29 Sep 2020
School’s in for autumn!
The back to school market was worth £1.7bn last year, according to GlobalData and it is a very lucrative time for brands that target children and parents in education. However, like with everything else in 2020, the lead up to this Back to School period has been extraordinary. We have witnessed a time of unprecedented turmoil for young people, from algorithms determining grades to having classrooms swapped for living rooms as the new seat of learning. With schools returning in September, anxious and tired parents will be preparing for every eventuality in ensuring their children don’t fall behind.
There has been a lot of hasty pivoting for brands depending on whether or not kids are physically back to school or not. Retailers and brands should take notice of a series of key trends impacting the market, ensuring they maximise the opportunity and connect with parents at this crucial time.
With a lengthy lockdown and parents becoming teachers overnight there has been a huge rush to buy electronic equipment for home schooling. With the potential of a second wave, parents may have to don the metaphorical mortarboard hats again. However it is laptops not whiteboards that have been their key props. Consumer Electronics has in fact been one of the few winners from the pandemic. Consistent growth is forecast due to the new demand for laptops for working & for schooling from home. Notebooks have been at the centre of a demand surge in particular. 73% of retailers have reported growth in sales for these products.
Pent up demand as parents return to retail
The economy grew by 8.7% in June on the back of the return to retail and steeper growth is forecast for July. With schools off since March, there is a lot of pent up demand with parents needing to get their children ready for the new school term. Clothing should still be a driver at the historical peaks of July and August, however stationary and tech products have been in demand during lockdown as both children and adults have been at home, with discounts readily available to take advantage of. The latest GDP figures showed Ireland, which is slightly ahead of the UK’s “return to normal” steps has shown positive precedent of customers returning to retail to buy their laptop and seek expert advice to do so. For many starting university or college it will be a virtual first term where lectures and study will not happen on campus but remotely, which could have a further effect on the tech market. Students will need the right equipment for working remotely and there is a huge opportunity to meet this need.
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