As the back-to-school season approaches, parents, students, and retailers are gearing up for what is traditionally a significant shopping period. This year, the back-to-school spending trends for 2024-2025 reveal some interesting shifts, influenced by various economic factors. As I was researching some wholesale products to sell on Amazon and Walmart, I was wondering how this back-to-school shopping season was gonna pan out this year. Now that my kids are grown, and not in school any longer, I didn’t have first-hand experience this year. However, I did some research and gathered some data to share. Let us explore how much people are spending on the 2024-2025 back-to-school shopping season, how much spending is up compared to previous years, and we can look at some tips to manage your back-to-school budget effectively.
Current Back-to-School Spending Trends
According to some recent data, back-to-school spending in 2024-2025 is expected to see a moderate increase compared to last year. The National Retail Federation (NRF) estimates that families with children in elementary through high school will spend an average of $890.07 per family, up from $848.90 in 2023. A slight 5% increase. This increase can, however, be attributed to multiple factors, including inflation, supply chain issues, and changing consumer preferences.
Key Drivers of Increased Spending
Inflation and Rising Costs
One of the primary drivers of the increase in back-to-school spending is inflation. The cost of goods and services has risen significantly over the past year, affecting everything from school supplies to clothing. Families are finding that they need to budget more to cover the same items they purchased in previous years.
Supply Chain Issues
Believe it or not, there is still ongoing supply chain disruptions are also playing a role in driving up prices. Delays in manufacturing and shipping have resulted in shortages of certain products, leading to higher prices as demand outstrips supply. Retailers continue to facing challenges in keeping shelves stocked with the more popular back-to-school items, which has led to price increases.
Changing Consumer Preferences
Consumer preferences are also ever-evolving. Customers have an increasing focus on technology and more eco-friendly products. Many parents are investing in high-quality tech gadgets and sustainable, recycled and recyclable school supplies. These, however, tend to be more expensive than traditional school supplies. This shift towards higher-end products contributes to the overall increase in spending.
Breakdown of Back-to-School Spending
Here is a detailed breakdown of the average back-to-school spending per family in 2024:
- Clothing and Accessories: $312.34
- Electronics: $299.44
- Shoes: $151.56
- School Supplies: $126.73
Clothing and Accessories
Clothing and accessories remain one of the largest categories for back-to-school spending. Parents are expected to spend around $312.34 on clothing and accessories per child. Much more than when my grandma would buy my clothes from the JC Penny catalog! Clothing and accessories can include everything from uniforms and casual wear to backpacks and lunchboxes. The increase in spending is partly due to the rising cost of materials and the trend towards higher-price branded items. Hello Paw Patrol, Bluey, and Disney Princesses.
Electronics
Electronics are another significant expense, with an average of $299.44 spent per family. The need for laptops, tablets, and other digital devices has exploded, especially with the ongoing trend of hybrid and remote learning. Gone are the times of “Snow Days.” Now kids will attend classes remotely. Parents are investing in reliable technology to ensure their children are well-equipped for both in-person and online classes. I’d argue, spend a little more, and get higher quality devices that can be used multiple years. The breakage rate of budget Chromebooks is wicked-high! Like my kids, using something like a MacBook Air or MacBook Pro, and they can use these for multiple years.
Shoes
The average spending on shoes is estimated at $151.56. This includes everything from everyday sneakers to specialized footwear for sports and extracurricular activities. The rising cost of raw materials and the demand for durable, high-quality shoes contribute to the increased spending in this category.
School Supplies
Spending on traditional school supplies is still a thing. While we use technology a lot, we still need those things like notebooks, pencils, and folders. These costs are expected to reach about $126.73 per family. Despite being the smallest category, it still represents a significant portion of the back-to-school budget. Prices for these items have also been affected by inflation and supply chain issues.
Is Spending Up or Down?
Compared to the previous year, back-to-school spending for 2024-2025 is up. The NRF’s data shows an increase from the previous year’s average of $848.90 to $890.07. This upward trend reflects broader economic conditions, including inflation and supply chain disruptions. However, it’s worth noting that the increase is moderate, suggesting that while families are spending more, they are also looking for ways to manage their budgets effectively.
Tips to Manage Back-to-School Spending
Given the rising costs, it’s more important than ever to manage back-to-school spending wisely. Here are some practical tips to help you stay within budget:
Create a Budget: Start by creating a detailed budget for back-to-school expenses. List all the items your child will need, including clothing, electronics, and school supplies. Assign a budget to each category and stick to it as closely as possible.
Prioritize Needs Over Wants: Focus on essential items first and prioritize needs over wants. While it’s tempting to buy the latest gadgets and trendy clothes, make sure you cover the basics before splurging on non-essential items.
Shop Early: Shopping early can help you avoid the last-minute rush and take advantage of early-bird discounts. Retailers often offer sales and promotions in the weeks leading up to the school year, so keep an eye out for deals.
Compare Prices: Don’t settle for the first price you see. Use price comparison tools and apps to find the best deals on school supplies, clothing, and electronics. Many retailers offer price matching, so be sure to ask if they can match a lower price you find elsewhere.
Buy in Bulk: For items like school supplies, buying in bulk can save you money in the long run. Consider teaming up with other parents to purchase bulk supplies and split the cost.
Take Advantage of Tax-Free Weekends: Many states offer tax-free weekends on back-to-school items. Plan your shopping around these dates to save on sales tax for eligible purchases.
Use Coupons and Cash Back Offers: Look for coupons and cash back offers from retailers and credit card companies. These can provide significant savings, especially on big-ticket items like electronics.
Consider Second-Hand Options: For clothing and electronics, consider second-hand options. Thrift stores, consignment shops, and online marketplaces can offer gently used items at a fraction of the cost of new ones.
Back-to-school spending for the 2024-2025 season is on the rise, driven by things like inflation, supply chain disruptions, and changing consumer preferences. While families are expected to spend more this year, careful planning and smart shopping strategies can help manage these costs effectively. By creating a budget, prioritizing needs, shopping early, and taking advantage of discounts and tax-free weekends, you can keep those horns up, and ensure that your child is well-prepared for the new school year without breaking the bank.
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