Marketing Secrets to Help Brands Reach Young Consumers

This year’s Back-to-School season opens up new and exciting challenges for Marketers. As forecasts show that consumers will tend to spend more economically than last year, a deep understanding of the psychology and needs of the young generation becomes the golden key to conquering the market. Let’s explore with MarkKnow the outstanding trends and sophisticated strategies that help brands shine and attract consumers this Back-to-School season!

Research from Wavemaker shows that during Back-to-School season, parents often consider more brands when shopping for school supplies for their children.

This year’s Back-to-School season marks a significant shift, requiring Marketers to face tough challenges in the context of increasingly cautious consumers in spending. Therefore, building a deep connection with the younger generation becomes the golden key, deciding the success or failure of the Brand.

“We found that Gen Z and Gen Alpha have a strong influence right from the beginning of their shopping journey, making parents twice as likely to consider a brand.” Krithika Rosenthal, GroupM’s Group Strategy Director for Wavemaker US, shares: “This is why we need to not only appeal to parents, but also be clever in how we connect with their children.”

Deloitte Back-to-School 2024 Survey

According to Deloitte’s annual study, 61% of parents admit that their children have a big influence on their family’s spending during the Back-to-School season. To capture parents’ attention, marketers need to tap into consumer needs in a subtle way. Although forecasts show that Total spending will fall from $31.9 billion in 2023 to $31.3 billion this decline not too big, But Financial concerns remain especially for low- and middle-income families, which are expected to spend 4% and 9% less, respectively.

Lupine Skelly, retail research leader at Deloitte, said: “Low- and middle-income households are feeling the financial strain of rising living costs. These families are forced to spend more on food and childcare, leading them to adjust their budgets by cutting back on spending in other areas as the Back-to-School season approaches.”

This year’s Back-to-School season is not only a challenge in connecting with the younger generation, but also requires a deft balancing of value and emotion in Advertising messages, as well as leveraging multiple shopping channels. Despite the challenges, this time also opens up a valuable opportunity to develop brand loyalty and engagement.

Back-to-School Marketing Trends

“New normal”

This year, parents are expected to spend about $586 per child during the Back-to-School season, down slightly from 2023 spending levels. While spending on clothing and school supplies is expected to remain steady, spending on technology could drop as much as 11%, reflecting current trends.

With savings becoming a top priority, value will be key for marketers to succeed in a season where careful and thoughtful spending is the norm. Consumers are now looking for great deals and promotions before making a purchase decision.

Lupine Skelly commented: “I think the ‘new normal’ is a good term to describe these major shopping events. Retailers have been teaching consumers to look for discounts and promotions, and now consumers are more likely to stock up and wait for Sales before making a purchase.”

During the annual back-to-school season, 59% of consumers have started “hunting” for deals at stationery or bookstores, because they believe that attractive deals often appear at the beginning of the season. About two-thirds of parents’ budgets are expected to be spent by the end of July, a significant increase from 59% in 2023 and up 14 percentage points from two years ago. Big sales events like Amazon Prime Day are becoming increasingly popular, with 48% of consumers participating in the event last month to shop for back-to-school, up nearly 10% from last year.

Amazon has reinforced its focus on value not only with a record-breaking Prime Day, but also by launching a new Back-to-School campaign, which includes a 30-second spot starring actress Michelle Buteau, who encourages parents to “save for your child’s small expenses” via Amazon’s Back-to-School shopping guide. The humorous message follows the Creative style of Amazon’s previous Back-to-School campaigns, which have featured celebrities like Randall Park and Kathryn Hahn.

Touch the Emotions

This year’s back-to-school season saw a dramatic shift in marketing strategies, with a deeper focus on emotion and authentic connections. Instacart kicked off its Back-to-School campaign with two heartwarming ads, “Bunny Ears” and “Pink Razor,” that emphasized the value of moments with kids amid the busyness of back-to-school.

“Combining values ​​and emotions is key to building deep connections, especially with multicultural groups,” says Wavemaker’s Rosenthal. Watching ads together among young people and their parents is increasingly common, highlighting the need to reach Gen Z and younger generations through a multicultural lens.

Rosenthal also emphasized that Gen Alpha’s diversity makes it important to tailor strategies to fit different cultures. “Kids have a big influence on parents’ purchasing decisions,” she said. For example, Hispanic parents favor nostalgia, while Asian parents are drawn to prestige.

Urban Outfitters and American Eagle have also launched creative campaigns like “Shift Happens” and “Live Your Life” that reflect the changes and encourage self-confidence. “Parent support is always the biggest motivator, and we’re very optimistic about Back-to-School,” said Craig Brommers, CMO of American Eagle.

Find the Salient Aspect

Advertiser behavior may reflect shifts in consumer behavior this season, according to Stanlei Bellan, chief strategy officer at Juice Media. He predicts that overall spending will likely remain steady or decline slightly compared to last year. Still, two major upcoming events — the Olympics and the November election — could spur strong activity as marketers work to navigate cultural influences.

“This is the ideal time for Marketers to make strategic moves before the end-of-year chaos hits the market,” Bellan’s take on back-to-school season this year.

Devon Schorr, chief strategy officer at Agency Movers+Shakers, also said the election could increase economic concerns and lead to more cautious spending.Marketers should focus on providing value and discounts instead of just following trends, which could bring more success this season,” Schorr explained.

Despite the challenges, the back-to-school season presents a bright opportunity. According to Deloitte, 67% of parents say they are willing to switch brands if their favorites become too expensive. This opens up opportunities for marketers to build effective loyalty programs, provided they offer real value. Other studies have shown that loyal back-to-school shoppers tend to spend up to 35% more.

Customer Outreach

In addition to developing advertising messages, marketers need to pay attention to reaching customers at key touchpoints. According to Deloitte research, consumers are looking for the best deals across multiple channels this back-to-school season, with 70% of them being omnichannel shoppers. Wavemaker’s Rosenthal says that investment in retail media will increase, reflecting the growth of the channel.

“Marketers should leverage retailers as tools to enhance the effectiveness of other communication channels,” Rosenthal shared.

Today, consumers are changing the way they shop in a significant way. About 33% of consumers now use Social Media to research and make purchases, up significantly from 21% last year. In particular, 12% plan to use social media to buy Back-to-School products, up from 6% last year. Meanwhile, large retailers and online retail platforms remain popular at 77% and 65%, respectively, thanks to their convenience and reasonable prices. At the same time, 70% of consumers expect to combine in-store and online shopping, up 4% from last year, indicating a shift in their shopping habits.

Skelly notes that back-to-school season is an opportunity for retailers to enhance the in-store experience. Pacsun’s “Better in Baggy” campaign, in collaboration with Pinterest, demonstrates the importance of the in-person shopping experience. While evolving messaging and channels is essential, flexibility and creativity in strategy are key to success.