Consumers do their homework for back-to-school shopping

Josephine Battaglia, 13, began scoping out her back-to-school wish list online, selecting outfits and accessories on the website of one of her go-to retailers, Justice. Her mom, of course, helped her whittle her picks down to a more realistic list. And then they got their cue: a phone call from Justice about its storewide sale.

"We are budgeting because we have a lot coming up," said Josephine's mother, Melanie Battaglia, 47, of Westbury, as she and her daughter carried several bags from the Justice store in the Roosevelt Field mall last week. "Tuition payments, sports and all these activities."

The Battaglias are like other shoppers on Long Island this back-to-school season. Consumers are doing their homework before buying, budgeting and then heading out to the sales, retail experts said. They may be adding to their roster of stores, including retailers with higher price points, but they are still trading down, experts said.

For many retailers, the back-to-school season is often the second most important retail season - behind the Christmas-Hanukkah holiday period - and can represent 19 to 25 percent of annual sales, retail experts say. And while this year's back-to-school season is expected to be better for them than 2009 - when the economy was rougher - retail experts say shoppers are still holding onto recession-inspired habits and being careful and calculated about their purchases.

"Last year was trading down and trading off, meaning, 'I am going to shop at the cheapest place and do without,' " said Marshal Cohen, chief industry analyst for the NPD Group, a Port Washington market research firm. "This year they are doing a little of both - trading down, but not necessarily doing without."

Projections and consumer survey results have been mixed for this back-to-school season. In NPD Group's annual survey, conducted between June 30 and July 7, 38 percent of consumers said they plan to spend less this year, compared to last year's 44 percent. The National Retail Federation's survey found that the average American family will spend $606.40 on clothes, shoes, supplies and electronics, compared to $548.72 last year. The International Council of Shopping Centers is projecting a back-to-school-season sales increase of 5.4 percent.

But America's Research group, a consumer research and marketing firm, lowered its projection of a 5 percent to 7 percent increase to 1 percent to 3 percent for the season. Its own survey revealed 24.2 percent of parents are planning to spend less than they did in 2009, and more parents said they will be taking control of their children's spending.

"We are still far from being over the hump," said Al Ferrara, director of retail for consulting firm BDO USA. "We can sit back with confidence and say that the worst is behind us, but that doesn't necessarily mean that there is greatness ahead of us."

In a tough economy, every special retail season counts, and merchants are doing everything they can to draw shoppers into stores. Though retailers have been careful to avoid overstocking, which leads to markdowns, they are offering a constant stream of deals, everything from 50 percent off to "buy one, get one half off."

"I think last year they [retailers] were tentative," said Ashley DoEpp, director of marketing for Westfield's South Shore Mall in Bay Shore. "They were still hoping to sell full-priced, then saw how great sales worked to bring traffic in the stores. So this year they've embraced sales."

For electronic items like scientific calculators and laptops, shoppers seem to be more savvy about their high-tech gear, and some were ready to seize upon promotions for school items even at the start of summer, said Michael Lopez, a Best Buy customer solutions manager in Commack. Best Buy also has seen a lot of customers taking advantage of the store's financing options, which are interest-free for a limited time, he said.

"A lot of associates were finding more customers were looking for back-to-school [items] at the start of summer," he said. "Consumers are doing a bit more homework and are a bit more knowledgeable and are not afraid to make a decision now."

Malls are also pitching in to boost shopper traffic and advertise their tenants' promotions. Westfield's South Shore and Sunrise malls continue the "fabfinds" program Westfield began in April 2009, highlighting the week's best deals. Lord & Taylor's in South Shore hosted a back-to-school fashion show Saturday, and Sunrise, in Massapequa, is offering art lessons for children and entertainment from USA jump rope champions.

Roosevelt Field hosted an event called "Project Style," offering teens fashion advice as well as mini-makeovers from style professionals the weekend of Aug. 14-15. "This is the first year we've done it, and it's geared toward back-to-school teens and tweens," said Kathleen Herrmann, area director of mall marketing at Roosevelt Field and the Mall at The Source in Westbury. "Putting the focus on actual back-to-school shopping is what we are doing this year."