The State of Internet Lead Generation

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1 TM The State of Internet Lead Generation By Cheryl Hentz with Mitch Talenfeld, CEO of MDT Direct and MDT Tracking, Inc. Published by: workforce communications 2012 The Baxandall Company, Inc. 627 Bay Shore Drive, Suite 100 Oshkosh, WI

2 Internet Marketing Reprinted with permission The Baxandall Co., Inc. Published by Workforce Communications The State of Internet Lead Generation By Cheryl Hentz with Mitch Talenfeld, CEO of MDT Direct and MDT Tracking, Inc. This is part of a continuing series on the state of Internet leads for career colleges and universities. Career Education Review: Mitch, we re happy to be talking to you today in what is the first in a series of periodic looks at the state of Internet lead generation, specifically as it relates to the career school sector. What is the current state of lead generation for this sector? Mitch Talenfeld Mitch Talenfeld: Confusing, to say the least. We are in a transition state right now for a multitude of reasons. Schools have always been responsible for the truthfulness and accuracy of the information in their advertising and communications. However, with the expanded definition of misrepresentation under the new Department of Education rules, advertising on the Internet has become much more challenging. CER: That sounds like it could cause a lot of potential problems for schools. MT: Without a doubt. Fifteen years ago this task was much easier as institutions and their advertising agencies had direct control over the content of the ads in publications. We simply designed an ad or produced a commercial and chose the media that best matched the institutions needs. We didn t have to contend with the complexities of the Internet. Today, the vast majority of prospective students go online to do research when considering their educational options. To stay compliant with these strict new rules, institutions are challenged with the responsibility of trying to control almost everything that is being said to potential students about their institutions. One of the To stay compliant with these strict new rules, institutions are challenged with the responsibility of trying to control almost everything that is being said to potential students about their institutions. many problems with this rule is that the Internet is extremely complex and it takes extensive expertise and a plethora of digital tools to even try to manage this process from beginning to end. Just imagine the complexities involved in coordinating hundreds of digital channels leading to thousands of educational portals and Internet

3 16 publishing Web sites that could potentially be seen by your students. CER: Why are things so confusing when it comes to Internet lead generation? MT: The Internet is a vast communications system that changes at the speed of light. Recognizing its complexities and its amazing growth, forward-thinking companies went to work. Approximately ten years ago a new industry Another thing to consider is emerged with a revolutionary payper-lead business the adaption rate of people using Internet enabled mobile model. For the first devices and the complexities time ever, schools surrounding these technologies. were able to control their advertising spend by purchasing student inquiries for a fixed price for each inquiry. The problem with this business model was that school administrators didn t realize what some lead generators were doing to find prospective students interested in their schools. Very little in the process was transparent as many lead generators were very reluctant to share some of their business practices. CER: I understand that some schools are trying to reduce their dependence on third-party lead generators and do the work themselves. Do you think schools can do it as well as the thirdparty lead generators or other companies whose specialty is to generate leads for career colleges? MT: Yes and no. Some institutions have expanded their marketing departments and are doing a very effective job managing their Internet activities. Others really need help from interactive agencies such as ours. However, even those that have built great Internet marketing teams find it necessary and Career Education Review March 2012 advantageous to do business with the Internet directories and information sites that do a good job providing relevant information to consumers. Most schools realize that when students are doing their research, students spend time on these information sites, which give students a better grasp of the educational landscape, financial aid options and future employment trends. CER: For those who are trying to handle their own Internet leads, what kinds of things should they keep in mind? MT: Challenges being faced include the rapid changes we see with the Internet, technology and communication systems. As I mentioned earlier, most prospective students begin their Internet research on Google or on another similar search engine. The algorithms controlling the search engine results students see on their Internet devices seem to change every day. Staying abreast of continual changes in search engine algorithms can be a daunting task. Another thing to consider is the adaption rate of people using Internet enabled mobile devices and the complexities surrounding these technologies. Those schools that developed their Web sites several years ago and have done nothing since are having trouble communicating with prospective students who have trouble loading the institutions sites on their smart phones. Even if students were patient enough to wait for the slow download, they often find it virtually impossible to fill out schools request-for-information forms as the older forms are cumbersome to work with on most of these new mobile devices. The worst part is that many institutions aren t even aware of these issues since mobile may not be on their radar yet.

4 Career Education Review March MDT DIRECT is a full-service advertising and marketing agency based in Fort Lauderdale, Florida that specializes in servicing postsecondary schools and colleges. The company works with more than 300 schools and colleges nationwide, providing them with the tools, services and know-how to improve inquiry volume and convert those inquiries into enrollments. Services include media planning and placement, Internet inquiry management, search engine marketing, Webbased auto dialing and call tracking systems, voice broadcast and messaging, direct mail, printing services, promotional products, and more. MDT s Internet lead management tool, LeadConduit, streamlines the way schools manage prospective student inquiries generated from online advertising, reducing the overall costs and efforts associated with managing online inquiry management. MITCH TALENFELD is CEO of MDT Direct and MDT Tracking, Inc. At the 2011 APSCU Convention, Mitch was named the Outstanding Allied Member of the Year. With more than 30 years of experience in the marketing and advertising industry, Mitch is well known for his ability to plan and execute complex marketing programs. He also serves on the board of directors for the Florida Association of Postsecondary Schools and Colleges and is the co-chairman of the APSCU Student Recruitment Taskforce. Mitch is extremely passionate about his craft and has been awarded the Florida Direct Marketing Association s highest honor the Golden Conch Award for outstanding leadership and achievements in the direct marketing industry. There are few out there who can match Mitch s level of dedication. He can always be found doing some of his favorite things: sharing his expertise by speaking at industry conferences, conducting seminars, writing articles on admissions marketing and advertising, consulting for postsecondary schools and colleges across the country and, of course, having fun on the golf course. Contact Information: Mitch Talenfeld, CEO MDT Direct 805 E. Broward Blvd., Suite 301 Fort Lauderdale, FL Phone: Fax: Web Site: We haven t even discussed social network sites such as Facebook, online video sites and others, which are changing the world as we speak. I think that we all have to accept the reality that it literally takes a village of experts to manage today s advertising, marketing and social media efforts. CER: Knowing that schools, at least for now, still need them, how are lead generators responding to this change in trends? MT: Most companies are becoming more transparent and are doing everything they can to change their internal systems to comply with new regulations balancing their need to protect their proprietary leadgeneration secret sauces and maintain their profitable business model. CER: So things are a long way from perfect, but it sounds like they have improved over the last few years as everyone s become more aware of the rules and, therefore, become more compliant. MT: Yes, things have improved. Today many of the bad apples have been forced out by schools and/or their Most of the education lead vendor partners. vendors are doing their best to Most of the education lead be compliant and transparent vendors are doing as possible as they don t their best to be want to be responsible for compliant and any misrepresentation and transparent as the fallout that could result. possible as they don t want to be responsible for any misrepresentation and the fallout that could result. Some of the vendors using call centers to generate their leads are even giving schools open access to recordings to help schools prove to

5 18 Career Education Review March 2012 regulators that the schools vendors are being compliant. That s a significant change and a trend that is taking place in online education marketing. CER: Do you have any last thoughts? MT: Yes. Although 70 to 80 percent of a school s prospective students do their research about schools online and the vast majority of students request information in an electronic format, in my opinion, some schools are making a strategic error by focusing all of their advertising efforts on the Internet. Reinforcing a school s brand and building student interest through off-line media still has a major impact on the success of an institution. Radio, television, billboards, direct mail and yes, even newspaper, still impact one s market and institutional success. Prospective students may not call as much, but it is those offline advertising efforts that drive prospective students to the Internet. CER: Well, it sounds like there s a lot of work to do yet and with regulations always changing, there will always be a need for companies like yours to help schools sort everything out and be as compliant as the government requires them to be. We ll check back with you later this year to see how things have progressed. In the meantime, thanks so much, Mitch.

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