Market Research: Student Spending

Market research: student spending today is basically Generation Y spending. Born between 1977 and 1994, Generation Y comprises today’s high school and college student markets. The large size of this generation (71 million) makes them a potentially profitable market. One that marketers can’t afford to miss.

market research student shopping

Market Research: Student Spending Through High School

Today’s high school students have more money to spend than any teens to date, 51 percent more than 1995 teenagers. Together they spend an estimated $187 billion a year. They spend on:

• clothing,

• wireless tech gadgets,

• alcoholic beverages,

• tobacco,

• eating out,

• personal appearance, and,

• having fun.

While still in high school, most are earning close to $100 per week. Plus a sixth of them have their own credit cards or access to their parents’.

Almost all high school students (93%) have their own computers, and 75 percent are on-line. Although they use the Internet more to get free information than to buy, any business wanting to reach them needs to have a well-designed Web site.

Market Research: Student Spending Through College

Today’s college students spend more than $100 billion of their own money each year and influence many family purchases. They are expected to spend $10 trillion throughout their lives.

They have money because more than half (52%) of today’s full-time college students work. Working while attending college is an equal reality for males and females, and most races.

They also spend on credit. More than 90 percent of those 21 and older use credit cards with half having more than four cards. Their average credit card debt is $3,000 and 10 percent owe more than $7,000. They do pay their credit cards debts, just a little slower than older generations.

College students buy over the internet, but first they comparison shop with an average of three Web sites. They also buy romance products such as perfume and flowers.

Market Research: Student Spending And Additional Marketing Information

Together high school and college students have a tremendous effect on the economy. They like to shop, with the men liking it more than men in prior generations.

But they are “notoriously fickle,” demanding the latest trends in record time.

They are immune to hard sell advertisements. They are brand and fashion-conscious, but won’t buy if clerks “get in their face” trying to sell them.

They prefer brands with a core identity based on core values. They won’t buy a product just because it’s in the mall. It’s more important to them that a product is recommended by their peers. Word of mouth is the best method of marketing to them.

Traditional Marketing Doesn’t Work With Today’s Students.

They don’t like the status quo and are immune to established brands. They like appeals that reflect their lifestyles more than their outward appearance.

They respond best to humorous and emotional advertising showing other people like them in real-life situations. They also like innovative music and advertising that centers on their lifestyles.

Marketing Cars To Students

With 27 million drivers, cars represent the biggest and most important purchase for today’s students.

Their top choices are high-end small cars like Dodge Neon and Ford Focus, which they buy for quality, value, good warranties and insurance rates.

They also want a car that’s fun to drive, has amenities such as a CD player, convertible top, good tires, and looks good with a sleek design and good image. The men care more about looks and speed, while the women prefer dependability.

To learn more about today’s students, you can get a Target Market Profile of Generation Y or get a Target Market Profile of College Students.

To learn more about Marketing Your Small Business, you can get my free report on market segmentation by completing the form below.

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