Imagine skyrocketing to become the sixth fastest-growing online college in the country without ever discussing revenue. It might sound improbable, but that’s exactly what we accomplished with our online university client over a transformative 6+ year journey. This wasn’t just about boosting enrollment; it was about driving substantial organizational growth alongside it.
In this blog, we’ll uncover the unconventional strategies that drove this phenomenal growth and how you can apply them to your own institution. Let’s dive into how focusing on metrics that matter – rather than the bottom line – can help you crack the ROI code in higher education marketing.
Proving return on investment (ROI) in higher education marketing can be like trying to find a needle in a haystack. The paths to enrollment are winding, and the metrics are often elusive. But understanding and measuring what truly matters is crucial for CMOs and VPs of Marketing aiming to maximize their marketing efforts and demonstrate tangible results.
ROI measures the gain or loss generated on an investment relative to the amount of money invested. In the context of higher education marketing, ROI or return on marketing investment (ROMI) focuses on the effectiveness of marketing efforts in attracting and converting prospective students.
However, this can be particularly challenging in an industry where the traditional focus on revenue isn’t always applicable or desirable. Unlike businesses that thrive on showcasing their financial returns, public institutions, in particular, shy away from discussing revenue due to their reliance on donations, grants, and public funding, often highlighting their educational impact instead. Tuition fees can also vary significantly from student to student based on scholarships, grants, and other factors, making it difficult to present a consistent financial picture.
Additionally, similar to some of the challenges in typical B2B and other high-dollar value purchases marketing, higher education faces some other hurdles:
The decision to pursue higher education is not made overnight. It often takes years for prospective students to reach the point where they are ready to apply. This prolonged decision-making process presents a significant challenge for marketers.
The key is to start priming your audience well in advance and breaking into their consideration set early on. Chances are around 95% of your target audience is not ready to apply for a degree program, and a substantial portion of that audience may never apply. However, when the time comes for them to make a decision, they will already have a shortlist of universities to consider and you’ll want to be on that list.
Here’s the secret: the marketing funnel isn’t real for complex purchases. There is no linear pathway for pursuing a degree because as we mentioned, the decision-making process can take years.
We found when launching over 60 college programs, most journeys lasted 2-3 years but all started with some inflection point in a prospective student’s life that you have no control over. For example, prospective students might decide to pursue a degree after being passed over for a promotion, having a child, or experiencing a significant life change. This means that higher education marketers must invest in long-term relationship-building efforts, ensuring that their institution is top of mind when these things occur.
It’s difficult if not impossible for any industry to fully measure attribution but even more so in higher ed due to the extended and multifaceted nature of the student journey. All students are different and many programs are different, leading to a need to break down success metrics into steps while also staying the course of the bigger picture: creating a brand worth investing in.
Because of these challenges, the key is to measure and benchmark the pathway from lead to application to enrollment. This approach allows you to sidestep the variable nature of tuition and concentrate on more measurable growth metrics. By doing so, you can maintain a clear focus on growing your student base and optimizing your marketing strategies.
So if we’re not talking revenue, what are we talking? It’s essential to recognize that significant marketing investments in higher education often yield long-term rather than short-term returns. To make a meaningful impact, you need to be on students’ shortlists when they eventually enter the consideration phase.
Let’s consider the timeline for launching a new degree program. Analyzing data over several years, we found it takes approximately 9-12 months for the media mix of a new program to achieve the efficiency and effectiveness of more established programs in terms of lead conversion rates and costs. Application and enrollment rates take even longer to show improvement. This delay is because building awareness and consideration for new programs takes time. The individuals you market to today might convert next year or even the year after.
So, what does this mean for your marketing strategy?
Instead of immediate revenue, focus on defining and measuring marketing success for colleges through ROMI from awareness and consideration to post-conversion. Here are key metrics to consider:
Looking at ROI by individual marketing tactic provides only a partial view of your overall success and should be approached with caution. While it’s useful to evaluate the effectiveness of specific campaigns or channels, focusing solely on short-term metrics can be misleading. Instead, mature marketing leaders assess the broader impact of their efforts through long-term changes in ROMI and brand affinity. This approach provides a more comprehensive understanding of how well your strategies are performing and their true value in driving sustainable growth and engagement.
See how we helped UC Online become the sixth-fastest-growing online institution in the country.
To effectively track and measure these metrics, establish a regular cadence for reporting and analysis:
By emphasizing these metrics and maintaining a consistent approach to your marketing efforts, you can navigate the complex landscape of higher education marketing and achieve measurable success.
At Oodle, our commitment to custom solutions is the cornerstone of our success in higher education marketing. Our university clients have experienced exceptional growth by prioritizing the right metrics – focusing on enrollments, building brand awareness, and committing to long-term strategies. This approach has set them apart from the one-size-fits-all models often seen with online program managers (OPM), delivering tailored, impactful results.
For any institution looking to replicate this success, the message is clear: focus on the metrics that matter, and growth will follow. Oodle’s unique, customized approach to higher education marketing ROI ensures that each client’s specific needs and organizational challenges are addressed. Explore our Grow™ solution to learn more about how we can help you implement these strategies and drive enrollment growth for your institution.
