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College Costs: Establishing a Positive and Constructive Dialogue with the Public

College Costs: Establishing a Positive and Constructive Dialogue with the Public. John Immerwahr Eric Wendler AICUP --April 2009. Background. There has been an increasing volume and negative tone to the debate on the cost of a college education among the public, policy makers, and colleges.

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College Costs: Establishing a Positive and Constructive Dialogue with the Public

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  1. College Costs: Establishing a Positive and Constructive Dialogue with the Public John ImmerwahrEric WendlerAICUP --April 2009

  2. Background • There has been an increasing volume and negative tone to the debate on the cost of a college education among the public, policy makers, and colleges. • A contracting economy is serving only to intensify this.

  3. John Immerwahr Highlight some recent national public opinion data on higher education generally Based on surveys that do not distinguish between public and private higher education Eric Wendler Review findings from focus groups with parents of college students Research focuses specifically on private colleges and universities Research on public receptiveness to messages Today’s Presentation

  4. John ImmerwahrVillanova University & Public Agenda • Collaboration between National Center for Public Policy and Higher Education and Public Agenda (www.publicagenda.org) • Research on higher education, tracking public perceptions since 1993 • Squeeze Play 2009: The Public’s Views on College Costs Today • Recent studies of college presidents (Iron Triangle) and faculty (Campus Commons)

  5. Six Themes in Public Opinion • Growing importance of higher education • Access is threatened • Squeeze play: public caught in the middle • Pressure releasers – why isn’t the public more upset? • The “bloom is off the rose” • Public’s solutions? Do more with less

  6. #1 Growing Importance • College is important • 1993 – 79% • 2003 – 87% • Impossible to succeed without a college degree • 2000 – 31% • 2003 – 37% • 2007 – 50% • 2008 – 55%

  7. High Grades for Higher Ed • 67% -- college worth it, despite high costs • 66% -- higher education teaches students what they need to know (up from 53% in 1998) • 51% -- four year colleges good or excellent, compared to 37% for high school(above: 2007 findings)

  8. #2 Access is Threatened • College costs going up at a faster rate than other things • 2007 – 58% • 2008 – 63% • College costs going up as fast or faster than health care • 2007 – 59% • 2008 – 77%

  9. Many Qualified Students Don’t Have Opportunity • 1993 – 60% (recession) • 1998 – 45% • 2003 – 57% • 2007 – 62% • 2008 – 67%

  10. #3 Squeeze Play:Public Caught in the Middle • 2000 • College essential – 31% • Many can’t go – 47% • 2007 • College essential – 50% • Many can’t go – 62% • 2008 • College essential – 55% • Many can’t go – 67%

  11. #4 Pressure Releasers:Why People aren’t More Panicked • Three dimensions: importance, quality, access • K-12. High importance and access, low quality • Health care. High quality and importance, problems with access • Higher education. Seems like health care but . . .

  12. Anxiety Reducers • 67% -- a student who really wants to go can find a way • 73% -- student who sacrifices will learn more • 72% -- students can learn at 2-year college • 86% -- effort matters more than quality of school. • Higher education Teflon. Dropouts? Public blames student or high school, not college

  13. #5 The Bloom is Off the Rose • Colleges care mostly about education, rather than bottom line • 2007 – 43% • 2008 – 35% • State’s higher education system needs to be completely overhauled • 1993 – 54% • 1998 – 39% • 2007 – 48% • 2008 – 48%

  14. Solutions from the Public?Do More with Less • The Iron Triangle (2008) – College presidents view cost, quality, access in reciprocal relationship • Public not buying it (2008) • 58% -- colleges could take more students without hurting quality or price • 56% -- colleges could spend less money and still maintain quality • Only 48% say students are learning more as a result of increasing prices

  15. Eric WendlerIndependent Research & Communications/Marketing Consultant • Former Vice President of Opinion Research Corporation • Conducting research for private college organizations since 2000 • National surveys of the general public and opinion leaders in 2000 and 2005 for NAICU, with related qualitative research—Private vs. Public college image & issues • Similar work conducted for state-level organizations • In 2008, a nationwide focus group project for NAICU focusing primarily on cost-related issues to guide communications and messaging strategies

  16. The 2008 Messaging Research • A series of focus groups were held around the U.S. with parents of current, recent, or prospective college students in May 2008. • Atlanta • St. Louis • San Diego • Philadelphia • Identified issues of most concern regarding a college education • Assessed current knowledge, opinions, and attitudes about college costs • Explored reactions to nine potential messages from private colleges addressing cost issues • Also re-examined relative perceptions of public vs. private colleges (parallel to national surveys in 2000 and 2005)

  17. Private & Public College Perceptions Private College & University Relative Strengths: The Education Provided • Faculty prestige • Quality of facilities • Promoting spiritual development • Academic reputation • Opportunities for going on to professional or graduate school • Experience-based education through internships, etc. • Individual access to faculty • Personal safety • Likelihood of completing an undergraduate degree on time • Quality of undergraduate education • Preparation for a career

  18. Private & Public College Perceptions Private College & University Relative Weaknesses: Opportunity and Cost • Cost of a four-year degree • Educational opportunities for students from low-income families • Convenient location • Educational opportunities for minority students • Educational opportunities for working adults • Availability of student financial aid • Low levels of student debt Private-Public College & University Parity: Value and Extracurricular Life • Value of education received for the price • Opportunities for extracurricular, institution-sponsored activities • Quality of campus social life These are consistent with findings from our 2005 national survey of the general public.

  19. What About College is Most on Parents’ Minds? • “Cost” • “Tuition” • “Financial Aid” • “Books” $$! What’s #1? • “It’s hard for the middle class” • “Prices keep rising” • “Kids are encouraged to go into debt”

  20. What Are Common Concerns Other Than Cost? Career Preparation Safety Quality Housing Faculty Partying Location

  21. What Are Parents’ Reactions to College Costs? Some combination of: • Understanding • “They have to maintain” • “New technology is needed” • “It’s the bigwigs that get the money” • “…I could trim a whole lot of fat” • Suspicion • “It’s an investment” • “Do all that we can because we want our kids to succeed” • Resignation

  22. What Can Private Colleges Do? • Increase transparency: Provide assurances that tuition is spent well and wisely. • Demonstrate value: Show that a private college education has the outcomes parents & students want—especially a good job. • Help and guide: Help parents & students understand and navigate the admissions and financial aid maze.

  23. Messages Tested and Responses to Them It pays to shop around -- colleges' tuition and the financial aid packages they offer vary widely. We are passionate for: - Access for all students - The quality of the learning environment - Success for students You get what you pay for—a high-quality education costs money. (Revised) A quality education costs—and we will help you pay for it.

  24. Messages Tested and Responses to Them It’s necessary to invest in the future—for students’ and for everyone else’s sake. Students only pay part of the cost of their education—gifts from donors and income from endowments make up the rest. Colleges train the people who will change the world. (Revised) Colleges train people who will change the world.

  25. Messages Tested and Responses to Them Students pay far less than “list” price on average, through the many kinds of student financial aid available. Colleges drive the economy—through their graduates’ higher salaries, by purchasing goods and services, and as major employers. Private colleges save taxpayers money, since they don’t depend on state funds.

  26. Questions, reactions

  27. You Be the Consultant • Right side of room: working for state university. Your job is to craft messages to get students who might be considering independent school to go public. • Left side of room: working for independent college. Craft messages to get students to go to independent school, not state school

  28. Further follow-up • John.immerwahr@villanova.edu • ewendler@comcast.net

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