Tapping Into the Campus Economy

Why More Students Enrolling and Staying in Higher Education Means More Business

The Spring 2025 Current Term Enrollment Estimates report shows that more students are enrolling in postsecondary education. Total spring enrollment increased by over 562,000 students compared to last year. In total, undergraduate enrollment grew 3.5% from spring 2024 to spring 2025, reaching 15.3 million. Graduate enrollment also increased 1.5%, surpassing 3.1 million.

The Research Center’s recent 2025 Persistence and Retention Report shows that 77.6% of first-year college students returned for their second year. Of those, 69.5% remained at the same institution, marking the second fall retention rate. These figures represent year-over-year increases of 0.3 and 0.4 percentage points, respectively.

The report is part of an ongoing series that tracks the number of students who persist in college after their first year. In this context:

• Persistence refers to continued enrollment at any institution.
• Retention refers to continued enrollment at the original institution.

Further, the Research Center’s Undergraduate Degree Earners report revealed that more students are completing undergraduate programs. In the 2023–2024 academic year, over 3.2 million learners earned an undergraduate credential. This 0.6% increase from the previous year represents approximately 20,000 additional completions. These credentials include associate degrees, bachelor’s degrees, and undergraduate certificates.

“The data clearly shows a positive trend: more students are enrolling in higher education each year, more are continuing their academic journeys beyond the freshman year, and now, more are successfully earning credentials,” said Matthew Holsapple, Senior Director of Research at the National Student Clearinghouse.

More Students = More Opportunity for Business Growth

As colleges and universities welcome more students, businesses can attract and retain more young customers by offering student discounts. These discounts can be on apparel, entertainment, technology, travel, and subscription services.

Research shows that students spend between $200 and $2,500 a month during the school year, excluding tuition, fees, and room and board. Typical expenses include books and supplies, groceries, transportation, cell phone bills, and electronics.

With limited budgets, students are highly motivated to seek out savings. In fact, 85% of Generation Z — those born between 1997 and 2012 — say they’re more likely to shop with brands that offer student discounts.¹ And with Gen Z making up the majority of undergraduate enrollment in spring 2025, according to the Research Center, the potential for businesses to connect with this audience has never been greater. 

Keeping Student Discounts Secure and Exclusive

To help businesses make sure that only current students use discounts, the Clearinghouse offers enrollment verification through our education-based Insights platform, which covers 97% of all enrolled students nationwide. Student enrollment can be quickly and accurately checked by businesses using our API. Our solution helps businesses reduce fraud and prevent individuals who are no longer enrolled from improperly using student benefits.

A 2024 Wall Street Journal article, A Crackdown Is Coming for People Hanging On to Student Discounts, highlighted how more companies are turning to verification technology to protect their offers. As the article notes, “Streaming apps, wireless carriers, gadget makers, and retailers offer significant deals. But while the younger, potentially lifelong, customers are welcome, companies are turning to status-verification technology that makes it harder to claim student privileges well into adulthood.”

To support this effort, the Clearinghouse works with trusted third-party resellers. This helps ensure that student data is verified safely and reliably.

“The Clearinghouse is committed to helping businesses verify student enrollment securely and seamlessly,” said Christy Cole, Senior Director, National Sales & Business Development at the National Student Clearinghouse. “Our partnerships with trusted resellers of our Insights verification services ensures that enrollment status is confirmed accurately and efficiently. As a result, companies can be confident that their student-focused offers reach the right audience.”

A Win-Win for Students, Businesses, and Higher Education Institutions

Nearly 3,600 higher education institutions across the U.S. securely provide enrollment data to the Clearinghouse for compliance reporting. Institutions can also participate in our EnrollmentVerify service at no charge, which uses the data they already report to us. This allows institutions to outsource time-consuming verification requests and focus on supporting students.

“EnrollmentVerify streamlines the verification process for colleges and universities by handling third-party enrollment requests on their behalf,” Cole explained. “By partnering with the Clearinghouse, institutions save time, cut costs, and free up resources. This helps them focus on what matters most — supporting their students.”

Verifying Enrollment with the Clearinghouse

The Research Center shows that more students are enrolling and staying in higher education until earning a credential. As the student population continues to grow, so does the value of offering exclusive student discounts.

The Clearinghouse help businesses cut costs, lower financial risk, and combat fraud by quickly verifying enrollment through a single, trusted source.

¹ https://www.wearepion.com/blog-posts/7-reasons-why-your-brand-should-offer-a-student-discount

“The data clearly shows a positive trend: more students are enrolling in higher education each year, more are continuing their academic journeys beyond the freshman year, and now, more are successfully earning credentials.”

Matthew Holsapple
Senior Director of Research, National Student Clearinghouse