Market DiversificationStrategies and Risks

Pamela Barrett

CEO & Director, Barton Carlyle

Interim Director, Global Engagement

University of London International Programmes

©All material strictly copyright Barton Carlyle 2015

What’s the Problem?1

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Source: Parthenon Group 2014, using UNESCO datahttp://www.parthenon.com/parthenon_proj/

Global Student Mobility Student Flows: SouthEast Asia Student Flows: China

GLOBAL STUDENT MOBILITY

GLOBAL STUDENT MOBILITY

Source: British Council (2015)Infographic at: http://mobility.britishcouncil.kiln.it/

China → UK84,790 students in 2013

Student Mobility into the UK

GLOBAL STUDENT MOBILITY

274,439 students from China in the USA account for 31% of total international students in that country

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1

International Education contributes $16.3 billion to the Australian economy (2013-14). It is the country’s largest services export. South East Asia remains the largest single source market (TNE and direct student recruitment)

2

UK market share has declined, dependence on China remains a feature3

Consider: China as competitor (TNE and inflow recruitment from region) as well as largest single source of supply 4

Why it matters

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https://www.insidehighered.com/news/2015/09/11/will-china-slowdown-stall-growth-

international-students

https://www.insiehighered.com/news/2015/09/11/will-china

-slowdown-stall-growt

h-international-

students

See: www.economist.comAlso: https://www.insidehighered.com/news/2015/09/11/will-china-slowdown-stall-growth-international-students

Market Dependence: Issues

Over-reliance on single sources creates concerns

Financial dependence a major issue

Competition intensifying can have a disproportionate impact

Need to calculate market share and cost of recruitment carefully

Reputation/branding perceptions important

Understanding student choice (gauging response in market)

Retention takes on more significance

Student satisfaction and student outcomes increasingly important

Measuring effectiveness of recruitment essential

Monitoring impact of change through ongoing market research

Manage and maintain positive agent/mediator/govt relationships well

Impact

Adapted from KPMG sources © Barton Carlyle 2015

What can we do?

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INTERNAL DYNAMICSNeed for coherence with institutional strategy, effort

12/09/2015

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ICEF Glasgow

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Diverse and relevant programme portfolio and delivery modes2

Faculty/Academic Staff Engagement3

Appropriate budget/resourcing

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5 Focus on delivering excellent processes for retention throughout the student lifecycle

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MARKET SCANNING

GOOD Practice

Use effective market research, market intelligence and scanning1

Use student choice research2

Consider scaleability vs niche activity3

Use insight as well as data4

So what?

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Market Development

Market Penetration

Product Development

Market Development

Diversification

Present

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arke

ts

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Questions?

Pamela Barrett, Director Barton CarlyleE: pamela@bartoncarlyle.comT: (44) 7788 600 388www.bartoncarlyle.com

THANKS

For your participation!