Measuring Return on Investment in International Student Recruitment

1. Measuring Return on Investment in International Student Recruitment Measuring ROI in International Recruitment | cheryl@USjournal.com Cheryl Darrup-Boychuck Owner and Chief International Education Officer USjournal.com, LLC cheryl@USjournal.com

2. Brief History of International Student Recruitment Then: No need for metrics How can you possibly measure the value of international students on campus, with dollar signs? Now: Show me the numbers Deans of Admission have morphed into Vice Presidents of Enrollment Management Soon: More “stealth applicants” Increasingly, your first contact with a prospective student is their online application. Measuring ROI in International Recruitment | cheryl@USjournal.com

3. “Stealth” Applicants • Students applying without prior contact • Introduced into database as “applicant” • Traditional enrollment funnel dissolving • Accept lack of complete control of your institutional message Measuring ROI in International Recruitment | cheryl@USjournal.com

4. “International Enrollment Management” Nurture Connections with • Domestic Admissions • Particular Academic Departments • Alumni and Development Office • Current International Students • Senior International Officers Identify Recruitment Strategy • Target particular countries and language markets • Incentives for countries not currently represented Measuring ROI in International Recruitment | cheryl@USjournal.com

5. “International Enrollment Management” Resource Management • Manage limited resources • Define metrics and collect data • Analyze the costs and benefits of specific initiatives • Measure Return on Investment Deliberate and Intentional Approach • Integrated effort to maximize impact ROI Metrics potentiate IEM Measuring ROI in International Recruitment | cheryl@USjournal.com

6. Initial Investment vs Subsequent Profits Recruiting Expenses vs Profits, where Profits = Tuition – Cost of Instruction + Expected Donations Flaw: Tuition < Cost of Instruction, so Profits are usually negative Studying ROI:Corporate World vs Higher Education Measuring ROI in International Recruitment | cheryl@USjournal.com

7. Simple ROI Formula -- Cost of Recruitment + Tuition and Fees Generated ----------------------------------------- Return on Investment Measuring ROI in International Recruitment | cheryl@USjournal.com

8. Marketing Cost per Student MCPSi = Emt / St MCPSd = Emt / St Emt = Total marketing expense in time period “t” St = Total students enrolled in time period “t” Measuring ROI in International Recruitment | cheryl@USjournal.com

9. Average cost per enrolled student, based on domestic recruitment (2008) $2,895 = Private institutions $2,366 = Overall average $1,002 = Public institutions NACAC Admission Trends Survey

10. Cost Applicant $ 578. Admitted $ 836. Enrolled $2,366. Domestic Admissions Yield Measuring ROI in International Recruitment | cheryl@USjournal.com

11. Measuring ROI in International Recruitment | cheryl@USjournal.com

12. Measuring ROI in International Recruitment | cheryl@USjournal.com

13. CPL = TAC / TLG CPL = Cost per Lead TAC = Total Advertising Cost TLG = Total Leads Generated Cost per Lead Measuring ROI in International Recruitment | cheryl@USjournal.com

14. -- Cost of Developing a Relationship -- Commissions Paid + Student(s) Tuition + Student(s) Fees -------------------------------------------------------- Return on Investment Skipping the relationship part may result in very negative consequences. Engaging Agents: Initial costs must be greater than zero Measuring ROI in International Recruitment | cheryl@USjournal.com

15. Gm = SI / SL Gm = % market Growth SI = Student increase this year SL = Student increase last year Market Growth Measuring ROI in International Recruitment | cheryl@USjournal.com

16. Rmi = Ri / ΣRt Rmi = Revenue contribution for “i” Ri = Revenue from segment “i” ΣRt = Revenue from all segments Revenue Contribution Measuring ROI in International Recruitment | cheryl@USjournal.com

17. Multivariate Likelihood Function to Predict Customer Behavior Measuring ROI in International Recruitment | cheryl@USjournal.com

19. Next Steps • Collaborate with Domestic Admissions • Define consistent parameters • Recognize the complexity of international student recruitment, along with its quantifiably elusive factors • Compare initial investment with revenue generated from that initiative • MCPS = Emt / St • CPL = TAC / TLG Measuring ROI in International Recruitment | cheryl@USjournal.com

20. Better ROI Metrics Decide which metrics are appropriate, and include specific parameters for each Establish long-term policies for tracking and reporting Always be prepared to present your data, but insist on annual meetings with those who hold the purse strings Measuring ROI in International Recruitment | cheryl@USjournal.com

21. Measuring Return on Investment in International Student Recruitment Measuring ROI in International Recruitment | cheryl@USjournal.com Cheryl Darrup-Boychuck Owner and Chief International Education Officer USjournal.com, LLC cheryl@USjournal.com