New data reveals big opportunity for brands ahead of back to school period

With the new school year ahead, Gen Z is poised to spend an average of £1,600 per person on back to school items, with fashion, beauty and technology to welcome the biggest spend. 

Representing a total spend of £4.3 billion, it’s a time-sensitive opportunity brands can’t afford to overlook. That's according to a new trend report by student discount platform UNiDAYS.

The research highlights that despite sizeable spending across all categories during the back to school period, there are a few key areas where Gen Z students intend to spend big.

With an aggregated total spend expected to reach £1.5 billion, students are planning to spend on fashion across various categories.

However, the desire for comfort and style means sneakers/trainers (£308 million), womenswear (£238 million), streetwear (£176 million), and accessories (£174 million) will be hugely popular.

Meanwhile, technology will enjoy the greatest market share with anticipated figures across specific products totalling £1.5 billion. Top of the list are laptops (£413 million) and smartphones (£332 million).

Following tech and fashion, a desire for self-care will propel beauty purchases to a £1.1 billion projected total expenditure. This is particularly high on the agenda for freshers, with an average spend of £1,118 per student compared to £518 for second to fourth years.

The report shared that bodycare, makeup, haircare, and fragrance will be most in demand, with purchases expected to total £204 million, £192 million, £184 million, and £174 million, respectively.

It also revealed that the return to campus will mean a hike in fitness, streaming, and lifestyle subscriptions, with 70% of students expected to invest in a gym, leisure centre, or health club memberships.

Freshers are more likely to opt for clothing, beauty boxes, and language learning subscriptions than those in years two and above.

Derek Morrison, MD Retail Marketplace at UNiDAYS, said: "Preparing for the upcoming semester is a significant undertaking.

"As the first student loan payments arrive, Gen Z will be replenishing their school supplies, groceries, fashion, beauty products, and crucial tech items. This is a pivotal moment for brands to engage with Gen Z, particularly freshers who are projected to spend more than any other year group, with an average expenditure forecast of over £2,500 per student."

"Gen Z is willing to spend on what they deem most important—but that doesn’t mean brands can’t give them a helping hand by meeting them at their passion points going into the new academic year. Offering a student discount, for example, would further influence students to make a back to school purchase.

"Back to campus is a key period of discovery in terms of daily routines, hobbies, and interests. It’s essential that brands align with and enable students to fully embrace and enjoy this exciting time. In the spirit of discovery, appealing to freshers with free trials and exclusive content is a sure way to drive engagement."