According to a new survey, youth spending hit its lowest level in two decades as teenagers spent less money on food, concerts and events during the year Coronavirus pandemicand worry that the economy will deteriorate.
According to Piper Jaffray’s 40th Semi-Annual Teen Inventory Report, teenagers spent approximately $ 2,150 this fall this year, a result of a survey of 9,800 consumers with an average age of just under 16 in 48 states with an average household income of $ 67,500 . The poll, published on Tuesday, was conducted between August 19 and September 22.
That’s a decrease of about 9% year over year, said Piper Jaffray. Reported annual teen spending peaked in early 2006 at about $ 3,023.
Apparel spending was around $ 507 per teen per year, down 11% from Fall 2019. Women spend an average of $ 160 more on clothing than men, according to the survey.
In particular, teenagers said they spent just $ 87 on handbags, an all-time low, Piper Jaffray said. LVMH’s Louis Vuitton struck Michael Kors this time for first place. Spending on purses and clutch bags peaked in early 2006 when a survey showed that teenagers spent $ 197 a year on this category. But its popularity has since declined.
However, when it comes to clothing, Nike retained its top spot among teenagers – a position it has held in Piper Jaffray’s poll for a decade now. american eagle finished second, followed by Adidas – both brands occupied the same positions they had previously mentioned on the list. The manufacturer of sportswear LululemonHowever, a year ago he moved from 7th to 6th, with his comfortable leggings and sports bras becoming increasingly popular. Fast fashion chain H&M rose while Forever 21 was on the list. L brands‘Victoria’s Secret, known for its classy lingerie, fell from 13th to 22nd a year ago.
Within the apparel category, buying second-hand items from teenagers is becoming increasingly important and stealing market share from traditional gamers, especially budget retailers TJ Maxx and department stores. Forty-six percent of teens have bought second-hand items from platforms like Poshmark and The RealReal, While 58% sold items in a used market, Piper Jaffray noted. Second hand / consignment stores ranked 13th as the most popular brand or retailer for teenagers in the fall, compared to 44th a year ago.
Nike was also the most popular teen shoe brand, followed by VF Corp.Vans in second and Adidas in third.
Spending on shoes was $ 275 per teenager per year, a 6% decrease from last year, Piper Jaffray said. Men said they spend an average of about $ 50 more on shoes than women.
The e-commerce monster Amazon also remained the most popular website for teenagers. 54% of teenagers said Amazon was their # 1 online shopping destination, up from 52% last year. And 90% of teenagers said they bought online in the fall.
In the meantime, only 33% of young people said they shop in department stores and specialty stores, compared with 36% in the previous year. A handful of department store chains, including J.C. Penney, Stage Stores and Neiman Marcus filed for bankruptcy protection during the pandemic. Lord & Taylor, the oldest department store operator in the country, is in the process of liquidation.
Although overall food spending has decreased, the survey shows that men still devote the largest portion, or 21%, of their wallets to eating. Video games and clothing follow. Women devote the largest or 27% of their wallets to clothing, followed by food and personal care.
And with a global health crisis that has caused a recession hanging over their heads, potentially leaving their parents or themselves unemployed, 48% of teenagers believe the economy is deteriorating, compared to 32% a year ago.