If moms and dads had to take a pop quiz on back-to-school shopping, they would see some familiar questions—and one big new question.
Are you spending more money than last year? Did you start shopping early this year or are you holding off? Where will you shop? And, finally, will recently enacted tariffs impact prices?
The back-to-school shopping season is second only to the winter holidays in importance to retailers. Spending on electronics and dorm supplies like linens and small appliances represents a boost for merchants in Delaware, whose sales tax-free status attracts consumers from bordering states.
Cecilia Ramirez, a mother of three from Newark, plans to make the retail rounds at Carter’s, the kids’ clothier, and big box discounters Marshall’s, and Gabe’s. She will pick up last-minute items online, ordering from Amazon.
She is shopping for her sons, Ethan, 11, and Liam, 9, and for her daughter, 5-year-old Adele, who is starting school.
“Backpacks, clothes, shoes, and supplies like notebooks,” she says.
She expects to spend more money this year. It’s a simple matter of math.
“Last year, I was shopping for two children and this year I will be shopping for three,” Ramirez says. “Besides, prices on everything are higher than they were last year.”
Tanger Outlets in Rehoboth Beach is enticing vacationers to shop for school with instant coupons, including $30 off purchases of $150 or more. Christiana Mall, a regional power shopping center where half the shoppers are from out of state, boasts a high-volume Apple store. Concord Mall, on Route 202 in North Wilmington, is less than five miles from the Pennsylvania border.
Like Ramierz, more than 90% of parents will make at least some of their purchases at brick-and-mortar stores, according to a survey by JLL, a commercial real estate market watcher. Only 9.2% plan to shop online exclusively.
Concerns about potential price increases due to tariffs have inspired more parents to start shopping early, with 67% starting their buying in July, according to a survey by the National Retail Federation, a Washington D.C.-based trade group, and Prosper Insights & Analytics. The latest round of government tariffs is expected to begin on Aug. 1.
“Consumers are being mindful of the potential impacts of tariffs and inflation on back-to-school items, and have turned to early shopping, discount stores and summer sales for savings on school essentials,” NRF consumer insight vice president Katherine Cullen said in a statement.
To boost consumer confidence, some retailers announced they are holding the line on prices. Dollar General has pledged not to charge more for 100% of its back-to-school merchandise, including $1 folders and pencils. Target is maintaining its 2024 prices, including its popular $5 backpack. Ditto for Walmart, which also is promoting a $5 backpack.
That suggests retailers are willing to trim profit margins to keep customers happy. According to the Consumer Price Index, the economic barometer of inflation, backpacks are nearly 30% more expensive than in 2019, before the Covid pandemic. Electronics and clothes also are up.
So, will parents spend more or less money than last year? Survey results are mixed.
Deloitte predicts spending will total $30.9 billion for students in grades K-12, which works out to about $570 per student. That’s $16 less than last year.
“Parents are laser-focused on preparing their children for the school year, but we expect back-to-school spending to remain flat amid economic headwinds and financial concerns across income groups,” Natalie Martini, Deloitte retail and consumer products sector leader, said in a statement.
RetailMeNot, a cash-back shopping site, is even less optimistic, predicting shopping for students K-12 will average $389, down from $506 last year. For college students, whose expenses are typically higher, receipts are expected to total $598, compared to $821 in 2024.
A Coresights Research report is more upbeat, forecasting overall spending will rise 3.3% this year, although 68.8% of respondents said they will rein in their purchases due to concerns about inflation. Coresights also found 73% of back-to-school shoppers anticipate price hikes due to supply chain issues or tariffs on imported merchandise. In all, families expect to spend $378 per student, a 21.5% increase from $311 in 2024.
The Deloitte survey found that parents are aggressively looking for the best deals, with 46% planning to spend the most at mass merchant retailers like Target and Walmart, an increase from 40% last year. They also are a lot more willing to switch brands if their preferred product is too expensive, with 75% opting for the less pricey merchandise, versus 67% in 2024.
Mega promotional events have changed the way people shop. Launched In early July, Amazon Prime Days, Walmart Deals and Target Circle Week compete to offer the biggest bargains, attracting consumers who want to get a jump on crossing items off their back-to-school lists. Deloitte found 82% of shoppers planned to make a purchase during those promotional days.
Consumers spent $24.1 billion during Amazon’s four-day prime event. That’s a 30% boost from the year before, according to data from Adobe. Sales of back-to-school clothes, electronics and supplies surged 175%, compared to last year.
Younger consumers are comfortable shopping across channels. Generation Z—those born between 1996 and 2010—represents young moms and dads, as well as college students. Of those shoppers, 68% will use social media and AI to look for bargains. Gen Z consumers also prioritize products made in America, with 62% planning to buy domestic as much as possible.
Consumers are weighing various factors in where and how they shop. Of online shoppers, 71% are willing to wait longer for delivery in exchange for free shipping, according to Deloitte. Cashback websites are growing in popularity, with 26% of surveyed parents saying they will buy on sites that put money back in their pockets.
While moms and dads will be paying the bills, the kids have a significant say as to what goes in the shopping cart, perhaps because back-to-school shopping is viewed by many families as an intergenerational retail outing. Nine-in-10 shoppers in the Deloitte survey said their child has a must-have back-to-school item on their wish list. Nearly two-thirds—62%--said their kids can persuade them to spend more.
