by Heli Frazier
The rapid growth of online programs has resulted in a crowded master’s marketplace where institutions compete on their ability to stand out in a sea of options. According to recent research from Eduventures®, the number of graduate programs increased by +39% from Fall 2013 to Fall 2022, representing more than twice the rate of graduate enrollment.1
In addition to the market becoming more crowded, the master’s degree continues to face volatility. The recent Eduventures 2024 Masters Market Update outlines the challenges of the current master’s degree market, driven by slowing population growth for the master’s age cohorts, potential ROI erosion and falling enrollment rate.2
So how can universities cut through the noise in the increasingly competitive master’s degree marketplace?
A Crowded Online Master’s Marketplace: A New Challenge for Universities
In a saturated online education market, students are faced with more choices than ever. They no longer simply choose between local institutions; they can compare programs from universities across the country, and even globally.
In this increasingly competitive environment, many institutions are struggling to stand out in an overcrowded marketplace. The challenge lies in convincing prospective students that these programs offer something different—something more valuable than what competitors provide.
This is where differentiation comes into play. Universities must therefore carefully craft their degree offering and articulate unique value propositions if they want to attract and retain students. Anchoring the degree’s value proposition in the student benefits that align with student expectations becomes the critical component for success.
What Do Today’s Prospective Master’s Students Want?
According to Eduventures 2024 Adult Prospect ResearchTM Report, students are focused on career alignment, affordability of the degree and salary increase as the top expectations for pursuing a master’s degree.3
Students seek programs that align with their career goals, whether for advancement in their current field or transitioning to a new one. Affordability is another key factor, as many students are cautious about accumulating debt and closely evaluate the return on investment (ROI). Salary increase remains a powerful motivator, as students expect their degree to lead to higher earnings, either through promotions or new job opportunities.
The Power of Differentiation
For universities, a strong brand builds trust, credibility, and loyalty – and while a strong brand sets the foundation, differentiation is what allows universities to stand apart. The challenge is that many online programs offer similar curricula, delivery methods, and degree outcomes. Without clear points of differentiation, institutions risk being viewed as interchangeable, which often leads to price wars and commoditization.
Universities must focus on what makes their online programs unique. Differentiation can take many forms:
- Specialized Programs: Institutions can offer niche programs that cater to specific industries, career paths, or emerging fields.
- Skills Based Learning: As Fortune 500 companies, technology sector and state agencies continue to move away from degree requirements and into skills-based hiring, universities need to ensure that their curriculum meets the continuously evolving needs of employers. By conducting regular market research on the skills that employers are requiring in their new hires, universities can ensure alignment with prospective students’ expectation in graduate degrees to propel career advancement.
- Technology and Learning Experience: Universities that invest in innovative learning technologies—such as AI-powered tutoring, virtual labs, or gamified learning—can differentiate by providing a more engaging and effective online learning experience. Emphasizing how these technologies enhance student success can set an institution apart from competitors with more traditional approaches.
- Resume Building Practical Application: Universities need to highlight how their graduate programs help build resume boosting experiences in concrete ways and advance their careers.
- Student Support Services: A critical aspect of online education is the support provided to students, from enrollment to graduation. Universities that differentiate by offering personalized advising, robust career services, and dedicated faculty mentorship can create a compelling value proposition for prospective students who may be wary of feeling isolated in an online program.
Building a Unique Program Differentiation
The most successful universities entering the online program market will be those that invest in building a differentiated degree offering that resonates with their target audience while clearly differentiating themselves from competitors.
To do this, universities should:
- Conduct Market Research: Understand what prospective students are looking for in an online program and identify gaps in the market. This can help universities position their programs in a way that meets specific student needs.
- Tell Compelling Stories: Highlight success stories of online students and alumni to build credibility and showcase the career outcomes of the programs. Authentic storytelling can humanize the brand and create emotional connections.
- Invest in Continuous Program Assessment: Program differentiation must be supported by real substance. Universities that invest in continuously evaluating if their program continues to meet the student outcomes expectations can back their value proposition with tangible results.
Positioning Your Online Master’s Program for Long-Term Success
In the competitive landscape of online education, differentiation is not optional—it is essential to success. As more universities enter the market, those that can clearly articulate their unique value propositions and a strong differentiated positioning that aligns with graduate student expectations will be the ones that thrive. By focusing on student outcomes expectations and creating a differentiated positioning, universities can position themselves as attractive options in this rapidly growing space.
Competing in the crowded online master’s market requires more than just a solid program—it requires clear differentiation. Elsmere Education can help you define what makes your program unique and build a strategy for long-term growth.
Let’s talk about how we can elevate your online program and ensure it captures the attention of prospective students.
About Heli
Heli Frazier, Elsmere Education’s SVP of Marketing, leverages her 20 years in higher education to drive partner university growth. Previously, she oversaw international marketing for 17 universities and a vast academic program portfolio. Passionate about education, Heli volunteers as a tutor and enjoys an active lifestyle.
Sources
1 Eduventures (2024). Proprietary Research. Eduventures 2024 Adult Prospect Research Report. Access restricted.
2 Eduventures (2024). Proprietary Research. Eduventures Master’s Market Update. Webinar. Access restricted.
3 Eduventures (2024). Proprietary Research. Eduventures 2024 Adult Prospect Research Report. Access restricted.
