Consumers are planning a trip back to the stores before sending their children back to school this year, according to the findings of a new National Retail Federation (NRF) survey. The NRF 2003 Back-to-School Consumer Intentions and Actions Survey, conducted by BIGresearch for NRF, found that families with school-aged children will spend an average of $450.76 on back-to-school items, up from $441.60 in 2002. Spending for the back-to-school season will pump $14.1 billion into the economy, with kids adding another $750 million to the total.
Nearly every family with school-aged children intends to purchase clothes, shoes, and school supplies this year (95%, on average), with almost half of consumers (45.7%) planning to buy electronics or computer-related equipment as well. The average consumer expects to spend $206.24 on clothing, $84.44 on shoes, $74.04 on school supplies and $86.03 on electronics and computer-related equipment.
“With consumers heading to the stores for everything from scissors to sneakers, retailers are hopeful that the back-to-school season will signal the beginning of an economic recovery,” said NRF President and CEO Tracy Mullin. “The second half of 2003 is clearly poised for steady sales growth.” NRF is projecting a 4.5 percent growth in GAFS sales (general merchandise stores, apparel stores, furniture and home furnishings stores, electronics and appliances stores, and sporting goods, hobby, book and music stores) in the second half of 2003, up from 2.2 percent in the first half.
NRF partially credits the boost in back-to-school spending to the $13 billion in tax credit checks that will be sent over the next few weeks to more than 25 million families. “The refund checks could not have come at a better time,” said NRF President and CEO Tracy Mullin. “The child tax credit will go far in assisting families with necessary back-to-school purchases and will help retailers build on the past two months of sales growth.”
Kids and teenagers will also be heading to the stores before heading back to school. Nearly half of parents (43.6%) said their teenagers would be spending their own money on back-to-school items. Teenagers who will spend their own money plan to spend an average of $62.71, according to parents. Also, 26.0 percent of parents said that their 6-12-year-olds will spend their own money. The average amount of their own money spent by a 6-12-year-old is $32.63.
“The back-to-school season is a family affair,” said Phil Rist, Vice President of Strategy for BIGresearch. “Not only do children have a huge influence over what their parents buy, they are also more than willing to set aside their own money for what they really want to have when they return to the classroom.”
From backpacks to blue jeans and coats to computers, retailers are set to benefit from sales of a wide variety of back-to-school merchandise. Most consumers shopping for back-to-school items will shop at discount stores (78.1%). Many consumers also plan to purchase products at department stores (49.5%) and office supply stores (31.9%). Also, 20.2 percent plan to purchase goods at specialty stores and 16.4 percent will shop at drug stores.
