• Feature

    1. NoImage
      Photo:

      Fast Findings: Back to School Shopping

      Alliance Data Retail Services dug a little deeper to uncover consumer sentiments around back to school shopping. View a larger version of the infographic by clicking 'download' in the Related Documents section, below.

  • Media

    1. NoImage
      Photo:

      Infographic: Back to School Shopping

  • Related Documents

    1. Click 'download' to view the complete Back to School Fast Findings infographic

      Click 'download' to view the complete version of the Wedding Gifts Fast Findings infographic

  • Aug 01, 2012 03:30 AM CST

    Alliance Data's Retail Services Business Shares Back-to-School Shopping Study Results

  • COLUMBUS, OH - July 26, 2012 - Alliance Data's Retail Services business, which delivers sales-driving private label and co-branded credit programs for some of today's most recognizable brands, recently released the results of its 2012 Back to School Shopping study. Among other results, 'Fast Findings' from the study include the fact that, despite ongoing economic concerns, three-quarters of parents will opt to spend more on fewer items of high-quality clothing to ensure their kids look nice—as opposed to spending the same amount or less on lower-quality clothing that might not make their children appear as presentable. The Retail Services back to school shopping survey is based on responses from 400 participants, 77% of which are female; 23% male, to reveal insights into how consumers shop for back to school goods.


    Other interesting findings showed that: 35% of shoppers plan to use a store-branded credit card to purchase back to school items; 63% of parents of elementary school-aged kids will take their children's opinions on style into account for back to school purchases; and 37% of shoppers plan to spend more in 2012 than in 2011 on back to school-related items. Backpacks, shoes, school supplies, and clothes topped this year's back to school shopping lists.


    "What really spoke to me, when we started digging into the findings of this study, is that parents—most likely moms—are willing to go without something new so their kids will look nice at school," said Erin Kennedy, senior market research analyst, market intelligence for Alliance Data Retail Services. "We know that spending on women's clothing and other items took a major hit in 2008 and since, but children's items have been somewhat insulated, primarily because Moms skimped on themselves in favor of buying for the kids. It's also interesting to see that 63% of parents are allowing their elementary school-age kids to weigh in on back to school purchases. Retailers need to know this, and be sure their marketing makes sense to children, as they certainly have a vote when it comes to back to school shopping."


    The concept of showrooming - where consumers shop in-store for a product and then check pricing and often purchase the same item online - is also slated to be an issue this back to school-shopping season, as 50% of shoppers plan to compare prices with a smart phone while shopping. "It's so important for retailers to be aware of how their prices stack up against competitors, especially those with an online presence, and within their own sales channels," Kennedy added. "The consumer is incredibly wise to the discounts and sales available for these items in multiple channels, so retailers need to find ways to ensure their pricing, and the quality of their merchandise, shines through all the noise in the marketplace."


    Finally, 35% of consumers plan to shop for back to school items with a private label credit card—a higher figure than is typical for Retail Services' findings in studies of this type. "Back to school clothes are a necessity, as most growing kids need a new wardrobe every year," said Kennedy. "So, it sounds like many shoppers have opened private label cards with brands they know they can rely on year after year. Back to school shopping, then, is a prime event for shoppers to use their store branded cards. The retailers that cater to this crowd definitely need to be aware of this, and make sure they're reminding shoppers that a credit-based, brand affinity-driving tool is available, and can not only help them save money and spread out their payments, but also provide them with valuable invitations, information, and other offers. The benefit to retailers is that it's a tool that will keep these shoppers coming back to the brand."


    To learn more about how consumers shop for back to school items per the recent Alliance Data survey, download the infographic at left or contact Alliance Data directly by visiting www.alliancedata.com.


  • Quotes

    On showrooming: "It's so important for retailers to be aware of how their prices stack up against competitors, especially those with an online presence, and within their own sales channels. The consumer is incredibly wise to the discounts and sales available in multiple channels, so retailers need to find ways to ensure their pricing, and the quality of their merchandise, shines through all the noise in the marketplace."

    - Erin Kennedy

    Senior Market Research Analyst

About Alliance Data Retail Services
Know More. Sell More.® is Alliance Data’s commitment to help its clients better understand their customers to drive sales. Leveraging deep-rooted retail expertise, card usage data, advanced analytics and market research, Alliance Data Retail Services creates turnkey, multichannel credit programs designed to increase sales, brand affinity, and customer engagement and loyalty for its clients. Alliance Data Retail Services clients include many of North America’s best-known retail brands.


Media Contacts

About Alliance Data
Alliance Data® and its combined businesses is North America's largest and most comprehensive provider of transaction-based, data-driven marketing and loyalty solutions serving large, consumer-based industries. The Company creates and deploys customized solutions, enhancing the critical customer marketing experience; the result is measurably changing consumer behavior while driving business growth and profitability for some of today's most recognizable brands. Alliance Data helps its clients create and increase customer loyalty through solutions that engage millions of customers each day across multiple touch points using traditional, digital, mobile and other emerging technologies.

Headquartered in Dallas, Alliance Data employs nearly 9,000 associates at more than 50 locations worldwide.

Alliance Data is a leading provider of marketing-driven credit solutions, and is the parent company of Epsilon®, a leading provider of multi-channel, data-driven technologies and marketing services, and LoyaltyOne®, which owns and operates the AIR MILES® Reward Program, Canada's premier coalition loyalty program. For more information about the company, visit our web site, www.AllianceData.com, or you can follow us on Twitter at www.Twitter.com/AllianceData.

Alliance Data's Safe Harbor Statement/Forward Looking Statements
This release may contain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Such statements may use words such as "anticipate," "believe," "estimate," "expect," "intend," "predict," "project" and similar expressions as they relate to us or our management. When we make forward-looking statements, we are basing them on our management's beliefs and assumptions, using information currently available to us. Although we believe that the expectations reflected in the forward-looking statements are reasonable, these forward-looking statements are subject to risks, uncertainties and assumptions, including those discussed in our filings with the Securities and Exchange Commission.

If one or more of these or other risks or uncertainties materialize, or if our underlying assumptions prove to be incorrect, actual results may vary materially from what we projected. Any forward-looking statements contained in this presentation reflect our current views with respect to future events and are subject to these and other risks, uncertainties and assumptions relating to our operations, results of operations, growth strategy and liquidity. We have no intention, and disclaim any obligation, to update or revise any forward-looking statements, whether as a result of new information, future results or otherwise.

"Safe Harbor" Statement under the Private Securities Litigation Reform Act of 1995: Statements in this presentation regarding Alliance Data Systems Corporation's business which are not historical facts are "forward-looking statements" that involve risks and uncertainties. For a discussion of such risks and uncertainties, which could cause actual results to differ from those contained in the forward-looking statements, see "Risk Factors" in the Company's Annual Report on Form 10-K for the most recently ended fiscal year. Risk factors may be updated in Item 1A in each of the Company's Quarterly Reports on Form 10-Q for each quarterly period subsequent to the Company's most recent Form 10-K.