College choice and prudent consumers

LAWLOR COLLEGE CHOICE & PRUDENT CONSUMERS INTELLIGENT MARKETING SOLUTIONS FOR EDUCATION But now families are especially feeling the financial squeeze of rapidly rising tuition costs as their earnings stagnate. Thanks to the current state of the economy, private colleges and universities are fighting to preserve their market share, which has been relatively narrow in the first place. The Type of College Students Choose Share of Students by 4-Year Colleges' Tuition Cost New Students Under $3,000 L Who Say the Economy Significantly $3,000 - $5,999 19.9% 7% $6,000 - $8,999 2642 15% $9,000 - $11,999 12.8% 43% $12,000 - $14,999 6.2% Affected Their $15,000 - $17,999 College Choice 36% $18,000 - $20,999 3.82 $21,000 - $23,999 4.0% $24,000 - $26,999 4.52 2-year $27,000 - $29,999 $30,000 - $32,999 3.42 20% Public 4-year $33,000 - $35,999 212 Private 4-year $36,000 - $38,999 2.2 $39,000 - $41,999 4.52 I For-profit 4-year $42,000 and over 0.4% O.42 42.1% Figeres do not total 100% due to rounding 22% Family Income, Student Loan Debt and College Costs Private college cost Public college cost Family income 15.9% $50K Student loan debt $40K $30K I Agree strongly $20K ltall alanlalulaalaal lultal al ltalatal ltaltal nlalalatal I Agree somewhat $1OK I Disagree somewhat Disagree strongly 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 So prospective students and their families are being more frugal and prudent when it comes time to choose a college. Top Reasons for Selecting a College Campus Visit 41.8% Views of Students Preferring a Private College ERANIT 45.5% 62% AReputation Financial Aid Availability Agree Disagree Good Academic 29% Feel Unable To Afford It 53.3% 41% Cost of 33% Job Placement Rate Tuition SOurce DIRP 2010 33% Tuition Will Impact Views on the Benefits and Cost of College 84 81 Students Whether to 138% Parents Apply 64% 56 65% 61% 59% Financial Aid 53 51% Is a Major Decision 70% Factor Will Pay 53% More for a Higher Investment Rather Borrow Willing to Stretch Worth the Cost Quality 49% in Future Than Not Go Financially Education To stay competitive with prospective students today, colleges and universities need to demonstrate their value, prove their relevance, and find innovative ways to improve affordability. 2010 2011 SOuce fastleb con www.thelawlorgroup.com ©2011 The Lawlor Group