Postsecondary enrollment rose 4.5% this year, surpassing pre-pandemic levels for the first time. Colleges and universities hold a special place in people’s lives, with alma maters among the most enduring brands. This emotional connection has buffered schools from some of the competitive pressures retailers face.
Still, staying relevant in a fast-changing world requires ongoing innovation. Forward-thinking colleges and universities are adopting retail-inspired strategies—prioritizing convenience, personalization and data-driven decisions to enhance student experiences.
Today’s students aren’t just learners; they’re savvy consumers with high expectations and countless options. Whether it’s paying tuition, managing housing, or accessing campus services, they demand the same seamless experience they get from brands like Target or Amazon. By adopting consumer-focused strategies, colleges can boost appeal, deepen engagement, and thrive.
Here’s how leading colleges are applying retail strategies to create seamless, secure, and data-driven experiences in 2025.
1. Frictionless experiences
Speed and convenience shape student expectations much like they do for consumers. Over 70% of Americans say these factors are critical to a positive experience. Retailers have responded with intuitive apps, personalized recommendations, and faster checkouts. Brands like Target, Walmart, and Kroger offer curbside pickup for quicker service, while Sam’s Club’s Scan & Go technology lets shoppers skip checkout lines entirely.
Leading colleges have adopted frictionless payment systems, making tuition, housing and meal plan payments as effortless as ordering online. These advancements align with student expectations: 72% say ease of payment significantly influences their perception of the overall college experience, and 71% say they would pay tuition faster if the process were mobile-friendly and seamless.
Forward-thinking campuses are also integrating commerce systems for dining, bookstores and events, delivering the convenience students already enjoy in retail. Advanced technologies, like checkout-free solutions inspired by Amazon’s Just Walk Out Technology, are setting new benchmarks for seamless and stress-free campus experiences.
2. Payment choice drives student satisfaction
Payment options influence decisions: 70% of shoppers say payment options affect where they shop. Flexible methods like “buy now, pay later” and digital wallets offer consumers the convenience they value. Businesses that embrace these approaches often build stronger loyalty.
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Colleges are following suit, offering multiple payment options to meet the diverse needs of students. Tuition payment plans are more common, providing flexibility for families. While Gen Z was once thought to be credit-averse, nearly 50% of undergraduates now use credit cards for school expenses such as books and tuition.
By offering a range of payment methods—including credit, debit, 529 plans, sponsor payments, ACH transfers, international payment portals and digital wallets—schools deliver personalization and choice, boosting student satisfaction and trust.
3. Data-driven insights support retention
Retailers rely on data to anticipate customer behavior and refine strategies. Target uses predictive analytics to ensure product availability. Leading colleges are taking a similar approach, leveraging payment system data to enhance retention.
Predictive analytics help identify at-risk students before they disengage. Only 76% of full-time U.S. university students persist to their second year. By analyzing trends—such as late tuition payments, declining attendance or reduced engagement—colleges can step in with personalized interventions, such as financial counseling or flexible plans.
Colleges can also use data to improve services in real time. Declining dining hall visits, for example, might signal disengagement, prompting outreach. Adopting data-driven strategies allows colleges to create environments that drive student success.
4. Digital security strengthens trust
Trust is essential, whether between a retailer and a customer or a college and its students. Retailers safeguard customer data with AI-driven fraud detection and encryption, and higher education is adopting similar measures to protect personal and financial information.
Leading colleges are implementing biometric authentication, encrypted mobile credentials and facial recognition to reduce risks while improving convenience. Mobile credentials eliminate physical IDs, reducing loss and theft risks. These innovations enhance security while delivering seamless experiences that align with student expectations.
Schools are also prioritizing PCI DSS and SOC 2, reinforcing their commitment to protecting student data. This focus on security is building confidence among students and families, ensuring their trust in campus systems.
5. Loyalty comes from understanding students
Retailers like Costco don’t just attract customers, they build loyalty by consistently meeting customer needs. Colleges are taking a similar approach, strengthening student connections by addressing their biggest challenges.
For many, financial stress is a top concern. Fifty-nine percent of students have considered dropping out due to financial stress and 78% reported negative impacts on their mental health as a result. Colleges that provide clear, flexible financial options—like budgeting tools, tuition payment plans and financial counseling—help ease these burdens and build trust.
Successful colleges go beyond providing a great four-year experience; they cultivate lifelong engagement. From flexible payment options that support students through graduation to alumni services and career resources, schools have a unique opportunity to maintain long-term connections. Just as leading brands foster customer loyalty, universities that prioritize student-centered experiences can build enduring relationships.
For Gen Z, that connection starts with transparency. They expect digital-first banking, real-time payments and personalized financial tools—so they demand similar clarity from their college experience. Schools that integrate financial literacy tools into tuition platforms and campus apps help students manage their finances and demonstrate a commitment to their success. These efforts reinforce trust, boost retention and lay the foundation for lifelong engagement.
What higher ed can learn from retail in 2025?
With enrollment on the rise, colleges are seizing opportunities to meet students’ changing expectations. Many forward-thinking schools are already implementing retail-inspired strategies—frictionless payment systems, flexible options and data-informed decision-making. These approaches are improving student experiences and fostering deeper engagement.
Higher education’s ability to build on its foundation of trust and loyalty while adopting modern, student-focused solutions ensures its relevance in 2025 and beyond. By embracing these trends, colleges can exceed expectations and define what a modern, student-first education experience should be.
