families whose annual incomes exceed $100,000 are expected to see a 5% rise in average spending to $721 per child, compared with $689 a year ago, Deloitte noted in the report.Walmart, Target and China-based Shein launched their back-to-school offerings in early July – earlier than usual.