Consumer Behavior

Back-to-school spend robust despite inflation

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July 26, 2022

Back-to-school spending, on average, is about 5.4% higher than last June and may be the result of consumers pulling back spending in May, when retail sales dipped 0.3% from April's spend.

That's a prime finding of a JLL Retail Research survey that polled 1,001 parents on shopping behavior for the BTS season, the impact inflation is having on spend as well as what retailers they aim to shop at and how much they expect to spend.

"Despite inflation concerns, back-to-school spending might reach a record high this season," Naveen Jaggi, president of retail advisory, JLL, said in a press release on the survey findings.

"Our survey results show parents are resilient and plan to ensure their child has the proper school supplies and clothes they need for this upcoming school year, but retailers should be prepared for consumers to break brand loyalty, depending on better pricing and inventory options."

Roughly 31.5% of Millennials started back-to-school shopping before July and more than 7% of Gen Zers have already completed shopping, according to the survey.

In regard to Gen Xers, 34.2% are more likely to wait until August to shop.

The average BTS spend is projected to be $339, a bit more than last year's spend of $322.

"Predictably, our survey results show most parents plan to use multiple cost-saving methods to allay the effects of inflation," James Cook, director of retail research, JLL, said in the press release. "More than half of shoppers will look for sales and coupons, discounters will remain the most popular retail type and free shipping or delivery will be the most important determinant of where to shop online."