Home Nike shoes Back-to-school shoe sales bolstered by children’s tax credit, boosting wages

Back-to-school shoe sales bolstered by children’s tax credit, boosting wages

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Back to school is in full swing. And oneAs children and young adults return to the classroom, certain trends are starting to emerge in shoe sales figures.

The back-to-school shopping season so far has been impacted by a variety of factors, including a temporary return to school in person as well as child tax credit checks, which have been rolled out to 39 million American homes in July.

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According to a report by The NPD Group Inc., athletic shoe sales increased 20% in the first six weeks of back-to-school (ending August 14) compared to 2020. And sales increased to a figure compared to 2019.

Sales of children’s shoes increased by 40% during this period, while women’s athletic shoes increased by almost 30% from 2020. Running and walking shoes also continued to grow and sports sneakers increased in the mid-teens compared to 2020.

In terms of brands, Nike and Adidas both recorded gains, although Nike divested shares to other brands compared to 2020. Sales in Jordan fell and Converse sales nearly doubled, driven by sales. women. Under Armor, Brooks, Asics, Puma, Reebok and On have all seen improvement.

According to a national survey of America’s shoe distributors and retailers that surveyed 1,000 parents of school-aged children earlier this summer, 57% of families said they plan to shop at local chains such as DSW, Famous Footwear, Shoe Carnival and Shoe. Spectacle. About 31% said they plan to shop at big box retailers like Target and Walmart.

Matt Powell, senior sports industry advisor at NPD, noted in the company’s latest report that two factors propelled back-to-school spending. “In my opinion, there is no doubt that the child tax credit checks and significant wage growth have contributed to strong sales,” he wrote.

In June, shoe retailers welcomed the announcement of the Child Tax Credit as a potential boost to the industry. Created by the Biden administration, this form of stimulus provides American families with advance payments each month for six months that total half of their expected tax credit for 2022.

“Every time that money is paid out to consumers in the form of tax credits, annual tax refunds and additional types of government stimulus, we see an increase in consumer spending on footwear,” said Matt Priest, President and CEO of the FDRA. says FN in June. “We already expect the 2021 start to school year to be the largest in our industry’s history for a variety of reasons, including the expected full return to in-person learning for most school districts in the United States and record levels of disposables. disposable income for American families.

Higher wages probably also led to strong sales. Amid a general labor shortage, many companies, including Lululemon, Walmart and Under Armor, have increased wages for hourly workers in recent months.

According to Powell, the sThe second half of the start of the school year is likely to show more positive results, but will not be as strong as the first half. “The good results in September of last year will temper growth,” he wrote.

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