COVID Impacts Promo’s Back-to-School Sales

Normally, Heritage Screen Printing’s (asi/700490) shop in Warminster, PA would be humming with activity over the summer. Owner Steven McKee and his team would be busily screen printing and embroidering all manner of back-to-school-related orders for clients that range from Philadelphia public high schools to area colleges.

But this year, there’s an unsettling level of inactivity in the shop when it comes to back-to-school work. While Heritage and other industry firms have found success producing face masks for education market clients, much of the other business for back-to-school that would normally be occurring hasn’t yet materialized – a consequence of COVID-19 disruption, said McKee.

“So far, it’s not looking good,” said McKee, noting that Heritage generates about 40% of its business from the education market. “I could see this back-to-school season being down 50% to 60%.”

McKee’s situation is emblematic of the struggles many promotional products distributors are contending with when it comes to back-to-school sales. They say that, on the whole, business is down. Both public and private kindergarten through 12th grade clients, as well as colleges and universities, have pulled back on ordering as they grapple with the challenges tied to school reopening and COVID-19.