Back to school sales rose smartly

— -- RETAIL-SALES/ (WRAPUP 1):WRAPUP 1-U.S retailers get back-to-school boost in August

Despite gloom in the credit, housing and stock markets last month, back-to-school sales were strong, especially at trendy teen stores.

Sales at stores open at least a year, known as same-store sales, rose 17.4% vs. a year ago at Zumiez (the "skater" look); 16.7% at Buckle (the "retro" look); 9% at American Eagle Outfitters (the "sport" look); and 6% at Abercrombie & Fitch (the "preppie" look).

But proving that the teen market can be fickle, Hot Topic (the "goth" look) didn't do well: Same-store sales fell 1.1%.

"You're in one minute and out the next," says Mandy Putnam of TNS Retail Forward.

The National Retail Federation had predicted that the average family would spend about $36 more on back-to-school shopping this year, a 7% increase over last year, to an average of $564.

Electronics, once a luxury, are now considered by many to be a necessity for students, the NRF said. It predicted electronics sales would increase the most of all back-to-school categories, up 13% to an average of $129.

Wal-Mart credited sales of electronics, school supplies and kids' clothes for its good August sales.

"It's no surprise to us" that retail sales rose in August, says Phil Rist, vice president at BIGresearch, which does consumer surveys for the NRF. "Little Johnny needs a PlayStation Portable for the bus ride home, and Little Suzie needs a new cellphone so you can reach her after cheerleading practice. A little lobbying by kids is going on."

Americans spend $18.4 billion on back-to-school items, making it the second-largest shopping season behind the Christmas holidays. Many analysts had worried that the decline in housing prices, rise in mortgage foreclosures and volatility in the stock market would cause consumers to spend less in August.