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Marketing of Educational
Services
Education
 Education in its broadest sense is any act
or experience that has a formative effect on
the mind, character, or physical ability of
an individual.
 Education is the process by which society
deliberately transmits its accumulated
knowledge, skills and values from one
generation to another through institutions.
Need for Marketing
Educational services
 Need to ―market‖ their services has not
really been felt by the educational
sector
 This is because there is always
Demand>Supply
 But in the recent years, there is a shift
in trends
Cont…
 Large number of institutions for
specialized fields have been set up in
the recent years for fields like
Management and computer education
 This has lead to increase in
competition
Cont…
 This makes them come face to face
with questions like
 Product differentiation,
 product extension,
 diversification
 and service integration
Education as a service
 Services are those separately
identifiable, essentially intangible
activities, which provide want
satisfaction and are not necessarily
tied to the sale of product another
service
Cont…
 Education as a service can be said to
be providing an intangible benefit
(Increment in knowledge, aptitude,
professional expertise, skill) produced
with the help of a set of tangible
(infrastructure), and intangible
(faculty expertise and learning) aids.
Points to be noted
 A consumer may have tangible
physical evidence to show for
the service exchange transaction
 But the actual benefit accrued is purely
intangible in nature
 Education is a service which is geared
primarily to the consumer market
Characteristics
 Intangibility
 Perishability
 Inseparability
 Other
Intangibility
 Education is an Intangible dominant
service—Impossible to touch, see or feel
Standardization is difficult
 Lack of Standardization opens up
marketing opportunity of differentiated
need based course packages
 Education as a service cannot be patented
Perishability
 Production and consumption are
simultaneous activities
 No inventories can be made up
Eg:- A lecture scheduled cannot be
stored
Inseparability
 It is impossible to separate a service from
the provider
 There is a need for the service provider to
be present when the service is to be
performed and consumed
 This limits the scale of operations—The
number of providers available would define
the number of simultaneous performances
possible
Other Characteristics
 High Fixed cost, Low Variable Cost
 Specialized and need based
 Competition
 Customer limitations
 Lack of ownership
 Heterogeneity
Marketing Strategies
::::Before Deciding on the Marketing Mix,
Educational Institutes should answer
certain basic Questions::::
 What Business are we in?
 Who are our customers and What
benefits they seek?
Cont…
 Criteria that students apply:-
 Reputation of the institute
 Number of applicants keen to enroll in the
course
 Past success rate of placement
 Faculty expertise
 Width of specialization offered
 Infrastructural facilities
 Fees
Cont…
 How can we build or defend our
competitive position?
 What is our entry strategy?
 How should we offer new service
offers that help/strengthen the
competitive position?
Marketing Mix
MARKETING
MIX
ADULT
EDUCATION
ELEMENTARY
EDUCATION
SECONDARY
EDUCATION
VOCATIONAL
EDUCATION
HIGHER
EDUCATION
7 P‘s
Marketing
Mix
Product
Price
Place
PromotionPeople
Physical
Evidence
Process
Product
 Range-
 Quality Level-
 Brand Name-
 Post Transactional Service-
Price
 Level
 Discounts (Scholarships)
 Allowances
 Commissions
 Payment Terms
 Consumers percived value
 Quality/price relationship
Place
 Location
 Accessibility
 Distribution Channels
 Distribution Coverage
Promotion
 Advertising
 Personal selling
 Sales promotion
 Publicity
 Public relations
People
 Personnel
 Training
 Commitment
 Incentives
 Attitudes
 Degree of involvement
 Customer contact
Physical evidence
 Environment
 Furnishings
 Layout
 Noise levels
 Facilitating goods
Process
 Polices
 Procedures
 Mechanism
 Employee discretion
 Customer involvement
 Flow of activities
Case Studies
Case Study: MT Educare
 Founded in 1984 in Mulund, Mumbai as small
coaching classes as Mahesh Tutorials
 Vision : GREAT ( Global Reach in Education And
Training)
 Now 162 centers across Maharashtra, Gujarat,
Tamil Nadu, Karnataka and Dubai
 Turnover in 2012-13 : 1.28
billion (US$20 million)
 1000 Teachers, 51000 students and 1200 support
staffs
MT Educare Pvt. Ltd.
 Courses offered
 Std. 9th & 10th (English & Marathi medium)
(SSC, ICSE, CBSE boards)
 Science tutorials for Std. 11th and 12th
 Commerce tutorials from Std. 11th to C.A.
 Engg. & Medical Entrance tests
 Corporate training
 English language & personality development
 Training in banking programmes
 Diversification: ‗Little Tigers‘ ( Nurseries),
 Main stream education: College at Manglore.
Marketing strategies
 Positioning : One stop solution provider for all
educational and training needs
 First coaching class to have tied-up with foreign
educational body Cambridge International
Examination (CIE) to secure their FDI.
SKCM International school in Ghatkopar.
(CPT,IIT/CET etc.)
 First coaching class to start its own IPO in 2010
 Mahesh Shetty as brand: ‗Visionary Entrepreneur‘ to
‗Corporate Entity‘
Promotions
‗HUM SE PUCHHO‘
 Helpline for students appearing for board exam
(SSC,ICSE,CBSE, and HSC (commerce)
 24hrs assistance for students to solve their last
minute doubts and boost their confidence level
 Period : 4th March to 20th March 2009
 10 Lines for English & 5 for Marathi medium SSC
students
 www.humsepuchho.com
Other promotions
 Orientation Program
 Personal counseling of each student & parents
 Distressing sessions
(Music therapies, Meditation programs, Farewell
Parties, Felicitation Event in 5 Star hotels)
 Events, Picnics, Extra-curricular activities
 E-Testing (MHT-CET, CBSE online, CA-CPT,
AIEEE, IIT-JEE)
 CSR activities : Aasara, Ehsaas, Amcha Ghar,
SaNiSa.
Events in MT Educare
SEEYA’ 08 AFAE’ 08
Commerce events
AFAE’ 08
(Commerce)
ONYX Annual
Function
General Advertising Methods
 Outdoor media: Boards, hoardings, banners,
stick- bills. Etc
 Print media: Newspapers, Magazines,
Newspaper inserts, pamphlets, Brochures etc.
 Television ads: Local cable ads
 Events : Picnics, Annual functions, Farewell,
Felicitation etc.
 Sponsorships to events and festival mandals
 Add on services : Counseling, ‗Gurukul‘ system
 Providing bags, caps, t-shirts, pens, books,
note-books with institute‘s name printed on it
Brand Creation & Recall
STUDY NOTES BAG
Education expos
(One roof concept)
TIMES EDU.EXPO
INDIA
EDUCATION EXPO CHINA
Future scope of Education Mktg.
 INTERNET
 Mingle Box website
- Preparation for CET,CAT entrance tests
- Reaching 250 cities through Mobile, Televisison
adding the value chain
 RCOM & Dial net- To launch academic modules
 E- Learning
 SMS Marketing
Conclusion
 Long journey: ‗GURUKUL‘ system to
‗E-learning‘
 Indian Human Resource – Most admired all over
the globe. Working in major MNC‘s
 ‘EACH ONE TEACH ONE’
Thank You

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Education marketing

  • 2. Education  Education in its broadest sense is any act or experience that has a formative effect on the mind, character, or physical ability of an individual.  Education is the process by which society deliberately transmits its accumulated knowledge, skills and values from one generation to another through institutions.
  • 3. Need for Marketing Educational services  Need to ―market‖ their services has not really been felt by the educational sector  This is because there is always Demand>Supply  But in the recent years, there is a shift in trends
  • 4. Cont…  Large number of institutions for specialized fields have been set up in the recent years for fields like Management and computer education  This has lead to increase in competition
  • 5. Cont…  This makes them come face to face with questions like  Product differentiation,  product extension,  diversification  and service integration
  • 6. Education as a service  Services are those separately identifiable, essentially intangible activities, which provide want satisfaction and are not necessarily tied to the sale of product another service
  • 7. Cont…  Education as a service can be said to be providing an intangible benefit (Increment in knowledge, aptitude, professional expertise, skill) produced with the help of a set of tangible (infrastructure), and intangible (faculty expertise and learning) aids.
  • 8. Points to be noted  A consumer may have tangible physical evidence to show for the service exchange transaction  But the actual benefit accrued is purely intangible in nature  Education is a service which is geared primarily to the consumer market
  • 10. Intangibility  Education is an Intangible dominant service—Impossible to touch, see or feel Standardization is difficult  Lack of Standardization opens up marketing opportunity of differentiated need based course packages  Education as a service cannot be patented
  • 11. Perishability  Production and consumption are simultaneous activities  No inventories can be made up Eg:- A lecture scheduled cannot be stored
  • 12. Inseparability  It is impossible to separate a service from the provider  There is a need for the service provider to be present when the service is to be performed and consumed  This limits the scale of operations—The number of providers available would define the number of simultaneous performances possible
  • 13. Other Characteristics  High Fixed cost, Low Variable Cost  Specialized and need based  Competition  Customer limitations  Lack of ownership  Heterogeneity
  • 14. Marketing Strategies ::::Before Deciding on the Marketing Mix, Educational Institutes should answer certain basic Questions::::  What Business are we in?  Who are our customers and What benefits they seek?
  • 15. Cont…  Criteria that students apply:-  Reputation of the institute  Number of applicants keen to enroll in the course  Past success rate of placement  Faculty expertise  Width of specialization offered  Infrastructural facilities  Fees
  • 16. Cont…  How can we build or defend our competitive position?  What is our entry strategy?  How should we offer new service offers that help/strengthen the competitive position?
  • 19. Product  Range-  Quality Level-  Brand Name-  Post Transactional Service-
  • 20. Price  Level  Discounts (Scholarships)  Allowances  Commissions  Payment Terms  Consumers percived value  Quality/price relationship
  • 21. Place  Location  Accessibility  Distribution Channels  Distribution Coverage
  • 22. Promotion  Advertising  Personal selling  Sales promotion  Publicity  Public relations
  • 23. People  Personnel  Training  Commitment  Incentives  Attitudes  Degree of involvement  Customer contact
  • 24. Physical evidence  Environment  Furnishings  Layout  Noise levels  Facilitating goods
  • 25. Process  Polices  Procedures  Mechanism  Employee discretion  Customer involvement  Flow of activities
  • 27. Case Study: MT Educare  Founded in 1984 in Mulund, Mumbai as small coaching classes as Mahesh Tutorials  Vision : GREAT ( Global Reach in Education And Training)  Now 162 centers across Maharashtra, Gujarat, Tamil Nadu, Karnataka and Dubai  Turnover in 2012-13 : 1.28 billion (US$20 million)  1000 Teachers, 51000 students and 1200 support staffs
  • 28. MT Educare Pvt. Ltd.  Courses offered  Std. 9th & 10th (English & Marathi medium) (SSC, ICSE, CBSE boards)  Science tutorials for Std. 11th and 12th  Commerce tutorials from Std. 11th to C.A.  Engg. & Medical Entrance tests  Corporate training  English language & personality development  Training in banking programmes  Diversification: ‗Little Tigers‘ ( Nurseries),  Main stream education: College at Manglore.
  • 29. Marketing strategies  Positioning : One stop solution provider for all educational and training needs  First coaching class to have tied-up with foreign educational body Cambridge International Examination (CIE) to secure their FDI. SKCM International school in Ghatkopar. (CPT,IIT/CET etc.)  First coaching class to start its own IPO in 2010  Mahesh Shetty as brand: ‗Visionary Entrepreneur‘ to ‗Corporate Entity‘
  • 30. Promotions ‗HUM SE PUCHHO‘  Helpline for students appearing for board exam (SSC,ICSE,CBSE, and HSC (commerce)  24hrs assistance for students to solve their last minute doubts and boost their confidence level  Period : 4th March to 20th March 2009  10 Lines for English & 5 for Marathi medium SSC students  www.humsepuchho.com
  • 31. Other promotions  Orientation Program  Personal counseling of each student & parents  Distressing sessions (Music therapies, Meditation programs, Farewell Parties, Felicitation Event in 5 Star hotels)  Events, Picnics, Extra-curricular activities  E-Testing (MHT-CET, CBSE online, CA-CPT, AIEEE, IIT-JEE)  CSR activities : Aasara, Ehsaas, Amcha Ghar, SaNiSa.
  • 32. Events in MT Educare SEEYA’ 08 AFAE’ 08
  • 34. General Advertising Methods  Outdoor media: Boards, hoardings, banners, stick- bills. Etc  Print media: Newspapers, Magazines, Newspaper inserts, pamphlets, Brochures etc.  Television ads: Local cable ads  Events : Picnics, Annual functions, Farewell, Felicitation etc.  Sponsorships to events and festival mandals  Add on services : Counseling, ‗Gurukul‘ system  Providing bags, caps, t-shirts, pens, books, note-books with institute‘s name printed on it
  • 35. Brand Creation & Recall STUDY NOTES BAG
  • 36. Education expos (One roof concept) TIMES EDU.EXPO INDIA EDUCATION EXPO CHINA
  • 37. Future scope of Education Mktg.  INTERNET  Mingle Box website - Preparation for CET,CAT entrance tests - Reaching 250 cities through Mobile, Televisison adding the value chain  RCOM & Dial net- To launch academic modules  E- Learning  SMS Marketing
  • 38. Conclusion  Long journey: ‗GURUKUL‘ system to ‗E-learning‘  Indian Human Resource – Most admired all over the globe. Working in major MNC‘s  ‘EACH ONE TEACH ONE’