August Looks Promising For Mass Retail Sales.

This August looks promising for mass retail sales for several reasons. Most of those shopping for back-to-school items will finish almost all their shopping by the end of August, according to a survey by the International Mass Retail Association. The tax rebates are making their way to taxpayers, giving them some extra dollars to spend wisely while they assess their need to save and pay off debt. And, retail analysts are talking publicly about consumers’ growing interest in finding the best buys at mass retail stores.

About 42 percent of consumers are shopping for back-to-school items, according to IMRA’s survey of 1,000 consumers July 21-23. While nearly one-quarter (24%) expect to complete most of their purchases by July 31, the majority (67%) plan to wrap up their back-to-school shopping in August. Another 10% will look for back-to-school clothing and supplies in the first half of September.

“This economy has been tough, but in August mass retailers can expect a jump in sales from the back-to-school purchases and shoppers spending some tax rebate dollars,” said IMRA President Robert J. Verdisco. “We think that consumers will take a good look at their finances and perhaps save a little and also pay off some debt. Then as they look at how to stretch their budgets when they buy school clothing and supplies, they will realize that mass retailers offer them the best buys.”

Retail Trends, Bank of Tokyo-Mitsubishi’s summary of retail industry chain-store sales, noted that in June, “the consumer continued to shift toward more value retailers, such as discounters and wholesale clubs.” Other retail analysts have indicated that while consumers may buy only what they really need, they are aggressively seeking good values — the mass retailers’ hallmark.

“Shoppers who never ventured into a discount oriented store are stopping in now to check out the value, quality and selection. Our bet is that they will come, see, buy and return for more,” Mr. Verdisco said. “That’s why we are optimistic that the mass retail industry will traverse this tough economic period fairly well.”

Back-to-school shopping is an annual ritual for many households. Here are a few fun facts:

Parents spend an estimated $424 on back-to-school purchases, according to a 2000 American Express survey. Teenagers contribute an additional $124. Over 1999, this represented 20 percent and 11 percent increases, respectively.

The majority of parents (93%) purchase clothing for their children’s school days. Parents also purchase school supplies (89%) and sneakers (85%). Most teens buy casual clothing (86%). Of that, jeans are the top purchase (43%), followed by shirts (40%) and sneakers (23%), according to the American Express Retail Index.

When making fashion choices, most teens (61%) say their personal style is the determining factor. Other factors include MTV (10%), sports figures (9%) and celebrities (7%). (Source: American Express Retail Index)

For more information at http://www.imra.org.