Back-to-school spending slows as uncertainty and inflation take toll, NRF data shows

According to NRF data, back-to-school spending is expected to ease due to uncertainty over tariffs and inflation. Walmart, the world's leading distribution group, is preparing for the upcoming school season with a focus on affordability and convenience. The retailer is offering discounts and promotions to help customers budget for back-to-school expenses.

According to the National Retail Federation (NRF), back-to-school spending is expected to ease due to uncertainty over tariffs and inflation. Walmart, the world's leading distribution group, is preparing for the upcoming school season with a focus on affordability and convenience. The retailer is offering discounts and promotions to help customers budget for back-to-school expenses.

The NRF's recent report [3] indicates that back-to-school spending for K-12 students is expected to reach $30.9 billion this year, a slight decrease from last year's $32.5 billion. Despite higher prices in all categories, consumer spending on back-to-school shopping is expected to remain roughly steady compared to a year ago. Lower-income parents plan to spend 10% more year over year, while middle- and higher-income parents plan to spend 7% and 9% less, respectively.

Walmart is responding to these trends by launching a series of promotions and discounts to help families manage their budgets. The retailer is offering aggressive discounts on apparel, electronics, and other back-to-school essentials. Additionally, Walmart is extending its sales window to 96 hours, up from the typical 48, featuring aggressive promotions on categories ranging from apparel to electronics [1].

Adobe Analytics reports that online spending surged to $24.1 billion in the US from July 8–11, driven by deep discounts during "Black Friday in Summer" sales. Mobile shopping was the dominant transaction channel, driving 53.2% of online sales [1]. This surge in online spending highlights the increasing importance of e-commerce for back-to-school shopping.

Despite the uncertainty surrounding tariffs and inflation, families are finding ways to save. According to Deloitte's annual survey, overall back-to-school costs fall as US budgets tighten, with parents planning to spend less than last year amid inflation worries [2]. Retailers are responding with school supplies deals and online promotions designed to help families save.

Several major retailers, including Walmart, Target, and Amazon, are launching deal events with strong discounts, encouraging shoppers to trade up on expensive items they might normally pass on [1]. Amazon Prime Day has been cemented as a "back-to-school" shopping moment, with consumers jumping on early deals to stock up on essentials and get ahead of the back-to-school rush [1].

In conclusion, while uncertainty over tariffs and inflation may impact back-to-school spending, retailers like Walmart are focusing on affordability and convenience to help families manage their budgets. By offering discounts and promotions, retailers are responding to the changing consumer behavior and economic conditions.

References:

[1] https://economictimes.indiatimes.com/tech/technology/us-online-spending-surges-24-1-billion-as-steep-discounts-boost-sales-adobe-says/articleshow/122406915.cms
[2] https://www.buylakewoodranch.com/blog/back-to-school-costs-fall-as-us-budgets-tighten/
[3] https://chainstoreage.com/deloitte-back-school-spending-hit-309-billion