Back to school spending is expected to be flat at Cdn stores
Posted Aug 11, 2011 10:06:13 AM.
This article is more than 5 years old.
VANCOUVER (NEWS1130) – Back to school shopping is usually good news for Canadian retailers, but this year, spending is expected to be flat.
One of the main reasons has to do with higher gas and grocery bills. They could have many parents looking to recycle from the last school year.
Daniel Baer with Ernst & Young tells us shoppers’ disposable income is down, but the good news for the industry is children’s items are usually the last place for parents to cut since they’re viewed as necessities — not luxuries.
“[Also,] Canadian retailers fighting increased competition from new retailers entering the marketplace, but they’re also fighting against cross-border shopping,” says Baer.
He says value and price will be at the tops of shoppers’ minds as they look to fill the backpack this fall.