NPD Group: E-commerce boosts back-to-school spending
Port Washington, N.Y. – Spending during the total back-to-school season (nine weeks ending Sept. 6, 2014) on traditional supplies increased 2% from 2013, with e-commerce acting as a key catalyst at more than 20% growth during the same time period. According to new data from The NPD Group Inc., most back-to-school shopping occurs at retail brick-and-mortar stores (88%), but 2014 online sales claimed an estimated $33 million previously held by brick-and-mortar retailers.
This season’s growth resulted in an overall increase of $74 million in sales for the 2014 back-to-school season, and almost half ($35) million of it came from the e-commerce channel. The 2014 NPD Back-to-School Monitor indicates that most important factors consumers consider when selecting a back-to-school shopping destination are low prices and a well-stocked school supply section. More than 40% of consumers will shop at more than one retailer to find a specific item, despite preferring one-stop-shopping, but only 17% of consumers shop around for a better price. Consumers are finding ways to save time and money by doing pre-shopping research online, and more of them are using smartphones and tablets to do so.
Growth in spending on traditional supplies in the pre-college segments, combined with the usage of school lists for shopping by 75% of consumers, underscores the importance of knowing what is on school lists. Manufacturers and retailers can utilize this information to effectively plan their product lineup and marketing efforts. In many cases, teachers specify a brand preference for the items included on school lists
“Channel lines are blurring as consumers are finding ways to do more with less time and money,” said Leen Nsouli, office supplies category specialist, The NPD Group Inc. “The use of social media and online content may have more effectively engaged consumers, simplifying the process of getting the school supplies they want, for the price they want to pay, and in some cases shopping online while in-store or without physically shopping around.”