Table of Contents
- Key Highlights:
- Introduction
- The Spending Surge: A Response to Inflation and Preparedness
- Inflation’s Impact: Essential vs. Discretionary Spending
- The Rise of Early Shopping: Mitigating Anxiety and Ensuring Availability
- The Resurgence of Physical Retail: A Desire for Connection
- Mass Merchandisers: The Go-To for Budget-Conscious Families
- Demographic Influences on Shopping Behavior
- Building Community Connections: A Retail Opportunity
Key Highlights:
- Parents are projected to spend 17.3% more on back-to-school shopping this year, with the average per-child budget reaching $386.
- The resurgence of in-person shopping is driven by concerns over inventory shortages and a desire for a streamlined shopping experience.
- Retailers have a unique opportunity to enhance consumer loyalty by responding to evolving needs with thoughtful strategies and clear communication.
Introduction
As summer wanes, the back-to-school shopping season emerges, bringing with it a wave of excitement and anxiety for families across the nation. This year, a significant shift is taking place in how parents approach this annual ritual. According to JLL’s 2025 Back-to-School Shopping Report, families are not only spending more but are also shopping earlier and finding renewed value in in-person retail experiences. With inflation concerns looming, parents are strategically navigating their budgets while prioritizing their children’s educational needs. Understanding these trends is crucial for retailers looking to connect with customers and strengthen brand loyalty during this pivotal shopping season.
The Spending Surge: A Response to Inflation and Preparedness
In a landscape marked by rising prices, parents are bracing for back-to-school expenses with a budget that reflects both concern and resolve. The average spending per child has increased significantly, projected to reach $386, which marks a 17.3% rise compared to previous years. This increase outpaces the current inflation rate of 2.4%, indicating that families are willing to invest more in their children’s education and preparedness as a means of regaining control in uncertain times.
High-income families, particularly those earning over $150,000, are expected to spend even more, with an astonishing 27% increase in their back-to-school budget. This demographic, including older Gen X parents with children in high school or college, plans to allocate approximately $470 per child, reflecting a commitment to ensuring their kids have what they need for a successful school year.
The underlying motivation for this spending surge is not just material; it represents a broader desire for stability and a return to routine after years of disruptions. Parents are viewing this season as an opportunity to instill confidence and structure, and they are looking to retailers to support their efforts with products that provide value and ease in the shopping process.
Inflation’s Impact: Essential vs. Discretionary Spending
While parents are increasing their overall spending for back-to-school supplies, they are also exhibiting a more cautious approach due to inflation. Reports show that 65% of parents recognize that inflation is influencing their shopping habits, particularly high-income families who are reevaluating discretionary purchases. The percentage of their budget spent on non-essential items has dropped from 70.9% to 63.8% this year.
To adapt to this changing landscape, retailers must understand the importance of affordability and value in their offerings. Parents are employing various cost-cutting strategies, such as utilizing coupons, reusing supplies, and even opting for secondhand items. Younger parents are more inclined to shop for used products, while older parents may focus on reducing the total number of items purchased.
Retailers can capitalize on this trend by providing transparent pricing structures, flexible payment options, and store-brand products that offer quality at a lower price point. By creating an environment where parents feel empowered to make informed decisions, retailers not only foster trust but also encourage repeat business.
The Rise of Early Shopping: Mitigating Anxiety and Ensuring Availability
This year has seen a notable shift towards early back-to-school shopping, with nearly 45% of parents beginning or completing their shopping before June—a 12-point increase from the previous year. This trend is largely driven by concerns over product availability. More than half of parents express anxiety about finding the necessary supplies, particularly among older and higher-income shoppers.
This early shopping behavior extends beyond mere convenience; it reflects a deeper need for structure and peace of mind in a chaotic period. Parents are keen to avoid the last-minute rush that often leads to frustration and disappointment. Retailers can respond to this trend by launching promotional campaigns earlier in the season, providing clear communication regarding inventory levels, and offering staggered shopping windows to ease the pressure on families.
The Resurgence of Physical Retail: A Desire for Connection
Despite the rapid growth of e-commerce, this year’s back-to-school shopping season is witnessing a resurgence in the popularity of physical retail locations. Over 90% of parents plan to shop in person, with many gravitating towards malls and open-air centers, particularly high-income families. Only a small fraction, 9.2%, intend to shop online exclusively.
This return to in-person shopping is indicative of a broader shift in consumer preferences. Parents are increasingly seeking a sense of community and support during the back-to-school season. The emotional connection that comes with shopping in brick-and-mortar stores is invaluable, as it allows families to engage with products firsthand and make more informed decisions.
Retailers can enhance this experience by creating calm, organized environments that facilitate easy navigation and accessibility. Simple changes, such as clear signage and thoughtful store layouts, can significantly improve the shopping experience and encourage loyalty among customers.
Mass Merchandisers: The Go-To for Budget-Conscious Families
Walmart, Amazon, and Target continue to dominate the back-to-school shopping landscape, with 70% of parents citing savings as their primary motivation for choosing where to shop. The convenience of one-stop shopping, coupled with competitive pricing and promotions, makes these mass merchandisers particularly appealing to families.
More than 11% of surveyed parents plan to shop exclusively at these retailers, especially those with elementary school children. This trend reinforces the need for retailers to prioritize customer experience, focusing on convenience, accessibility, and value-driven offerings. Clear messaging regarding sales and promotions can also encourage repeat visits, further solidifying the relationship between consumers and retailers.
Demographic Influences on Shopping Behavior
Understanding the demographic factors influencing back-to-school shopping is crucial for retailers aiming to tailor their offerings effectively. Shopping habits differ significantly based on income levels, gender, and the age of children. Lower-income parents tend to prioritize sales and discounts, often shopping at thrift stores, while higher-income families begin their shopping earlier and favor a broader range of retailers.
Gender differences also play a role in shopping behavior. Moms are more likely to focus on essentials and budget-friendly brands, shopping later in the season. In contrast, dads tend to start their shopping earlier, visit multiple stores, and spend more overall. Parents of younger children often gravitate towards mass merchandisers, while those with older kids are more inclined to explore specialty stores, including sporting goods and electronics.
These insights provide retailers with valuable cues for developing targeted marketing strategies that resonate with specific customer segments. By recognizing the unique preferences and behaviors of different demographics, retailers can optimize their product mix, store layout, and promotional timing to better meet the needs of their customers.
Building Community Connections: A Retail Opportunity
Back-to-school shopping is not merely a transactional experience; it is a deeply personal journey for families, marking a significant transition in their lives. This season presents a unique opportunity for retailers to connect with customers on a meaningful level. By listening to families, anticipating their needs, and creating spaces that foster a sense of community, retailers can establish themselves as vital anchors within their neighborhoods.
Retailers who embrace this opportunity will stand out in a crowded marketplace. Building strong relationships with customers can lead to long-lasting loyalty that extends beyond the back-to-school season. By demonstrating a genuine commitment to supporting families during this critical time, retailers can cultivate a brand identity that resonates with consumers long after the first bell rings.
FAQ
What are the main factors driving the increase in back-to-school spending this year?
Parents are planning to spend more due to a combination of inflation concerns and a desire to ensure their children are well-prepared for the school year. The average spending per child is projected to rise significantly, with many families prioritizing essential supplies.
How are parents adjusting their shopping habits in response to inflation?
Many parents are adopting cost-cutting strategies, such as using coupons, reusing supplies, and shopping for secondhand items. High-income families are particularly focused on reducing discretionary spending.
Why are families starting their back-to-school shopping earlier this year?
Concerns about product availability and a desire for structure during a hectic time are driving families to shop earlier. This trend reflects a need for peace of mind and control over the shopping process.
What role does in-person shopping play in this year’s back-to-school season?
In-person shopping is regaining importance, with a significant percentage of parents preferring to shop physically. This shift underscores the emotional connection and community aspect of the shopping experience.
How can retailers adapt to the changing shopping behaviors of families?
Retailers can enhance the shopping experience by launching campaigns earlier, providing clear inventory communication, and creating organized, welcoming store environments. Understanding demographic influences and tailoring offerings accordingly will also help retailers meet the evolving needs of consumers.