Published: August 05, 2010
NPD Annual Back-to-School Spending Intentions Report
PORT WASHINGTON, N.Y. - (BUSINESS WIRE) - The NPD Group, Inc., a leading market
research company, took a look at consumers purchasing intentions for
this back-to-school season. Overall consumers tell NPD that they are
feeling better, have plans to spend more money and shop in more stores.
In general, consumers indicated that they are feeling better about
making purchases for back-to-school. That can be seen in the decreasing
number of consumers that tell NPD they plan to spend less. This year 38
percent of respondents said they plan to spend less this year compared
to last year's 44 percent.
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Back To School Spending Intentions
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2010
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2009
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Plan to Spend Less?
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38%
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44%
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Plan to Spend the Same?
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40%
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32%
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Plan to Spend More?
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22%
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23%
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"We are certainly seeing signs that consumers are willing to open their
purse strings," said Cohen, "The fact that more consumers say they plan
to spend less coupled with the fact that they say they plan to shop in
more stores, 55 percent of respondents told us they plan to shop in more
stores this year compared to last year's 53 percent. Those two things
point to better results this season."
As with last year's study, consumers tell NPD they are in no hurry to
start their shopping for back-to-school. Half the number of consumers
this year (3 percent) compared to last year (6 percent) say they have
purchased for back-to-school already.
"More and more consumers keep telling us that they are putting off their
shopping later and later each year," said Marshal
Cohen, chief industry analyst, The NPD Group, Inc. "I would say that
this is change in the timing of consumption, more people 'buying now and
wearing now,' is part of the lingering impact of the recession."
While consumers' plans indicate a later start to their shopping they
still plan to buy and the category that tops most back-to-school
shopping lists is school supplies with 74 percent of the study's
respondents saying they plan to purchase them. Two categories that
appear to be getting this biggest lift this season are apparel (58
percent this year vs. 52 percent last year) and footwear (45 percent
this year vs. 39 percent last year).
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Category Spending In Dollar Order
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2010
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2009
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School Supplies
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74%
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77%
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Apparel
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58%
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52%
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Footwear
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45%
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39%
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Electronics*
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30%
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30%
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School Bags
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29%
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29%
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Apparel Accessories
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16%
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16%
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Beauty Products
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11%
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13%
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Bedding
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9%
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12%
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Calculators
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7%
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8%
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Small Appliances
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5%
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6%
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Electronics includes: personal computers, laptops, PDA's,
printers, cell phones, MP3 Players, digital cameras
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"This year it is all about freedom on a budget," said Cohen, "The kids
are more likely to have the freedom to say which stores they will shop
in, but their parents will still keep them on a budget."
While consumers
might be feeling a bit better this year they haven't abandoned their
quest to find value. The most often given reason for why an item will be
purchased this backâto-school season is 'value' with 79 percent, the
same as last year.
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Why will you purchase?
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2010
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2009
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Value
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79%
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79%
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Required
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45%
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45%
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Replacement
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32%
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28%
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Child Wanted It
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21%
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18%
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Trendy/Fashionable
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11%
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13%
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Influenced By Friends
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2%
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2%
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This year national chain stores are seeing the biggest boost in the
number of consumers who say they plan to shop there. This year 33
percent said they plan to shop them, last year that number was 29
percent. Mass merchants, office supply stores, department stores and
footwear specialty stores round out the top five.
"The days of buying merchandise well before school starts are gone now.
Kids would rather wait to see what the 'cool' brands and styles are
before rushing out early in the summer to shop and parents would rather
put off spending until their kids will actually wear what they buy,"
stated Cohen, "...don't mark the back-to-school shopping season absent
this year, it will just be a little tardy."
About The NPD Group, Inc.
The NPD Group is the leading provider of reliable and comprehensive
consumer and retail information for a wide range of industries. Today,
more than 1,800 manufacturers, retailers, and service companies rely on
NPD to help them drive critical business decisions at the global,
national, and local market levels. NPD helps our clients to identify new
business opportunities and guide product development, marketing,
sales, merchandising, and other functions. Information is available for
the following industry sectors: automotive, beauty, commercial
technology, consumer technology, entertainment, fashion,
food and beverage, foodservice, home, office supplies, software, sports,
toys, and wireless. For more information, contact
us, visit http://www.npd.com/,
or follow us Twitter at https://twitter.com/marshalcohen
and https://twitter.com/npdfashion.
Become a fan of Marshal Cohen at http://www.facebook.com/npdmarshalcohen
and watch him on YouTube.

The NPD Group, Inc.
Beth Boyle, 516-625-4603
beth.boyle@npd.com
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