Bright Ideas

Generate Revenue Online

Institution: ,

Implementation Date: January 2009

The University of Massachusetts is one of the most successful institutions in the online space, generating $37 million in additional revenue from 33,900 online students in 2009.  uMass reports a staggering 60% net operating margin in its online courses, and growth of more than 20% enrolment annually.

No wonder other institutions gaze longingly at online revenues as a potential game-changer.  The challenge, of course, is that not every institution has a powerful brand it can leverage, and that in an online marketplace, you have thousands of powerful competitors for students.  Institutions need to look carefully at their own centres of excellence, the strengths for which their brand is known, and their access to student markets, before deciding what programs specifically make sense to try out online. The potential for revenue generation is there, but there is also considerable risk.

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One Comment

  1. September 16, 2013 at 11:32 am

    If universities create quality online courses then there is little risk and lots of upside. There is far more risk in doing nothing. There is far more risk in not getting up to speed with new technologies and pedagogies which reflect this strong trend. Remember that 20 years ago, many people thought the internet was a fad – now our society couldn’t live without it. Sobering thought.

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