Back-to-school spending up in Atlanta

Nationally, back-to-school spending is expected to be essentially flat this year. But in Atlanta, NPD Group chief retail analyst Marshal Cohen said, spending is looking better than in other parts of the country.

"Atlanta is leading the charge in back-to-school spending," he said. "Back to school's going to continue all the way into September, even in the Southeast."

But that extra spending -- Cohen estimated there will be a 4 percent increase in the region this year, compared with 3 percent in the rest of the country -- doesn't always translate into extra buying.

The price of clothes has increased, he said, leading to extra expenditures there. And shoppers are redefining value, looking for higher-quality shoes or backpacks that they may not have to replace as soon. So even when they spend more, they may be buying less.

"It's more of an investment mindset," he said. "It helps the mid-level retailers, the mid-level brands."

At Sandy Springs-based Newell Rubbermaid, spokesman David Doolittle said the company expects to see shoppers buy premium products on brands like Sharpie. Last year, he said, customers spent more on the company's products despite a decrease in consumer spending.

Back-to-school shopping is huge for retailers -- the second-highest spending occasion after the holiday season. This year, the National Retail Federation expects combined secondary and college spending to reach $68.8 billion.

Back-to-school outlays will be on par with last year's numbers, the NRF said, predicting spending on apparel, supplies and electronics will be $603.63 per person, down slightly from last year's average of $606.40.

The number of people spending on electronics is down, the NRF said, and average spending on clothes and school supplies is expected to decrease. College spending is expected to fall to $808.71, from $835.73 last year.

Stephanie Kratofil, who has daughters in high school and college, said she has shopped at Goodwill for plates and other things for her older daughter, and has stocked up on back-to-school clothes throughout the summer, as she saw things on sale.

In the past, the Suwanee woman did the brunt of her back-to-school shopping on Georgia's former tax-free weekend, but even without it she's looking for ways to save.

"I hate to spend full price when I don't have to," she said. "When they were little kids, we would go to Walmart and load up. Now, they just need the necessities."

When she shops, Kratofil said, she asks whether her children really need the item and how long it will last.

Clark, who also has a daughter in college and a son entering high school, said she will look online for an item before driving to a store, and will search for coupons online before making a purchase.

Clark said she has already seen an increase in expenses for her college-age daughter as a result of changes to the HOPE scholarship that eliminated money for books and fees and reduced the tuition award for all but the most accomplished students. That meant the family cut back on spending in other ways.

At the same time, she said, the fees for her son at Lanier High School in Gwinnett have surpassed $200, including a yearbook, an athletic pass and incremental fees for everything from language arts to locker maintenance.

"It's kind of like a game to see how much we can save," Clark said of how she now approaches shopping, considering the added expenses.

For younger grades, the supply lists continue to expand. The list for Gwinnett's Berkmar Middle School notes that pens, paper, hand sanitizer and tissues may need to be purchased again in January. In addition to requests for notebooks, glue sticks, dry-erase markers and index cards for seventh-graders at the school, the to-buy list includes classroom donations like a dry eraser, a package of multi-color construction paper and boxes of pencils.

Winston Taylor, a father of three whose children are in Atlanta Public Schools, said he does not put a limit on how much he will spend on classroom supplies, even as the required list has grown. Clothes, though, are another matter.

Taylor's children -- ages 9, 10 and 14 -- have $100 to spend on their wardrobes, the same as last year.

"My kids know we're going to shop, but we're not going to go overboard," he said. "We have a budget and we're going to stick with the budget."

He is shopping at outlets so the money will go further and trying to buy better-quality things like backpacks, so he won't have to shop again part-way through the year.

Cohen, with the NPD Group, said even with high gas prices shoppers are more willing to spend the money to drive to outlets, where they have the opportunity to save money.

At Mall of Georgia, marketing and business development director Carol Cox said traffic seems to be up and shoppers are carrying more bags from more stores than they had in the past. While she did not know how much people were spending at the stores, Cox said all of the retailers are offering promotions, and shoppers are looking for good values.

Even as school begins in the metro area, Cohen said he expects the shopping season to continue well into the fall when the weather cools and fall clothes are more of a necessity. Then, he said, Atlanta shoppers could benefit from sales at national chains as they lower prices to hook customers in regions where school starts later.

In the meantime, he said, the back-to-school season is a good predictor of what shopping habits may be like later in the year.

"The Southeast is a really good indicator," Cohen said. "If there's a good back-to-school season, it will tell me that we're going to have a good holiday season coming out of there as well."