Report: Brand Loyalty Takes a Backseat to Value This Back-to-School Season
Back-to-school shoppers plan to spend more this year, but they are hunting harder for deals and incentives and willing to switch brands or retailers, according to a new consumer study from Snipp.
Snipp surveyed 1,000 parents and students in June to look at how rising costs across everyday household expenses — such as groceries, transportation, housing and fuel — are influencing back-to-school (BTS) spending decisions.
While about three-quarters reported they expect their BTS spending to increase compared to last year, more than half (52.6%) said they are either extremely or very concerned about the cost of BTS shopping.
Inflation Drives Budget Concerns
Inflation and rising prices was cited by three-quarters of shoppers as the biggest impact on their BTS budgets, followed by grocery costs (58% of survey takers) and fuel and transportation costs (54.1%).
These economic pressures are impacting how consumers approach BTS shopping this season.
To manage their BTS costs:
- 41.8% of respondents said they are shopping at discount retailers;
- 40.1% said they are buying lower-cost brands;
- 38.8% are comparing prices more carefully;
- 38.3% are shopping earlier than usual;
- 32.7% are waiting for promotions or sales; and
- 26.6% are reusing items from previous years.
Consumers Pivot to Deal-Seeking Behaviors
Shoppers are working harder to find savings this season. Seventy-four percent of those surveyed shared they are putting more effort into finding deals, discounts, cashback offers, promotions, and rewards than they did last year.
When asked which BTS shopping behavior best describes them, only 11% said they prioritize trusted brands or higher-quality products over price.
By contrast, the remaining 89% prioritize price-saving behaviors such as looking for promotions/cashback/rewards (29.4%), switching brands or retailers for better prices (29%), selecting the lowest-priced option (21.5%), or trying to balance value and quality equally (9.1%).
More than 70% of respondents shared back-to-school shopping this year is more about finding value than remaining loyal to specific brands or retailers.
It will come as no surprise then that 80% shared they would be likely to switch from their preferred brand if a competitor offered a meaningful discount, cashback offer, or rebate.
