Back-to-school spending among U.S. households with school-age children is expected to decline about 6% this year on an inflation-adjusted basis, as consumer sentiment weakens amid rising economic uncertainty, according to a Deloitte survey released on Thursday.

Key Findings

Total spending is projected at $30.4 billion, or $557 per K-12 student on average, down from $570 per student last year, the consulting firm said. The survey found that 57% of consumers expect the economy to worsen over the next six months, the highest share since 2020.

Families are expected to prioritize necessities such as clothing while cutting back on technology purchases, Deloitte said. About half of households surveyed plan to reduce spending on dining out and entertainment to make room in their budgets for school-related purchases.

Deloitte also found that families are delaying back-to-school purchases until closer to the start of the school year, a trend that contrasts with other forecasts suggesting shoppers are starting earlier this summer.

Still, value-seeking does not necessarily translate into lower spending, according to the survey. About a third of K-12 parents qualify as “hyper value-seekers,” yet that group is expected to spend 14% more than other shoppers, Deloitte said.

“We see parents approach back-to-school shopping with intent. They tend to be more thoughtful about their spending and value-seeking strategies to help maximize their wallets,” said Brian McCarthy, principal of retail strategy at Deloitte Consulting.

Original reporting: Appleton, WI News Feed (HLL/CB) — read the source article.