October 17, 2007

Marketing to Adult StudentsA Profile of Demand Among Classroom and Online Students

OCHEA 2010 Annual Conference

Carol AslanianSenior Vice President, Market Research and Advisory Services

Overview

• Higher Education Enrollment

• Adults as Students – 2009 Snapshot

• Issues and Opportunities in Serving Adult Students

Higher Education Enrollment (Undergraduate and Graduate)

Fall Unduplicated Headcount (NCES)

2000

15.3 m

2002

16.6 m

2004

17.3 m

For-Profit Sector Share: 9%

2006

17.7 m

2008

18.3 m

…and more to come

2010

18.8 m

2012

19.4 m

2016

20.4 m 2014

20.0 m

Fall Enrollment Projections (NCES)

For-Profit Sector Share???

For-Profit Postsecondary Sector (degree-granting and nondegree-granting institutions)

2007 1.5 m. students (8% share)

Within 5 years 10% +

Growing at faster rate than other sectors

Undergraduate Enrollment

in millions (NCES – Fall Enrollment)

Graduate Enrollment

in millions (NCES – Fall Enrollment))

Growth by Age Group

2008 2015

24 yrs and under: 11%

25 yrs and over: 18%

H.S. Graduates Versus Undergrad College Enrollments

in millions millions (NCES)(NCES)

Adult College Students (undergrad/grad: 25+ years of age)

in millions (NCES)

Future High School Graduates

‣In 2020+ minority students will out number white students on college campuses

‣One-third of high school graduates will be of Hispanic backgrounds

‣Will seek convenience and flexibility like adults

‣Most will have enrolled in online courses in high school

‣

Something to Consider:

‣27% of all undergraduates today are “traditional” students (18-24, living on campus, attending full-time, etc)

‣73% of all Undergraduates today are “nontraditional” (working, parents, financially independent, often first-generation, etc)

‣

FUTURE GROWTH?

Higher Education Enrollment

Adult Learners: The Big Picture

‣ Reaching 50% of higher education credit enrollments

‣ Tripling in the past three decades

‣ Continuous growth at a faster rate predicted

‣ Millions more in noncredit & continuing professional development

‣ Millions more in workforce development – “their place not your’s”. (Employers spend $130 b. annually)

Adult College Students

UNDERGRADUATE

Adult 40%

GRADUATE

Adult80%

Adult = 25 yrs+

Personal Characteristics‣ Majority are female

‣ Getting older – late 30’s-early 40’s

‣ Majority are non-minority

‣ More returning to undergrad and grad school with advanced credentials

‣ Majority are employed and juggle home, work and study

‣ Most often finance their own study

Adults as Students: 2009

Motivation for Study

To advance in current career 33%

To change careers 28

To enter first career 28

To keep up to date in current career 9

Other 3

• Seek degrees, but also certificates, licenses and courses

• Study in career fields• Most often: Business, Education, Health Professions

• Prefer shorter/fast-track courses: 8-weeks or less

• 1/3 study full-time (degree seekers)

• Day AND evening study

• Prefer multiple learning options – class/hybrid/online

General Learning Patterns

Education level

at time of enrollment?

Education-Level

H.S.14%

1-2 Yrs College

23%

Assoc. Degree

16%

3-4 Yrs College

20%

Bachelor's Degree

20%

Some Grad2%

Master'sDegree

5%

PhD1%

Undergraduate

High School Diploma

1-2 Yrs of College, No Associate's

Associate's Degree

3-4 Yrs of College, No Bachelor's

Bachelor's Degree

Some Graduate-Incomplete

Master's Degree

Post-Master's, No Doctorate

Doctorate

Aslanian Group, 2008

Education-Level

Bachelor's36%

Some Grad26%

Master's25%

Post Master's10%

Doctorate3%

GraduateBachelor's Degree

Some Graduate-Incomplete

Master's Degree

Post-Master's, No Doctorate

Doctorate

What credentials

do they seek?

Credential - Undergraduate

Credential - Graduate

Degree66%

Individual Courses

15%

License12%

Cert.7%

Do they study

full-time or part-time?

Full-Time/Part-time - Actual

Part-time58%

Full-time42%

Undergraduate

Part-time66%

Full-time34%

Graduate

Do they prefer day, evening, or weekend

study?

Time of Day For Study - Preferred

Before 9 A.M.10%

9 A.M. -Noon31%

Noon -5 P.M.13%

5 P.M. or After

43%

Wk.end3%

Undergraduate Graduate

Weekend10%

Before 9 A.M.

7%

9 A.M. - Noon19%

Noon - 5 P.M.12%

5 P.M. or After52%

Are they attracted to hybrid and online study?

Actual/Preferred Format of Study Undergraduate

Undergraduate

Class/Online17%

All Online

8%

All Class75%

All Class46%

Hybrid34%

All Online

20%

Undergraduate

Actual Preferred

Actual/Preferred Format of Study Graduate

Graduate

All Class44%

All Online18%

Hybrid38%

Graduate

All Class77%

Class/Online13%

All Online10%

Actual Preferred

• 2008 1.9 m. students took all courses online

(10.5 % share of all enrollment)

• 2014 Expect 19% share of enrollment

• 2008 4 m. students took one or more courses online

(Online enrollment in high school is growing faster than at college level)

Online Higher Education

Do they prefer accelerated courses?

Preferred Course Length (Weeks)

1-5Weeks

11%

6-10 Weeks

45%

11 or More44%

Undergraduate

1-5 Weeks

22%

6-10 Weeks

43%

11 or More35%

Graduate

Median: 10 Weeks Median: 9 Weeks

What subjects do they most often study?

Subject Field of Study (in order of market demand)

Undergrad DegreesBusinessHealth ProfessionsSocial SciencesComputer/Info ScienceEducationEngineering

Graduate DegreesEducationBusinessHealth ProfessionsPublic Affairs/Social WorkSocial SciencesEngineering

How do they

become aware of

your college during their search?

Methods of Raising Awareness of Colleges Website of College

Internet Search EnginesCollege Search Sites

Mail to HomeTelevision Ads

Radio AdsNewspaper Ads

(On a scale of 5) Billboards

4.03.73.43.22.92.82.72.3

Primary Sources of Information About the College AttendedCurrent or Former Students

The College’s WebsiteFriend, Family, Co-workers

Radio AdsNewspaper AdsTelevision Ads

Direct MailOther

29%231910 5 5 4 5

Internet As Initial Resource in College Search

Undergrad Adult Students

65%

Graduate Students

60%

What do others use?

How do Adults Find Your Website?

GoogleOther Search EnginesCollege Search Sites

Banner Ads for College (Online)Print Ads in Newspapers

Word of MouthDirect Access to Your Website

60%1510 7 5 3 2

College Characteristics That Led Respondents to Apply

Reputation/quality of desired programGeneral reputation of college

Schedule of coursesLocation

Length of time to complete programCost

Ease and efficiency of enrollingAcceptance of prior credit

Career placement opportunities

4.34.14.13.93.83.73.63.23.2Scale of 5

• Increasing competition/steady expansion of for-profit

sector

• Increasing acquisition costs/limited marketing budgets

• Retention/stop-outs

• Electronic marketing and recruitment

• Adult college students are “consumers”

Issues

• Mixed Formats: classroom/hybrid/online

• Customer Service/ 24-7 Operations

• Seeing the “light at the end of the tunnel” – time to completion

• Providers looking more and more alike (positioning and

differentiation are key)

Issues

• Keeping up with market demand - continuous market research

• Tracking and follow-up of inquiries and applicants

• Local/ground presence for online

• “One college” strategy

Issues

• Men are under-represented as adult college students

• Aging society: “Age 60 is the new age 40 and it has become prime time”

• Workforce needs for more college graduates

Issues

Opportunities

• Younger students acting as adults: Age no longer predicts how we learn

• Graduate market growth

• Partnerships/consortia with other institutions

• Non-degree credentials

• Hybrid/blended learning

Opportunities

• 85% of Americans earn a high school diploma – only 30% earn a college degree

• Adults with some college but no degree

• Growth of non-credit career/professional development market

• Demand for college study growing abroad – fastest in Africa and Asia

Opportunities

• Changing nature of the economy/jobs

• U.S. recession driving greater demand for higher education

• Competitive knowledge-based global economy requires workforce to participate in and complete college programs

“Must Read” Resource

College Students 2020

Chronicle Research Services, 2009

Carol AslanianSenior Vice President, Market Research Services EducationDynamicstel: 201.377.3321caslanian@educationdynamics.com

adultstudents.educationdynamics.com