The Footwear Distributors and Retailers of America (FDRA), in collaboration with First Insight, conducted a survey that shows 78 percent of families plan to spend more or the same as last year on their kids’ shoes.
The survey of 691 households with kids ages elementary school to college uncovered how inflation and a potential recession could impact this year’s back-to-school shopping season, as well as the health of the footwear industry. It also explores consumer behavior shifts, including the role of social media in informing purchases.
Other key findings:
- 63 percent of families plan to spend $75 or less per pair of shoes compared to 81 percent in last year’s survey;
- 36 percent expect to spend at least $200 on back-to-school shoes this season, more than double last year’s rate (17 percent);
- 67 percent of families are shopping online due to higher gas prices;
- 61 percent plan to use social media to shop, with Facebook in the lead;
- 21 percent of families surveyed will purchase shoes online for back-to-school; and
- 29 percent will spend at least $300 more per month on total purchases compared to last year.
“FDRA’s recent survey of 100 top shoe CEOs revealed their biggest concern as we start the back-to-school season is no longer supply chain issues, but consumer behavior shifts as the economy slows and inflation continues to eat into pocketbooks. That is why this report is so important because it gets us closer to understanding where families plan to shop, how much they are expecting to spend and what is influencing their choices,” said FDRA’s senior vice president Andy Polk. “This survey is also extremely important to understanding the health of the U.S. economy as footwear is a vital barometer as a product families must purchase. It shows several interesting shifts occurring in family spending and channels.”
“With inflation rates at 40-year highs clearly taking a toll on consumer confidence, it’s more important than ever for brands and retailers to gain and use granular, real-time insight into their customers’ changing needs and willingness to spend,” said Greg Petro, CEO, First Insight. “Implementing Voice of the Customer predictive analytics and digital product testing enables retailers and brands to get the right products to market faster by refining buys and eliminating poor performers before they are even produced. With First Insight, brands get actionable feedback from their constantly-changing customers to ensure that consumers are getting the products they want at the right price.”
Photo courtesy DSW