For the American college student, back to school basics used to mean number two pencils, notebooks and maybe a protractor – today most are in the market for something substantially more high-tech and expensive.
Yesterday’s pen and pad has been replaced by a new notebook with a $1000 price tag and wireless access.
College students will spend the bulk of their back to school dollars on electronics, according to the National Retail Federation’s 2006 Back-to-College Consumer Intentions and Actions Survey. Of the estimated $36.6 billion students will spend preparing for school, $10.46 billion will be spent on iPods, laptops, flatscreen TVs, Xboxes, and a slew of other electronic items intended to make entertainment easier, in addition to aiding in academic pursuits.
That estimate is up 27.5 percent from last year’s sales.
The survey shows that electronics outperforms other popular back to school shopping categories such as clothing, dorm and apartment furnishings, shoes and school supplies, according to BIGresearch, the consumer intelligence firm that compiled data online from 8,529 consumers. The only larger marketshare is held by textbooks.
Elias Gayles a supervisor at Digital Duck electronics section of the University Bookstore, said he has noticed the increased spending, with the majority of sales coming from laptop computers and iPods.
“Sales get crazy during back to school shopping,” he said. “We sell a lot of iPods and laptops, when you buy one of our MacBooks you get a rebate that can be used towards an iPod.”
Gayles expects the Helio Hero, a new product the size of a cell phone that allows students to access their MySpace accounts and other online messaging programs on-the-go, to sell well when it hits the market this fall. Costing just under $300, the product is geared toward busy college students.
“This product will basically be connected to the Internet all the time,” Gayles said.
Chris Ferrin, a recent University graduate said that he has noticed the increase in electronic items on campus.
“I have seen a huge increase in iPods and laptops since I got here as a freshman,” Ferrin said.
Gayles said that sales are increasing because the technology is becoming more widespread and devices are getting better and cheaper. The MacBook sells at Digital Duck for $1199 features a built in DVD and CD burner, software that edits videos and pictures, and comes equipped with a built-in wireless card.
“Laptops are half the price they were four years ago, and now they are four times the computer,” he said. “They are made for students and a younger generation of people.”
Freshmen spend the most money on back to school shopping, the average first year student will spend $1112.62, based on
the numbers provided by the NRF. Seniors, spend the least, averaging just shy of $600.
NRF President and CEO Tracy Mullin said he is not really surprised by the surge in electronics.
“Today’s college students were using computers before they could write, which explains their gravitation toward electronics,” Mullin said. “By merchandising and marketing to
the college crowd, retailers are hoping to not only boost this year’s sales but also to gain customers for life.”