Why So Many Colleges Advertise for Students

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Colleges are now more like businesses, and they need to fill their seats to stay afloat. In fact, the average cost of tuition has increased by 27% over the past decade.

Advertising for students is a key strategy to attract new students and fill those seats. According to the National Center for Education Statistics, over 90% of colleges and universities now have an online presence, including social media and websites.

Colleges are competing for students, and they're using every tool in the book to get their attention. In fact, a recent survey found that 75% of colleges use social media to recruit students.

Many colleges are struggling to balance their budgets, and advertising for students is a way to bring in much-needed revenue. The cost of tuition has increased by 27% over the past decade, making it harder for students to afford college.

Why Colleges Advertise

Colleges advertise because they have a unique marketing advantage. This is especially true for campus advertising campaigns that allow them to target their marketing efforts geographically.

Credit: youtube.com, REVA UNIVERSITY TV Commercial (TVC)

College students are a captive audience, living, learning, working, eating, shopping, and socializing within a limited area. Strategically placed ads concentrate the campaign on the intended viewers and generate repeat exposure.

The growth of college advertising is a significant trend, with spending increasing dramatically over the early 2000s and peaking around $1.2 billion in 2013 before declining in recent years.

TV advertising makes up the largest share of ad spending, with internet advertising growing to 16% by 2017. Print declined to 7%, mirroring the general decline in ad expenditures in newspapers and magazines in the 2000s.

The 18–24-year-old demographic is one of the most important audiences for higher education marketers today. This age group forms lasting opinions about the institutions they trust, influencing enrollment, alumni engagement, word-of-mouth referrals, and long-term brand loyalty.

Gen Z is digitally fluent, spending an average of four hours per day online, much of it on platforms like TikTok, YouTube, and Instagram. If your campaign doesn't speak their language, it likely won't even register.

Gen Z is highly influenced by their peers, with 44% making purchasing or participation decisions based on influencer recommendations, not traditional ads. If students don't see your message reflected in the voices and platforms they already trust, you're missing out.

Marketing higher education is more important now than ever, with a steep ongoing decline in enrollment and rising competition from online education programs and alternative postsecondary offerings.

Types of Advertising

Credit: youtube.com, How Much Do Universities Spend on Advertising?

Colleges use various types of advertising to attract students. One common type is print advertising, which involves placing ads in newspapers and magazines. This type of advertising is often used to reach a specific demographic.

Online advertising is another popular type, with colleges using social media platforms and websites to reach a wider audience. According to the article, social media platforms such as Facebook and Instagram are particularly effective for reaching students. In fact, the article notes that 75% of students use social media to research colleges.

Direct mail advertising is also used by colleges, with many sending targeted mailers to prospective students. This type of advertising allows colleges to tailor their message to specific groups of students. The article notes that direct mail advertising can be an effective way to reach students who are already considering a college.

Top 10 HE Advertisers, 2017

For-profit colleges dominated the advertising landscape in 2017, with an average ad spend of $1.25 million, far outpacing nonprofits and public institutions.

Billboard
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Their advertising budgets were also significantly higher on a per-student basis, with an average of $371 spent per student.

Multi-campus chains were the biggest spenders overall, with an average ad spend of $2.7 million, and spent $430 per student on average.

Online institutions, which accounted for 65 institutions in the study, had high overall ad spending but lower per-student spending, averaging $90 per student.

The largest institutions, with enrollment of 5,000 or more, spent the most overall, averaging $650,000 in ad spend, but spent less per student, averaging $28.

Here are the top 10 HE advertisers of 2017:

These institutions were the biggest spenders in the higher education advertising landscape, and their advertising budgets were a significant portion of their overall expenditures.

For-Profit Exceptionalism

For-profit institutions have a unique approach to advertising, spending significantly more on ads than other types of colleges. In 2017, for-profit colleges spent an average of $1.25 million on advertising, compared to $273,000 for nonprofits and $171,000 for public institutions.

Three college students walking together on a green campus lawn, carrying backpacks and textbooks, enjoying a sunny day.
Credit: pexels.com, Three college students walking together on a green campus lawn, carrying backpacks and textbooks, enjoying a sunny day.

Their advertising budgets are not just larger in absolute terms, but also in relation to the number of students they serve. For-profit colleges spent an average of $371 per student on advertising, while nonprofits spent just $48 per student and public institutions spent $14 per student.

This high level of advertising spending has sparked debate about whether for-profit institutions prioritize enrollment and profit over student success. In fact, for-profit institutions account for 43% of student services expenses reported by for-profit institutions, compared to less than 2% for all other sectors.

To better understand the relationship between for-profit status and advertising spending, researchers ran regressions that controlled for other factors such as institution size and online status. The results showed that for-profit institutions spend significantly more on advertising per student, even after controlling for these factors.

Here's a breakdown of the average advertising spending per student for different types of institutions:

These findings suggest that for-profit institutions have a distinct approach to advertising, one that is driven by their business model and priorities. As policymakers consider regulations and oversight for for-profit institutions, it's essential to consider these differences and how they impact student outcomes.

Advertising Strategies

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Advertising Strategies can be a game-changer for colleges looking to reach students. On-campus advertising still holds power, especially when promoting local events or building community awareness.

Making it modern, visible, and relevant is key. Utilize mobile-first, interactive, and values-aligned content to grab students' attention. This approach yields higher response rates, especially when combined with short-form video and tailored messaging.

Asking professors to announce events in relevant classes can also be a great way to spread the word. Additionally, leveraging campus infrastructure such as the school's app, email newsletter, events calendar, and push notifications can help get the message across.

Business Communications Follow Funding

Community colleges are now using a combination of calls, texts, and emails to reach potential students. This approach has shown to be more effective than relying on billboards and drone displays alone.

Diane Walleser, acting CEO at Interact Communications, notes that individualized approaches tend to have a clearer impact on enrollment. These efforts include hiring outreach staff and running in-person events at high schools, food banks, and other gathering places.

Two happy college students with raised hands posing in front of a glass building, exuding joy and friendship.
Credit: pexels.com, Two happy college students with raised hands posing in front of a glass building, exuding joy and friendship.

The Los Rios Community College District hired 50 people to canvas the county and recruit students, and launched a comprehensive call center to answer questions from students. This center helps reach out directly to those who showed an intent to enroll but never did.

Oleg Bespalov, Moorpark College’s dean of institutional effectiveness, conducted an experiment with his school’s call center and found that people who did not receive a call were just as likely to enroll as those who did. However, texting people and letting them respond to questions via text did show a statistically significant difference in the number of people who enrolled.

For-profit colleges have already perfected the practice of next-day enrollment, responding to students within five to 10 minutes. They offer many flexible courses and make it easy to apply and enroll, which is especially appealing to older and working adults.

Leverage Campus Resources

Campus advertising campaigns allow you to target your marketing efforts geographically, making it easier to reach your intended audience.

Credit: youtube.com, WWWC19: How to Better Leverage Library Resources for Marketing Success

College students are a captive audience, living, learning, working, eating, shopping, and socializing within a limited area, making strategically placed ads more effective.

To effectively market to students, utilize mobile-first, interactive, and values-aligned content, focusing on authenticity, relevance, and peer-driven engagement.

Short-form video and tailored messaging yield the highest response, making it a great way to promote student events.

Being visible where students live and study helps keep your message top-of-mind, making traditional channels like campus bulletin boards and posters in dorms or the student union still valuable.

Student-run newspapers, newsletters, and radio stations offer trusted, student-authored spaces to advertise, ensuring your message lands where students are already tuned in.

Ask professors to announce the event in relevant classes, and use the school's app, email newsletter, events calendar, and even push notifications if available to reach students.

A well-placed promo video from a student government leader can go a long way in promoting your event.

Check this out: Unexpected Events

Targeting and Personalization

Credit: youtube.com, Smart Marketing: The Power of Personalization and Targeting in Today's World

Colleges are now using digital tools to tailor their messages to specific groups of students, such as computer science majors or students living on campus.

This approach, known as geotargeted ads, ensures that outreach efforts hit the right audience at the right time. For instance, promoting a coding event to computer science majors is a great way to engage with students who are already interested in that field.

You can also rely more on your proprietary data for ad targeting, as exact match keywords are no longer exact and daily budgets can be doubled. This means that colleges need to be prepared to have less access to tactical data from ad networks.

A data-driven digital marketing strategy allows colleges to personalize each advertising campaign to their desired target audience. This means they can edit, pivot, and extend their campaigns as needed to ensure maximum impact.

For your interest: Website Ad Revenue

Media Channels

On-campus media channels are a great way to reach students. Traditional channels like campus bulletin boards, posters in dorms or the student union, and campus newspaper ads still have value.

Credit: youtube.com, Colleges spend big on marketing; so how do you know what they really offer?

Physical presence is key, especially for promoting campus events. Being visible where students live and study helps keep your message top-of-mind.

Digital signage, like screens around campus displaying announcements, can be an effective modern twist. It's a great way to grab students' attention.

QR codes on posters that students can scan for more info or to RSVP are another modern twist. They make it easy for students to engage with your message.

Take a look at this: Modern Drachma

Digital Advertising

Digital advertising has become a crucial aspect of college marketing, with institutions spending millions of dollars on targeted ads to reach potential students. For-profit colleges, in particular, lead the pack, spending an average of $1.25 million on advertising in 2017, compared to $273,000 for non-profits and $171,000 for public institutions.

Social media platforms like TikTok, Instagram, and Snapchat are where students spend a significant portion of their time, making them essential channels for college marketing. In fact, two-thirds of teenagers use TikTok, making it a vital recruiting tool for colleges. Paid advertising and organic content on these platforms can yield high engagement.

Credit: youtube.com, Why am I seeing college ads online?

The benefits of digital advertising in higher education are numerous, including increased brand awareness, lead generation, and conversion rates. According to Google's data, responsive ads can drive 10% more conversions at a similar cost per action (CPA) compared to traditional ads.

Institutional averages show that for-profit colleges spend significantly more on advertising than non-profits and public institutions, with an average of $371 spent per student. In contrast, non-profits spend an average of $48 per student, and public institutions spend just $14 per student.

Here's a breakdown of the average ad spending by institution type:

| Institution Type | Mean Ad Spending ($000s) | Mean Ad Spending per Student ($)

| --- | --- | --- |

| For-profit | $1,250 | $371

| --- | --- | --- |

| Non-profit | $273 | $48

| --- | --- | --- |

| Public | $171 | $14

| --- | --- | --- |

Digital tools now allow colleges to tailor messages by interest, location, or academic background, ensuring that their outreach hits the right audience at the right time. Personalized, geotargeted ads can be particularly effective in reaching students who are actively searching for information about colleges.

| --- | --- | --- |

A different take: Dave Mccormick Ad

Influencers and Content

Credit: youtube.com, LECTURE 6: Social Media INFLUENCERS for Universities and Colleges – #highereducation #highered

Influencers and content play a significant role in college advertising. Partnering with student organizations and influencers can amplify a message, especially among peers.

Peer influence is powerful, with 27% of prospective teen students citing YouTube videos as a major influence in making an enrollment decision. This is a key reason why YouTube is a crucial platform for content marketing.

To effectively market to college students, utilize mobile-first, interactive, and values-aligned content that focuses on authenticity, relevance, and peer-driven engagement. Short-form video and tailored messaging yield the highest response, making it a must-have for any college advertising strategy.

Discover more: Peer Lending India

Student Organizations and Influencers

Partnering with student organizations and influencers can be a game-changer for reaching your target audience. Peer influence is powerful, and by tapping into this, you can amplify your message and promote your brand authentically.

Student organizations, clubs, and Greek life groups can be valuable partners in this effort. By engaging with these groups, you can surround students with your message in multiple contexts, including online, in class, around campus, and on their phones.

Credit: youtube.com, The New Era of Influencers: College Students

John Cabot University in Rome, Italy has a robust student ambassador program that showcases the effectiveness of this approach. Current students are heavily involved in orientation, campus tours, event planning, and peer mentoring, serving as friendly points of contact for prospects.

By featuring profiles and contact info for each ambassador on their website, JCU portrays an approachable and relatable face to prospective students, making them more likely to engage with the brand.

Use YouTube for content

Using YouTube for content marketing is a smart move, especially in 2023. A recent study shows that 27% of prospective teen students cited YouTube videos as a major influence in making an enrollment decision.

To extend your brand awareness, increase SEO performance, and support other digital marketing campaigns, YouTube is a must-include. It's a chance to meet consumers where they are.

Short-form video content yields the highest response, so keep your videos concise and engaging. Utilize mobile-first, interactive, and values-aligned content to resonate with your audience.

Crop college student using laptop in park
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You can use YouTube to host live virtual campus tours, like Randolph-Macon Academy, and reach prospective families worldwide. This can effectively extend the open-house experience beyond geographic limits.

By embracing YouTube for content marketing, you can reach a large audience and make a lasting impression. It's a valuable addition to your marketing efforts.

Effective Advertising

College advertising campaigns have a unique marketing advantage, allowing you to target your efforts geographically and reach a captive audience of students living, learning, and socializing within a limited area.

Campus advertising campaigns can generate repeat exposure by strategically placing ads in areas where students spend most of their time.

To market to 18-24-year-olds effectively, utilize mobile-first, interactive, and values-aligned content that focuses on authenticity, relevance, and peer-driven engagement.

Short-form video and tailored messaging yield the highest response rates when promoting student events and activities.

With nearly 95% of adults aged 18-34 following brands through social networks, colleges and universities must quickly engage with new and existing social media platforms to effectively reach their marketing goals.

Digital advertising offers higher conversion rates compared to traditional advertising, allowing prospects to instantly engage with a call to action and access more information.

A robust digital advertising component is crucial for achieving marketing goals in higher education, offering a next step of value that traditional advertising can't match.

On a similar theme: Reach Plc

Measuring Success

Credit: youtube.com, In Measuring Student Success, Grit Weighs More

With digital advertising, higher education marketers can track every step of their campaign in real-time, making it easy to know if it's working.

This level of transparency allows for experimentation and adjustment on the fly, giving marketers the power to make data-driven decisions.

Digital advertising metrics provide a clear picture of campaign performance, so there's no need to wonder if a campaign is successful or not.

Table 4: Regression Analyses of College Ad Spending

When analyzing college ad spending, it's clear that for-profit institutions have a significant edge. For-profit colleges spend an average of $1.2 million more on advertising than public colleges, and nearly $300 more per student.

A regression analysis of college ad spending per student and sector reveals some interesting findings. Table 4 shows the results of this analysis, which controlled for various institutional characteristics such as level, chain, enrollment, and online status.

The data shows that for-profit colleges outspend public colleges by $1.2 million, and by nearly $300 per student, even after controlling for these factors. This suggests that the for-profit business model may be at least partially responsible for advertising behavior.

Credit: youtube.com, Excel Multiple Regression

Nonprofit colleges also spend more on advertising than public colleges, but the difference is much more modest. They spend about $326,000 more overall, and $53 more per student.

Here are the key findings from Table 4:

These findings suggest that for-profit colleges are more aggressive in their advertising efforts, which may be a key factor in their ability to attract students.

Trackable and Modifiable

With digital advertising, you can track the success of your campaigns in real-time. This means you can see how many people are engaging with your ads, how many are clicking through, and how many are converting into leads or enrollments.

You can also make changes to your campaigns on the fly, based on what you're seeing in the metrics. For example, if you're running a campaign on TikTok and you notice that it's not performing as well as you expected, you can adjust your targeting or ad creative to better resonate with your audience.

Explore further: Levelup Campaigns

Marketing Posters and Ads On Wall
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One study found that Gen Zers spend an average of four hours per day online, making it easy to track their engagement with your ads. By monitoring your metrics, you can see how your campaigns are performing and make adjustments to optimize their success.

The ability to track and modify your campaigns is a game-changer for higher education marketers. It allows you to experiment with different strategies and see what works best for your institution.

Benefits and Results

Using responsive ads can give you a boost in conversions. According to Google's data, advertisers see 10% more conversions at a similar cost per action (CPA) when using multiple headlines, descriptions, and images with responsive display ads.

It's not just about the numbers, though - using responsive ads can also help you reach a wider audience. By incorporating multiple ad units, you can drive more leads and increase conversion rates.

For another approach, see: Enterprise Value-ebitda Multiple

Essential for Colleges and Universities

Two college students sitting on steps outdoors studying together in natural light.
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Marketing is crucial for colleges and universities to attract students and build brand loyalty. The college years are prime time for businesses and brands to get in on the ground floor and create connections with potential customers.

According to Google's data, responsive ads can increase conversions by 10% at a similar cost per action (CPA). This makes responsive ad units a valuable tool for higher education communicators to drive leads and increase conversion rates.

Campus advertising reaches college students at a pivotal point in their development as consumers, making it an ideal time for businesses to target this demographic. As college students take their first steps into true adulthood, they become responsible for meeting more of their own needs and have growing consumer demands.

The weekly median earnings of young adults with a bachelor's degree are about 68% higher than those with only a high school diploma. This means that companies that advertise to students are a step ahead of the rest and can create connections with potential customers at a critical point in their lives.

Two professional women having a handshake in an office setting, focusing on recruitment and connection.
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Here are some key statistics on the importance of marketing to college students:

  • 44% of Gen Zers make purchasing or participation decisions based on influencer recommendations, not traditional ads.
  • College students spend an average of four hours per day online, making digital marketing a crucial channel for reaching this demographic.
  • The college years are a prime time for businesses to get in on the ground floor and create connections with potential customers.

By leveraging digital platforms and creating campaigns that feel native to the college student's world, institutions can build trust and attract attention. This is especially important for colleges and universities, which are competing for students in a crowded and competitive market.

Conclusions and Implications

For-profit colleges spend a disproportionate amount of money on advertising, accounting for 40% of ad spending while educating only 6% of students.

They outspend nonprofits 4 to 1 and publics 20 to 1 on a per-student basis, with a difference of $1.2 million per institution and $280 per student.

The high spending on advertising is likely an underestimate, as it only accounts for commercial advertising expenditures in the 100 largest media markets and excludes other forms of recruitment and marketing.

In fact, spending on commercial advertising comprises about 43% of reported expenditures on student services for for-profits in IPEDS data and up to 85% for some of the highest spending for-profit institutions.

Two male college students walk on a sunny campus day holding textbooks and backpacks.
Credit: pexels.com, Two male college students walk on a sunny campus day holding textbooks and backpacks.

The recent settlements of false advertising cases against high-profile for-profit institutions suggest the need for increased scrutiny of ad content and mechanisms for student reporting of misleading advertising.

Studies have shown that students attending for-profit colleges often experience negligible earnings gains, disappointing employment outcomes, high default rates, and large debt incurred.

Policymakers should push for further oversight of the sector, including enforcing existing laws prohibiting misrepresentation in college advertising and enhancing transparency and accountability in the for-profit sector.

See what others are reading: Sp 500 Companies by Sector

Advanced Advertising

College advertising campaigns offer a unique marketing advantage, allowing you to target your efforts geographically.

College students are a captive audience, living, learning, working, eating, shopping, and socializing within a limited area.

This concentrated environment enables strategically placed ads to generate repeat exposure to your intended viewers.

Campus advertising campaigns can be incredibly effective, especially when you consider that students are exposed to these ads multiple times a day.

Brand Awareness and Conversion

Digital marketing offers a powerful way to amplify your brand, especially in today's post-pandemic landscape where online learning is increasingly in demand. This allows you to tell your institution's story to a wider audience with just a click of a button.

Credit: youtube.com, College marketing Campaigns to Boost your Brand Awareness with Students

Digital marketing can help you achieve brand awareness, enrollment, lead generation, and audience expansion. The potential for digital advertising is greater than ever.

Higher education institutions can now offer a next step of value to prospects, which is a significant advantage over traditional advertising. This can lead to higher conversion rates.

By using digital video, social media ads, or banner ads, you can instantly engage prospects with a call to action and provide them with more information.

Take a look at this: B to B Lead Generation

Alternative Advertising

Colleges are turning to alternative advertising methods to reach potential students.

Social media platforms have become a key tool for colleges to promote themselves and attract students. According to the article, 75% of colleges are now using social media to reach students.

Influencer marketing is another alternative advertising method colleges are using. The article mentions that 40% of colleges are partnering with influencers to promote their brand.

Online advertising is also on the rise, with 60% of colleges using targeted online ads to reach students. This is a significant increase from just a few years ago.

Credit: youtube.com, Life as an Advertising Student at Gaylord College

Colleges are also using alternative advertising methods to target specific groups of students. For example, the article notes that 25% of colleges are using online ads to target students who are likely to be interested in their programs.

Overall, colleges are getting creative with their advertising efforts to stand out in a crowded market.

Here's an interesting read: ATM Burglaries Using Explosives

Frequently Asked Questions

How much do colleges pay for advertising?

Colleges are spending $1-2 million per month on digital advertising campaigns to attract students. This significant investment highlights the competitive landscape of higher education marketing.

Teri Little

Writer

Teri Little is a seasoned writer with a passion for delivering insightful and engaging content to readers worldwide. With a keen eye for detail and a knack for storytelling, Teri has established herself as a trusted voice in the realm of financial markets news. Her articles have been featured in various publications, offering readers a unique perspective on market trends, economic analysis, and industry insights.

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