Subscribe

Social Media Links

News

Ankura Releases “The Ankura Back-to-School Shopping Report 2024”

July 18, 2024

Survey of Over 1,000 U.S. Consumers Highlights Economic Concerns and Cautious Shoppers This Upcoming Back-to-School Season

Ankura is pleased to announce the publication of its annual 2024 Back-to-School Shopping Sentiment Survey. Conducted by the firm’s Performance Improvement team, the survey canvassed more than 1,000 U.S. consumers who are planning their back-to-school shopping, delivering critical insights into consumer sentiment amidst ongoing economic uncertainty.

The team’s comprehensive research explores the complex interplay of consumer sentiment regarding the economy, personal financial circumstances, and the impact on back-to-school shopping behaviors. Key findings from the survey indicate:

  • A notable apprehension regarding inflation and its effects on purchasing power is evident. Nearly 75% of shoppers say that credit card debt and personal financial obligations will impact their budgeting decisions this back-to-school (BTS) shopping season.
  • There is a significant shift towards value-driven shopping, with cost being paramount for shoppers across all categories. Price sensitivity is greatly influencing shopper’s desires, who indicate an overwhelming preference for big box retailers like Walmart, and Target, as well as Amazon, due to their competitive pricing.
  • Driven by a desire for convenience and cost-savings, more shoppers are turning to online shopping channels. The competitive advantages of online shopping include clear visibility into inventory being “in stock” or “available to ship,” free shipping options, and the ease of returning unwanted items.
  • Divergent outlooks on personal financial situations will influence spending intentions this BTS season. Thirty-seven percent of respondents feel optimistic about their own economic situation. Conversely, only 29% of those who feel their personal financial situation is about the same as last year, and just 21% of those who feel it is worse, expect improvement in the next year.
  • The current consumer sentiment and financial expectations underscore the need for retailers to nurture loyalty among existing customers to bolster sales. Consumers currently sitting on the sidelines are not expected to convert to spenders anytime soon and with no immediate signs of a positive shift in consumer spending behavior, retailers should continue supporting their most loyal customers to sustain sales.

Furthermore, the survey sheds light on the evolving retail landscape, noting the critical role of efficient and direct marketing communications over social media in influencing consumer decisions. This insight suggests a pivotal shift in how retailers should engage with their audience, prioritizing personalized and timely outreach to effectively reach shoppers.

Chris Ventry, Managing Director in Ankura’s Performance Improvement practice, stresses the importance of the findings from the survey for retail strategy. “The insights from our study highlight the need for retailers to adapt to a bifurcated consumer environment. The 42% of respondents who are experiencing heightened year-over-year financial pain will not convert without competitive pricing, free shipping, and targeted promotional strategies.”

“The 2024 back-to-school shopping season presents a multifaceted picture of economic resilience, consumer fatigue, and customer adaptation, with retailers needing to prioritize competitive pricing and omnichannel engagement to resonate with today’s inflation-burdened shoppers,” said Keith Jelinek, Senior Managing Director in Ankura’s Performance Improvement practice. “Price sensitivity dominates shoppers’ decisions across all categories, with Amazon (including Amazon Prime Day 2024) and big box retailers such as Walmart and Target emerging as top destinations for budget-conscious consumers.”

The full report, detailing the survey’s comprehensive findings, strategies for retail success, and insights into consumer and retail trends for the 2024 back-to-school season is available now. Retailers and stakeholders are encouraged to delve into the findings to better understand the shifting dynamics of consumer behavior and to strategize accordingly for the upcoming season.

Let’s Connect

We solve problems by operating as one firm to deliver for our clients. Where others advise, we solve. Where others consult, we partner.

I’m interested in
I need help with