UK consumers are forecast to cut back on back-to-school spending as the cost-of-living crisis continues to take its toll, according to Deloitte.
Deloitte told Retail Week that the back-to-school market in the UK will be impacted for 2023, according to its latest consumer tracker report.
Shoppers are expected to seek discounted back-to-school uniforms and equipment to cut costs, as well as turning to secondhand and resale products increasingly.
Deloitte said shoppers are switching to cheaper products where they can and buying less by waiting for sales and promotions, which it said would be reflected during the back-to-school shopping period.
It added that most consumers who are spending on back-to-school products also need to pay for childcare during the school holidays, emphasising an additional cost that is often overlooked.
Deloitte consumer insights lead Dr Bryn Walton said: “Results from Deloitte’s Consumer Tracker for Q2 show the proportion of consumers adopting coping strategies to manage the rise in the cost of living has remained relatively consistent quarter on quarter.
“Many grocers have already started to invest in cutting their prices on everyday essential products like milk and butter, but further investment will be required from all consumer-facing businesses to help those most affected by rising prices.
“While retail spending in Q3 normally receives a boost from the back-to-school market, the additional cost of new school uniforms and equipment will add to the pressure on some households.
“As a result, we are likely to see a focus on helping families navigate this tricky period, with more targeted discounts, resale and pre-loved products coming to the fore.
“Our results show that around a third of consumers are looking to save money by switching to cheaper products and the same proportion are also consuming less by actively looking for promotions and sales. This will no doubt have an impact on the back-to-school market sales this year.”
No comments yet