Carol Aslanian, Aslanian Market Research Dr. David Clinefelter, Learning House. July 23, 2015 Chicago, IL 1

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1 Carol Aslanian, Aslanian Market Research Dr. David Clinefelter, Learning House July 23, 2015 Chicago, IL 1

2 2 Background The report has been published annually since Competition in the market also continues to rise. The online higher education market continues to advance

3 3 Online Enrollment 20,900

4 4 Methodology Survey administered to a group of 1,500 respondents. Eligibility: 18+ years of age or older Minimum of a high school diploma/ged Recently enrolled (within three years), currently enrolled, or planning to enroll in the next year in a fully online program

5 5 Number of Institutions Online Institution Type Number with Fully Online Programs Total Percentage 4-year total 1,518 3, year total 732 2, year & 4-year total 2,250 5, ,900

6 6 Gender Gender Undergraduate Graduate Male 29% 27% Female 70 72

7 7 Age Age Undergraduate Graduate 18 to 24 23% 19% 25 to to to to to to or older 5 6 Median 30 32

8 8 Marital Status Marital Status Undergraduate Graduate Married /Partnered 45% 56% Single 54 43

9 9 Total Household Income Total Household Income Undergraduate Graduate Less than $25,000 20% 13% $25,000 to $39, $40,000 to $54, $55,000 to $69, $70,000 to $84, $85,000 to $99, $100,000 to $114, $115,000 to $129, $130,000 to $149, $150,000 or more 2 7 Prefer not to say 7 5 Median $50,000 $70,000

10 10 Employment Status Employment Status Undergraduate Graduate Employed full time 44% 63% Employed part time Not employed Retired 2 2 Prefer not to say 3 1

11 11 Primary Motivation What was your primary motivation for enrolling in further education? Percent of Respondents All Undergraduate Graduate **I wanted a career in a new field 22% 23% 22% The satisfaction of completing my undergraduate/graduate education **I was unemployed/underemployed and needed more education to get a new job **I was seeking a promotion/new position in my field **I wanted to keep up to date with the skills and requirement of my current job **It was a requirement by my employer/profession **Reentering the job market and needed more education I had just finished high school/ged Other personal reasons not related to career CAREER RELATED

12 12 Field of Study: Undergraduate Business 25% Computers and IT Health Professions 14% 16% Social Sciences, Criminal Justice, Law Arts and Humanities STEM Education and Teaching Counseling and Human Services 10% 10% 9% 8% 8%

13 13 Field of Study: Graduate Business 26% Computers and IT 18% Health Professions Education and Teaching 13% 15% Social Sciences, Criminal Justice, Law STEM Counseling and Human Services Arts and Humanities 8% 7% 7% 6%

14 14 Consideration of Classroom Programs If the program you wanted was not available in an online format, how likely is it that you would have enrolled in a classroom program? Percent of Respondents Definitely not 12% Probably not 21 Not sure 28 Probably would 25 Definitely would 14 Mean Score 3.1

15 15 Concerns with Online Learning Concerns Percent of Respondents Motivation/attention/focus challenges 27% Perceptions of quality of online study 27 Cost 26 Inconsistent/poor contact and communication with instructors 21 Lack of direct contact with other students 17 Inconsistent/poor quality of instruction 17 The need for costly technology (high-speed Internet, computers, etc.) More difficult than classroom 13 Takes longer to complete 12 Other 2 16

16 Proximity to College of Enrollment - Undergraduate 16 Less than 50 miles away 52% miles 14% More than 100 miles 27% Not sure 8%

17 17 Proximity to College of Enrollment - Graduate Less than 50 miles away 52% miles 17% More than 100 miles 27% Not sure 7%

18 18 Important Factors to College Selection Percent of Respondents Tuition and fees 23% Overall reputation of the college or university 18 Recognized in your field as a high-quality college or university Number of hours of study required each week 16 No set class meeting times 16 Amount of transfer credits accepted 13 Availability of courses that teach workplace skills such as problem-solving, critical thinking and teamwork Successful career placement of graduates 12 Students never have to visit campus during their study 12 Availability of credit earned by examination of professional/life experience

19 19 Important Factors to College Reputation Percent of Respondents It is accredited 63% Recognized in my field as a high-quality institution 35 Recommendations of friends, colleagues and relatives 34 It has high academic standards 23 It holds a high ranking in the U.S. News and World Report annual ranking Strong ties with employers 16 Classes are demanding and difficult 15 Accomplishments of its alumni 14 Faculty who are full time, tenured, who hold doctorates It has a campus

20 20 Top Marketing Messages Percent of Respondents Affordable tuition 36% Free textbooks 31 High job placement rate 27 Earn your degree in one year 21 First course free 19 Lowest tuition in the region 17 Accepts most transfer credits 17 Scholarships available 16 Qualify for a $400 scholarship 15 Career-focused programs 13

21 21 Number of Institutions Considered Percent of Respondents Zero/no other schools considered 33% One 16 Two 25 Three 14 Four 4 Five 4 More than five 3 Mean number of schools contacted 1.75

22 22 Reason for Selecting Top Choice School Percent of Respondents The program was the best match 36% It was less expensive 20 It has a better reputation 13 It was the institution that was recommended to me by someone I respect It was the institution I knew best 8 I didn t contact any other institutions 8 It had a faculty member I knew/respected 2 Other 4 10

23 23 Effectiveness of Marketing Channels Listings on college search sites Direct mail to home Commericals on TV Other events I have attended Ads on social media sites Ads in magazines/newspapers Conferenece/trade shows Commercials on Radio Billboards Pop-up website ads Average Rating

24 24 Source of Information Search engines 4.0 Social media Online video commercial Blogs Other event I attended Infographics Online quizzes Podcasts Average Rating

25 25 Process After Identifying Institutions of Interest Percent of Respondents Direct visits to the websites of the colleges of interest 49% Internet search engines (Google, Bing, etc.) 44 Phone calls to the institutions 34 Printed college guides and other materials 32 Conversations with friends, family 31 Attend an open house/other event 24 College search sites like elearners.com, ClassesUSA, elearnportal.com Attend a virtual open house 18 Live chat on the college website 15 Social media sites (Facebook, LInkedIn, Google+, etc.) 15 18

26 26 Most Important Information from Institution Percent of Respondents Tuition and fees 74% Admission requirements 59 Available degree majors and programs 50 Course schedules 47 Courses included in program curriculum 46 Career options for each degree area 42 Specific course descriptions 37 Financial aid information 36 Application form/instructions 34 Career placement of graduates 30

27 27 Importance of First Contact Did you enroll in the college that got back to you first with the information you requested? All Undergraduate Graduate Yes 43% 40% 49% No I only contacted one college

28 28 Communication After Application What types of communications would you like to get from a college after you submit an application? Percent of Respondents Detailed information about your program 71% Information on financial aid 59 Information about program/enrollment logistics 53 Information about student and academic services 46 A personal welcome from the head of the program you are interested in A welcome message from a student currently enrolled in your program A welcome message from alumni of the program 21 Something else

29 29 Length of Time from Search to Application 4 weeks or less 40% 5-8 weeks 26% 9-12 weeks 3-6 months 12% 14% 7-9 months months More than 12 months 2% 2% 3%

30 30 Length of Time from Application to Classes 4 weeks or less 36% 5-8 weeks 31% 9-12 weeks 3-6 months 13% 15% 7-9 months months More than 12 months 1% 1% 3%

31 31 Preferred Instructional Format Percent of Respondents Tutorial: Students complete a series of learning activities at their own pace, with an instructor available to answer questions and then complete assignments/exams. Independent Study: Students study independently at their own pace, with books and other resources provided by the university and then complete assignments/exams. Instructor-Led: Students complete a series of instructorled learning activities and discussion forums with a class of other students and then complete assignments/exams as scheduled. 37% 34 29

32 Number of Hours of School Work per Week per Course 32

33 33 Engagement Tools Which of the following do you think are the most effective in encouraging online students to engage with each other? Percent of Respondents Posting to online message boards 40% Doing group projects 25 Being assigned a partner in your class 16 Simulations 11 Blogging 7 Something else 1

34 Electronic Course Materials 34

35 35 Total Cost Mean cost per: Mean Undergraduate Price Mean Graduate Price Credit $345 $615 Course $1,120 $1,170 Degree $24,880 $23,800 Certificate/license $4,070 $4,760

36 36 Select Most Inexpensive 56% 44% No Yes 55% 45% Undergraduate Graduate

37 37 Debt Incurred from Online Program I did not incur any debt 16% Less than $5,000 26% $5,001 to $15,000 21% $15,001 to $30,000 14% More than $30,000 20% Prefer not to answer 3%

38 38 Time to Repay Debt Percent of Respondents Less than 1 year 11% 1 to 2 years 20 3 to 4 years 13 5 to 7 years 8 8 to 10 years to 15 years 5 16 to 20 years 5 More than 20 years 10 I did not incur any debt 16

39 39 Key Takeaways Online students are diverse in their preferences, so there is no onesize fits all strategy to serve them.

40 40 Nothing surpasses career preparation as a motivator in attracting students to higher education, and online learning is no exception.

41 41 Affordability is a critical variable.

42 42 A large segment of many college graduates will never set foot inside a classroom.

43 43 Blended programs hold promise.

44 44 Online study leads to online study.

45 45 The program or major drives the selection process.

46 46 Online students preselect their preferred institution of study.

47 47 In online education, everything is local.

48 48 The college or university website is a critical source of information.

49 Online learning is ageless 49

50 50 For More Information Dr. David Clinefelter (502) Carol Aslanian (917)

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