Back-to-School Spending Holds Steady Despite Affordability Concerns
Event summary
- ICSC’s survey of 1,009 U.S. shoppers (July 6–8, 2026) found back-to-school spending expected to average $944 per household, up from last year.
- 57% of shoppers took advantage of June promotions like Amazon Prime Day and Walmart Deals.
- 91% of shoppers plan to visit physical stores, with 51% using buy online pick-up in store options.
- Higher prices are impacting spending decisions across all income levels, with 97% of lower-income households ($25K–$75K) affected.
The big picture
Back-to-school shopping remains resilient despite economic pressures, with consumers prioritizing value and in-store experiences. This trend underscores the ongoing importance of physical retail spaces while highlighting the need for retailers to offer competitive pricing and promotions. The survey results suggest that affordability concerns are influencing spending decisions across all income levels, signaling potential challenges for discretionary categories in the second half of 2026.
What we're watching
- Value-Driven Shifts
- How retailers will adapt to sustained value-seeking behavior among shoppers across income levels.
- Omnichannel Strategy
- Whether physical stores can maintain dominance in categories like apparel and school supplies amid digital competition.
- Economic Resilience
- The pace at which inflation and affordability concerns will shape broader retail spending trends beyond back-to-school season.