Can Office Depot and Dormify Win a Sizeable Share of the College Market?

In a move to ease the back-to-school shopping experience for college students, Office Depot OfficeMax has partnered with Dormify, a renowned leader in dorm room essentials. This collaboration aims to streamline the shopping and logistics process across 200 markets, providing students with a comprehensive range of dorm room necessities both in stores and online.

As the 2024–2025 school year approaches, Office Depot is expanding its collection of college dorm and school supplies. The new partnership with Dormify will offer students access to an array of stylish furniture and essential dorm room items. These products will be available for purchase online at officedepot.com and in 200 stores, ensuring that students can easily find everything they need for move-in week.

Kevin Moffitt, executive vice president of The ODP Corporation and president of Office Depot, expressed enthusiasm about the partnership. “We’re passionate about enabling our customers’ educational goals, and providing students with the tools to be successful is an essential part of that mission,” he said. By offering a wide selection of dorm supplies and providing versatile shopping and shipping options, Office Depot aims to empower college students and help them thrive in their academic endeavors.

Amanda Zuckerman, co-founder of Dormify, emphasized the importance of simplifying the college move-in process. “The preparation for college move-in is rife with to-do lists, errands, and tasks. We’re committed to making the process as easy as possible by simplifying the logistics and have found a great partner in Office Depot,” she said.

This collaboration allows students to see and experience Dormify products in person at Office Depot locations near their homes or campuses. Additionally, students can place orders at a store near their hometown during the summer and have them ready for pickup at a location near their school during move-in week, which is “a critical offering that we know our customers are requesting,” according to Zuckerman. Students who prefer online shopping can benefit from Office Depot’s free 20-minute in-store or curbside pickup, as well as free delivery on orders over $35.

The Dormify collection at Office Depot OfficeMax features a variety of storage and décor items, ranging in price from $15.99 to $309.99. Popular items include an eyelash fringe comforter and sham set, a velvet flower-shaped pillow, a three-drawer cart with USB ports, and a twin XL bedding bundle, among others.

However, the college demographic has tough competition. Market researcher Numerator revealed that Amazon and Walmart dominated the back-to-college shopping market in 2023, increasing their share of spending compared to 2022. According to the report “Back-to-College in a Shifting Retail Environment,” 70% of consumers shopping for themselves chose Amazon, while 54% opted for Walmart. For those shopping for someone else, 68% preferred Amazon and 67% chose Walmart.

In terms of spending share, Walmart led with 26.9%, an increase of 1.8 points year over year, while Amazon followed with 19%, up 2.8 points. Other notable retailers included Target at 12.4%, Costco at 11.5%, and Sam’s Club at 5.1%. The main reasons for choosing these retailers were good selection and competitive prices.

Earlier this year, ODP Corp., the parent company of Office Depot and OfficeMax, reported strong earnings in the fourth quarter, despite a net loss from continuing operations of $37 million. This compares to a net income of $36 million in the same period last year. Adjusted earnings were $35 million, surpassing analyst expectations. The company also announced Project Core, a new initiative to streamline operations, focus on core business activities, and enhance shareholder returns.

CEO Gerry Smith emphasized the company’s success in maintaining a low-cost business model and its capital allocation strategy, which supported nearly $300 million in share repurchases in 2023. Project Core aims to achieve annualized savings of $50 million to $60 million by improving cost efficiency across the enterprise. The plan also involves an expanded $1 billion share repurchase program.