Back-to-School 2017: eCommerce
It’s that time again – the second biggest shopping holiday of the year! From pre-K to higher education, over 70 million students and more than 3.5 million teachers will be going back to school (BTS). That’s roughly 23% of the US population! There are so many kinds of BTS products: office and organizational supplies, clothes, tech, personal care products, cleaning products, furniture and home décor, food items, and more. Even if you don’t sell these traditional BTS items, you can still capitalize on the theme and increased number of shoppers.
2016 Stats
– On average, back-to-school shoppers spent $673.57
– Only half of families from kindergarten through college had finished shopping by early August
– Nearly 25% of K-12 families hadn’t even started their BTS shopping yet
– 46% planned to shop online in 2016, up 30% from 2015
– Over half of shoppers planned to use click and collect
– The majority planned to start shopping 3-4 weeks before school starts
– 84% of parents reported that they wouldn’t buy online without free shipping
– Over 60% reported that they would browse online before buying in-store
– Over 50% planned to use their smartphone during BTS shopping
– 37% of shoppers reported that social media and blogs influenced their shopping the most
2017 Forecast
Average back-to-school spending has been steadily increasing over the years, so the average spend this year should be a little over $673. More customers will likely be shopping online this year, up to 56% if the trend from the last two years continues. The timing of the back-to-school shopping season has shifted in recent years. Many brands are waiting to start BTS campaigns until the second or third week of July and customers are still shopping well into August. This may be because there is not as much urgency in BTS shopping as there was years ago. Shoppers don’t feel like they need to buy everything on their list in one haul or in one day because they are waiting to get the best deal and can always order something online and have it within days.
Major eCommerce retailers have been battling over shipping prices for the last few months, which may have a significant impact on BTS online spending. Target currently offers free shipping on orders over $35 for those without a Target REDcard, while Wal-Mart now gives free two-day shipping on all orders over $35. Amazon has free shipping on order over $25 for non-Prime members and Staples has free shipping on order over $50. With so many shoppers unwilling to buy without free shipping, this could be a stumbling block for smaller retailers who can’t afford to offer it or have the purchase threshold set too high.
Social media isn’t going anywhere, especially for BTS shopping. Pinterest and YouTube will likely be among the most important platforms for shoppers to get ideas and identify products. There are more than 150 million Pinterest users and most of them are females under age 40, meaning that both parents and students may be using it to look for ideas and products they want. Students will also use YouTube to look for BTS clothes, shopping, makeup, DIY, lists, and supplies recommended by influencers.
BTS Marketing for eCommerce
There are 4 key demographics when it comes to BTS shopping: parents, teachers, K-12 students, and higher ed students. Marketing efforts should segment these groups to make sure they are getting the right message in the right place. Each group can also be broken down into smaller segments, such as: elementary, middle school, and high school students and their parents and grandparents, K-12 teachers and college professors, and traditional college students and non-traditional/adult students. Each of these segments can be targeted in Facebook Ads Manager, with a little bit of know-how.
Parents and Teachers
Parents and teachers are looking for the products that their students need and want at the best possible price. To help them in the buying process, create product guides and “best of” lists, promote sales and offer coupons via email and social media, and highlight your product reviews and videos. You can also create BTS landing pages, content sections, and sliders or banners on your site to promote your BTS deals and products. Another tactic is to run a giveaway contest to build brand awareness and social sharing.
K-12 Students
Students entering high school and college today are part of Generation Z. Although Gen Z shoppers enjoy shopping in-store, 77% use social media to find products. They are also more likely to ask friends for feedback on social media about products that they are thinking about buying and 83% trust online product reviews. For example, shoppers might take a picture on Snapchat while they are trying on an item of clothing and ask their friends how it looks. In such a case, merchants who have any brick-and-mortar locations, or even a pop-up store, could use a timed Snapchat geofilter that includes brand names, images, and any other pertinent information.
Even though Gen Z shoppers may prefer to shop in store, all hope is not lost for eCommerce. The majority of their Gen X and Millennial parents prefer to shop online, and when it comes to BTS shopping, parents are often the ones making the final purchase decisions. Plus, nearly 70% of Gen Z customers expressed interested in purchasing directly from social media.
College Students
According to the 2016 Deloitte survey, 82% of college students planned to research online before buying in-store, but planned to shop online for the majority of their school supplies. College students and their parents planned to spend between $1,082 and $1,345. Merchants can reach out to college students via email, social media, and special BTS deals and promotions. Retailers could create a product guide based on what is allowed at local or state universities or donate a percentage of revenue to some type of scholarship fund. When addressing non-traditional college students, remember that they are less likely to live in a dorm than traditional college students, and are more likely to be working part or full time.
Want to learn more about how ParadoxLabs can support your back-to-school strategy?
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