September 24, 2021

Our Linkedin Group just surpassed 1000+ members

Just wanted to share with you that we have surpassed the 1000+ member mark for our linkedin group.  There are many hot topics & discussions on that group from many of the leaders in the industry.  People seem to share more within that closed group than freely on the web.  If you are within the for profit EDU industry please feel free to join.

If you have not yet joined our linkedin group: For-profit Education, you can do so by clicking here and requesting to join: http://www.linkedin.com/groups?gid=1786509&trk=hb_side_g#h150-254

DOE looking to shorten FASFA form

Wow, we like good news and this can be good news.  While I was working at a school I cant help but remember how much difficulty people had with the fasfa forms.  It was almost like an entrance exam or sorts.  Finally it looks like to Govt. is doing something that will actually result in more people going to college.  Read it here: http://online.wsj.com/article/SB124580161498344673.html

what if the DOE limited growth rates on for-profit schools

I have been speaking with a number of analysts all of who seem to be focused on the Dept. of Ed and possible changes to the for-profit edu industry. One recent discussion focused on the what if scenario if the capped growth rates for for-profit schools. While I doubt something like that will occur, it would present problems for many in the industry. what are your thoughts on this and on other potential areas they may look to change.

CCA Starts Sunday

For those of you attending the CCA this year good luck and enjoy.  Many have expressed some disappointment that the location changed away from Vegas this year.  So far the attendance looks strong.  Please feel free to post some highlights from this years show.

Have you noticed some big EDU brands taking over search volume?

Have you noticed the change in search engine result over the last 2-4 months?  When using google the results when searching with some of the major industry search terms now display brands.  It seems brands have taken top position over many of the vendors.  Check out online degree & online degrees, you will see UoP in the one to three spot where a year ago these positions were dominated by the lead providers.  There are many speculators & conspiracy theorist out there giving their thoughts as to why.  Some say google is rewarding those big firms who spend lots on PPC search, others claim it’s because the brands are the good results/best match.  Whatever the reason, it’s clear that Uop and some others are receiving tons of new found and free traffic which will result in low cost enrollments.

Did April buck the seasonality trend?

For the last 7 years the lead flow and search volume have followed a distinct trend of seasonality.  This year however April has appeared to buck the trend on search volume.  April EDU traffic has surged in many of the top edu related terms, when it normally would have begun to fall off.  If you look at the year over year volume you usually see a strong Jan-mid-March then a continued decrease from the end of March though the end of July.  This has not been the case this year.  Will may fall off the cliff or continue to set a new trend.  Is this driven by the economy..has the lack of jobs for new grads pushed them to reconsider continued education?

Educational Attainment of the Population 18 Years and Over, by Age, Sex, Race, and Hispanic Origin: 2008

             
Table 1.  Educational Attainment of the Population 18 Years and Over, by Age, Sex, Race, and Hispanic Origin:  2008          
(Numbers in thousands.  Civilian noninstitutionalized population /1.)            
                     
All Races Educational Attainment              
  Total None High school graduate Some college no degree Associate’s , occupational Associate’s, academic Bachelor’s  Master’s  Professional  Doctoral 
Both Sexes                    
.18 years and over 224,703 824 69,480 44,168 9,016 9,573 40,070 14,893 3,009 2,485
..18 to 24 years 28,398 47 8,296 10,356 608 799 2,511 128 17 14
.25 years and over 196,305 776 61,183 33,812 8,408 8,774 37,559 14,765 2,991 2,472
..25 to 29 years 21,057 30 6,017 4,109 834 1,054 5,012 1,227 181 57
..30 to 34 years 19,089 40 5,280 3,287 873 956 4,409 1,565 309 210
..35 to 39 years 20,733 40 5,586 3,623 967 1,072 4,695 1,865 375 268
..40 to 44 years 21,399 68 6,454 3,576 1,054 1,065 4,509 1,641 318 270
..45 to 49 years 22,701 84 7,297 4,021 1,138 1,140 4,380 1,592 349 282
..50 to 54 years 21,234 106 6,772 3,661 1,078 1,107 4,051 1,689 395 245
..55 to 59 years 18,371 74 5,589 3,302 844 900 3,462 1,679 344 316
..60 to 64 years 14,931 69 4,632 2,710 603 619 2,634 1,377 268 289
..65 to 69 years 11,165 61 3,904 1,844 379 335 1,568 842 155 231
..70 to 74 years 8,423 79 3,095 1,262 231 221 1,063 514 92 133
..75 years and over 17,202 126 6,560 2,417 406 305 1,776 773 206 172
Male
.18 years and over 108,862 396 34,048 20,735 4,111 3,980 19,102 6,920 1,888 1,631
..18 to 24 years 14,392 29 4,557 4,925 268 387 1,060 34 11 3
.25 years and over 94,470 367 29,491 15,810 3,843 3,593 18,042 6,886 1,877 1,628
..25 to 29 years 10,721 16 3,423 2,058 417 432 2,305 475 69 24
..30 to 34 years 9,489 17 2,933 1,539 407 423 2,060 623 150 110
..35 to 39 years 10,291 20 3,004 1,844 433 454 2,170 819 213 152
..40 to 44 years 10,589 43 3,387 1,620 503 404 2,082 790 186 172
..45 to 49 years 11,165 49 3,796 1,803 514 428 2,034 789 214 196
..50 to 54 years 10,374 65 3,438 1,751 509 448 1,931 691 266 155
..55 to 59 years 8,929 39 2,462 1,609 390 401 1,784 830 244 206
..60 to 64 years 7,150 22 2,002 1,261 289 287 1,398 703 186 199
..65 to 69 years 5,238 23 1,606 824 171 155 841 452 122 180
..70 to 74 years 3,740 31 1,156 537 98 92 570 291 74 100
..75 years and over 6,785 40 2,283 965 112 68 868 422 155 134
Female
.18 years and over 115,841 427 35,432 23,433 4,905 5,593 20,968 7,973 1,121 855
..18 to 24 years 14,006 18 3,740 5,431 340 412 1,451 94 7 11
.25 years and over 101,835 409 31,692 18,002 4,565 5,181 19,517 7,879 1,114 844
..25 to 29 years 10,337 14 2,594 2,051 417 622 2,708 752 112 33
..30 to 34 years 9,600 23 2,347 1,747 466 533 2,349 942 158 100
..35 to 39 years 10,442 20 2,582 1,779 534 619 2,526 1,046 163 116
..40 to 44 years 10,810 24 3,067 1,957 551 661 2,427 852 133 99
..45 to 49 years 11,536 35 3,501 2,219 625 712 2,346 803 136 86
..50 to 54 years 10,860 41 3,333 1,909 569 659 2,120 998 129 90
..55 to 59 years 9,442 34 3,126 1,693 454 499 1,678 849 100 110
..60 to 64 years 7,781 47 2,630 1,449 314 332 1,236 674 82 90
..65 to 69 years 5,928 37 2,297 1,020 208 180 727 390 33 51
..70 to 74 years 4,683 48 1,939 725 133 129 493 222 18 33
..75 years and over 10,417 86 4,277 1,452 295 236 908 351 51 38
Footnotes:                    
A dash (-) represents zero or rounds to zero.              
/1 Plus armed forces living off post or with their families on post.              
/2 12th grade no diploma are included in this category.              
                     
Source:  U.S. Census Bureau, Current Population Survey, 2008 Annual Social and Economic Supplement          
Internet Release date:  April 2009                
                     

Link to data: http://www.census.gov/population/www/socdemo/education/cps2008.html

What ever happened to Apollo’s Billion Dollar International Investment Fund?

Remember the press release from 2007 about Apollo’s billion dollar invetment with Carlyle?  What ever happened with that?Apollo Group and the Carlyle Group Form $1 Billion Joint Venture to Make Investments in the International Education Services Sector
PHOENIX & WASHINGTON–(BUSINESS WIRE)–Oct. 22, 2007–Apollo Group, Inc. (Nasdaq:APOL) (“Apollo Group” or the “Company”), and private equity firm The Carlyle Group (“Carlyle”), today announced that they have formed a $1 billion joint venture, Apollo Global, Inc. (“Apollo Global”). Apollo Global intends to make a range of investments in the international education services sector. Apollo Global will target investments and partnerships primarily in countries outside the U.S. with attractive demographic and economic growth characteristics. Apollo Group has committed up to $801 million and will own 80.1% of the joint venture. Carlyle has committed up to $199 million and will own 19.9% of Apollo Global. Investments and funding will be subject to approval by the respective investment committees of both Apollo Group and Carlyle. Apollo Global will be a consolidated subsidiary of Apollo Group and Greg Cappelli, Apollo Group’s Executive Vice President and Director will be Chairman of the subsidiary.Commenting on the new venture, Greg Cappelli said, “We are very excited about this new joint venture and our partner, The Carlyle Group. Our core competencies in the education space, combined with Carlyle’s industry relationships and strategic assets across the global education sector, will allow us to successfully capitalize on the tremendous global opportunity that exists in the marketplace.”

Brian Mueller added, “We will continue to invest capital in our high return core domestic business, and through Apollo Global, we will also explore strategic and value creating global acquisition opportunities. Importantly, we reiterate that any investment must meet our disciplined investment criteria as we remain committed to creating long-term value for our shareholders.”

Brooke B. Coburn, Managing Director and Co-head of Carlyle Venture Partners III, L.P., said, “Global demand for higher education is strong. Apollo Group’s operational expertise coupled with Carlyle’s global network make this a powerful partnership.”

The remaining six directors who comprise Apollo Global’s board include Brian Mueller, President and Director of Apollo Group, Peter V. Sperling, Senior Vice President, Secretary and Director of Apollo Group, Roy A. Herberger, Jr., an Apollo Group Director, Jeff Langenbach, Vice President Corporate Development of Apollo Group and Apollo Global’s interim President, Brooke B. Coburn, Managing Director and Co-head of Carlyle Venture Partners III, L.P. and Charles C. Moore, Managing Director on Carlyle’s U.S. Venture and Growth team.

About Apollo Group, Inc.

Apollo Group, Inc. has been an education provider for more than 30 years, operating the University of Phoenix, the Institute for Professional Development, the College for Financial Planning, Western International University and Insight Schools. The Company offers innovative and distinctive educational programs and services at high school, college and graduate levels at 259 locations in 40 states and the District of Columbia; Puerto Rico; Alberta and British Columbia, Canada; Mexico and the Netherlands, as well as online, throughout the world.

For more information about Apollo Group, Inc. and its subsidiaries, call (800) 990-APOL or visit Apollo on the company website at: www.apollogrp.edu.

About The Carlyle Group

The Carlyle Group is a global private equity firm with $75.6 billion under management committed to 55 funds. Carlyle invests in buyouts, venture & growth capital, real estate and leveraged finance in Africa, Asia, Australia, Europe, North America and South America focusing on aerospace & defense, automotive & transportation, consumer & retail, energy & power, financial services, healthcare, industrial, infrastructure, technology & business services and telecommunications & media. Since 1987, the firm has invested $32.3 billion of equity in 686 transactions for a total purchase price of $157.7 billion. The Carlyle Group employs more than 900 people in 21 countries. In the aggregate, Carlyle portfolio companies have more than $87 billion in revenue and employ more than 286,000 people around the world. www.carlyle.com.

 

Will online masters growth hold up?

After speaking with many analysts over the last few months there are two big fears that keep being repeated. The first being bad debt and the other top fear is the continued growth of online Master programs.  The main reasons mentioned are potential future cuts by corporations of tuition reimbursement & continued decline in economy, thus affordability of education. 

While I have heard of reports indicating that the risk of loosing corporate tuition reimbursement is minimal, are those accurate?  Who were polled?  HR people, they are usually the last to know.

Will the economy get so bad that people fear they will not be able to afford the monthly out of pocket costs of their tuition along with their rent, car, insurance and food?  

The search volume as well as lead volume continue to show strong demand.

What do you think?  Are you seeing anything either in support of this or to the contrary?

Do you believe the for-profit edu industry is counter cyclical?

What are your thoughts?  Is the whole industry counter cyclical?  Is campus better off in high unemployment than online?  What about Masters vs. Under grad?

Take this survey: http://polls.linkedin.com/p/19650/usycu