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rewrite this title Why Discount Stores Are Winning the 2025 Back-to-School Season

Editorial Team by Editorial Team
August 5, 2025
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rewrite this title Why Discount Stores Are Winning the 2025 Back-to-School Season
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According to the National Retail Federation, the back-to-school shopping season kicked off earlier than ever in 2025, with two-thirds (67%) of families starting their purchases as of early July—a record since 2018. This increase is closely tied to concerns over tariffs and inflation, which have motivated half (51%) of shoppers to get a jump on the season, hoping to sidestep potential price hikes.

One of the defining trends this year is the rise of discount stores as a go-to destination for back-to-school shoppers. While online shopping remains dominant, especially for college students (48%), nearly half (47%) of K-12 families are turning to discount retailers for deals.

The Rise of Discount

Recent NRF data shows that discount stores have climbed in popularity for back-to-school shopping. While online channels remain the top choice for K-12 shoppers (55%), department stores follow at 48%, and discount stores are not far behind at 47%. Amongst college shoppers, discount stores saw a notable increase of 5 percentage points over last year. For many families, especially those seeking better deals, discount stores represent real savings and offer relief during a time of economic uncertainty.

How Shoppers Are Navigating Price Pressures

Because back-to-school shopping is considered a big spending event, consumers are changing their shopping behavior to spread out expenses. And it’s not just value-conscious families either, consumers across all income levels are shifting their shopping habits to maximize value:

67% of families had begun shopping in early July compared to only 55% last year- mostly due to the anticipation of higher tariffs.
Shoppers are trading down from branded to store-brand and private-label items.
Many are spreading out purchases, waiting for the best deals (47%), or sticking to essentials to control spending.

For college shoppers, the move toward discount stores is even more significant. This shift is especially notable among higher-income households, marking a broader consumer pivot from traditional department stores to retailers emphasizing value and affordability.

“Consumers are being mindful of the potential impacts of tariffs and inflation on back-to-school items, and have turned to early shopping, discount stores, and summer sales for savings on school essentials,” said Katherine Cullen, NRF Vice President of Industry and Consumer Insights.

Key Back-to-School Spending Figures

K-12 families average spend: $858.07 (down from $874.68 in 2024) on clothing, shoes, supplies, and electronics.
College families average spend: $1,325.85 (down from $1,364.75 in 2024)—yet total spending is up thanks to broader participation.
The most common categories for savings: electronics, clothing/accessories, and school supplies, with deep promotional events and summer sales driving purchases.

As budget-conscious families look to set students up for success, the discount store has solidified its place at the heart of the back-to-school season. While today’s shoppers are all about stretching their dollars without compromising on essentials, retailers and brands can still benefit too.

Unlocking Value in the Secondary Market

As the back-to-school shopping surge brings an influx of returns, exchanges, and overstock, brands and retailers face the daunting task of quickly and efficiently managing this aftermath. Mishandled, these excess goods can disrupt normal operations, tie up valuable warehouse space, and diminish margins.

While retailers and manufacturers must anticipate, strategize, and manage to minimize disruptions to normal operations, many retailers and brands have begun to leverage B2B recommerce platforms to move out returned and excess merchandise across every back-to-school category into the secondary market. The benefits of this approach are threefold:

The original brand or retailer can recover some of the value locked away in its unsold goods
Small business owners keep their shelves stocked with high-quality, brand-name goods
Budget-conscious consumers can purchase these goods at reasonable prices

B-Stock enables brands and retailers to maximize recovery and maintain operational efficiency, while supporting the broader community through affordable supply. The secondary market is no longer just an afterthought—it’s a critical, strategic lever for modern retail success.

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