NRF 2023 Back-to-Class Consumer Trends

NRF 2023 Back-to-Class Consumer Trends

• 1.
  Back-to-Class 2023 KATHERINE CULLEN VICEPRESIDENT INDUSTRY AND CONSUMER INSIGHTS NATIONAL RETAIL FEDERATION
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  Expected back-to-school andcollege spending Source: NRF and Prosper Insights & Analytics $29.5B $27.5B $26.2B $33.9B $37.1B $36.9B $41.5B $688 $685 $697 $789 $849 $864 $890 2017 2018 2019 2022 2021 2022 2023 Total expected spending Expected spending per household $54.1B $55.3B $54.5B $67.7B $71.0B $73.9B $94.0B $970 $942 $977 $1,059 $1,200 $1,199 $1,367 2017 2018 2019 2022 2021 2022 2023 Total expected spending Expected spending per household Back-to-School Back-to-College
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  Top back-to-school andcollege categories by spending Source: NRF and Prosper Insights & Analytics $203 $240 $136 $293 $264 $168 $326 $257 $167 Electronics Clothing & accessories Shoes 2019 2022 2023 $235 $120 $149 $300 $170 $168 $337 $191 $182 Electronics Dorm & apartment furnishings Clothing & accessories 2019 2022 2023 Back-to-School Back-to-College
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  Top back-to-school andcollege categories by popularity Source: NRF and Prosper Insights & Analytics 90% 92% 54% 94% 95% 69% Shoes Clothing & accessories Electronics 2019 2023 78% 51% 53% 86% 61% 68% Clothing & accessories Dorm & apartment furnishings Electronics 2019 2023 Back-to-School Back-to-College
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  Drivers of back-to-collegespending Source: NRF and Prosper Insights & Analytics 32% 42% 28% 20% 22% 15% 26% 43% 32% 32% 25% 18% 16% 16% I need more new items this year Prices are higher this year In need of more big- ticket items There are more required items on my school lists I am shopping for more people More items needed for school activities and sports I don't expect the deals to be as good this year 2022 2023
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  Electronics are aback-to-class essential Source: NRF and Prosper Insights & Analytics 21% 15% 12% 11% 10% 10% 7% 6% 5% 3% Back-to-School Laptop Tablet Calculator Electronics accessories Speakers/headphones Smartphone/cell phone Printer Home/desktop computer Smartwatch/activity tracker TV 23% 12% 10% 10% 10% 9% 9% 7% 5% 5% Back-to-College 56% 69% Plan to Buy 2013 vs. 2023 2023 2013 52% 68% Plan to Buy 2013 vs. 2023 2023 2013
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  Where back-to-class shoppersare in the season Source: NRF and Prosper Insights & Analytics 44% 52% 51% 56% 56% 2019 2020 2021 2022 2023 Percent who had started back-to-school and college shopping by early July • 13% had received their school lists • 41% expected to receive their school lists by the end of July
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  Prime Day back-to-classshopping Source: NRF and Prosper Insights & Analytics 59% 49% 62% 66% 2019 2020 2021 2022 2023 *N/A Prime Day was pushed back due to pandemic Percent who are planning to use Amazon’s Prime Day to shop for back-to-school/back-to-college items • 66% plan to shop Prime Day exclusively for deals • 31% plan to shop other online deals during Prime Day • 22% plan to shop in-store deals at other retailers on Prime Day
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  Higher prices andback-to-class shopping Source: NRF and Prosper Insights & Analytics 67% have seen higher prices on back-to- class items 23% 58% 59% 67% 77% Furniture Electronics Shoes School supplies Clothing & accessories Where back-to-class shoppers have noticed higher prices
• 10.
  How the stateof the economy is impacting back-to-school purchases 28% 30% 24% 20% 20% 18% 13% 43% 42% 35% 31% 24% 24% 24% 45% 45% 39% 34% 27% 25% 21% More comparative shopping online Shopping more sales Buying more store brand/generic products More comparative shopping with ad circulars/newspapers Using coupons more Spending less overall Making do with last year's items 2019 2022 2023 Source: NRF and Prosper Insights & Analytics
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  How the stateof the economy is impacting back-to-college purchases 28% 27% 19% 20% 18% 18% 17% 15% 37% 37% 32% 31% 26% 23% 22% 21% 37% 38% 33% 27% 24% 22% 28% 22% Shopping more sales More comparative shopping online Buying more store brand/generic products More comparative shopping with ad circulars/newspapers Spending less overall Using coupons more Shopping more online Making do with last year's items 2019 2022 2023 Source: NRF and Prosper Insights & Analytics
• 12.
  Discount store shopperssince 2008 Source: NRF and Prosper Insights & Analytics 73% 75% 71% 68% 67% 67% 64% 62% 60% 54% 52% 50% 36% 44% 40% 45% 52% 53% 54% 54% 52% 48% 51% 48% 44% 40% 35% 36% 30% 30% 29% 33% 0% 10% 20% 30% 40% 50% 60% 70% 80% 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 Back-to-School Back-to-College
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  Thank You Stay informed:To keep up to date on the latest back-to-class insights and trends, visit nrf.com/backtoschool.
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  Appendix
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  Top back-to-school andcollege categories by popularity Source: NRF and Prosper Insights & Analytics 90% 92% 54% 90% 93% 63% 91% 92% 65% 91% 93% 65% 94% 95% 69% Shoes Clothing & accessories Electronics 2023 2022 2021 2020 2019 78% 51% 53% 77% 51% 60% 82% 55% 63% 81% 57% 63% 86% 61% 68% Clothing & accessories Dorm & apartment furnishings Electronics 2023 2022 2021 2020 2019 Back-to-School Back-to-College
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  How shoppers arecovering the cost of back-to-school and college this year Source: NRF and Prosper Insights & Analytics 13% 13% 19% 22% 39% Borrowing money or going into debt Taking out additional credit cards Using buy now, pay later Working overtime or taking on additional hours Cutting back in other areas 40% 38% <$50K $50K+ Percent who are cutting back in other areas by income