Page 13 - ELG1601 Oct Issue 440
P. 13

October 2016                                                  ELmarket report                                                                      Page 5


                                       Clouds on the horizon:
                    hat happens to a coun-                                                                                                      must  find a  way to  lobby  and
                    try’s  international                                                                                                        improve this. Short of that, it is
             Weducation        market                                                                                                           important for institutions to mar-
             when harsher immigration poli-  the perfect storm thesis                                                                           ket themselves with an eye to
             cies are introduced, its currency                                                                                                  the outcome: how are graduates
             gets stronger and at the same                                                                                                      doing, are they finding jobs, who
             time economic  crises batter its                                                                                                   is hiring them and where, etc.
             source markets?  The answer is                                                                                                       If an institution  can  promote
             that international student enrol-  Melanie Butler asks Ben Waxman and Samuel Vetrak how political                                  itself  with facts and figures to
             ments go down.                                                                                                                     back it up, then it is going to
              This happened in the US  changes in the UK might affect the ELT and higher education sectors                                      draw the attention of interna-
             after 9/11. After the economic                                                                                                     tional  students.  Those who are
             crisis that followed and the                                                                                                       doing a poor job, with poor
             introduction of Sevis, a sys-  and higher education, and fac-                                            will always sell well.    visibility and no streamlined
             tem that allowed the tracking   tors that influence mobility in                                           On the other hand, there is a   process, are going to be hit very
             of Muslim students, numbers   the short term, most notably                                               new wave of anti-immigrant sen-  hard. So I guess my advice is,
             plummeted in 2002 and didn’t   the exchange rate, which is the                                           timent from the US and the UK,   get your act together and stay
             pick up until 2005.       most significant and immedi-                                                   and  it  is hard  to  predict  where   focused!
              It was almost a ‘perfect storm’   ate. More in ELT than higher                                          this is going.  Will  this pass?   And for the ELT industry?
             of factors that ‘compounded   education,  exchange  rates                                                Maybe  it’s not  going  to  have   SV: It seems to me that the
             each  other’, as defined  by a   direct students to certain desti-                                       a huge impact  on the market,   market is mature, but supply is
             theory proposed in a 2007 study,   nations. In ELT this year there                                       but it shows a lack of perspec-  at times not up to speed. First of
             Foreign students coming to the   was a massive increase in book-                                         tive and understanding on what   all, don’t lose track of the market
             US: the impact of policy, proce-  ings towards Canada instead of                                         collaboration does to the world   trends in order to adapt supply to
             dures and economic competition   the US, and last year it was Ire-                                       – especially for academia.  demand quickly and efficiently.
             by Susan F. Martin, B. Lindsay   land and Malta at the expense                                            And for ELT?             Second, invest in technology.
             Lowell  and Micah  Bump of   of the UK.                                                                   SV:  The market needs to   Tools like automated booking
             Georgetown University.     In higher education quality is                                                develop a better supply.  They   systems could save money and
              Their  research found that   more important  than price,  so                                            should invest in quality and   time. Third – data, data, data. The
             visa restrictions  alone  were   academic programmes are more                                            aim at a more diverse distribu-  industry is under-documented.
             not  enough  to  explain  the  fall   resistant to these changes – but                                   tion – currently 78 per cent of   More data needs to be available so
             in student numbers, and that   we still see a strong correlation.  EXPERT VIEW Ben Waxman (left) from Intead and Samuel   students in the UK come from   schools can be more empowered,
             perceptions were just as strong –   In 2010  Australia experi-  Vetrak from Student Marketing discuss the Brexit effect  Europe, and this makes the   for example,  to  follow  market
             when a strict immigration policy   enced its own  perfect storm.                                         market vulnerable.  With this   trends or to go to banks and inves-
             is introduced, the negative effect   There was an increase in rac-  UK, which is losing out due to   BW:  There is more com-  healthy reaction, the industry   tors and prove their value.
             is felt also in markets that are   ist attacks, a crackdown on   the cost of education and now   petition  and more variety  of   can succeed.  When it comes to Brexit, I am
             not  directly  affected  by it  but   dubious  further education   also due to its foreign policy   programmes  and  products.  What advice would you give   not sure there  is anything  that
             still perceive the host country as   colleges  and an increase in   – this issue is coming  forward   Cheap and poorly delivered   to British universities to pro-  could help. Much more impor-
             ‘unwelcoming’.  In the case of   visa restrictions – and the Aus-  also in the US. We conducted a   services are going to falter   tect themselves from problems   tant than Brexit is the argument
             Sevis, the most affected source   tralian dollar was particularly   survey with FPPEDUMEDIA in   – especially  now with social   looming in the future?  around  net  migration,  both
             countries  were  Brazil,  China,   strong. The market collapsed.   March in which we asked stu-  media,  which  is very  quick  to   BW: Our research saw that a   for international  students and
             Switzerland and Saudi Arabia.   ELT fell by 37 per cent, even   dents  whether  they  were  more   kill  you if  you are  not  doing   primary motivator for interna-  high-skilled mobility. The argu-
              People say the UK  is expe-  though it hadn’t been directly   or less likely to study in the US   well.  Quality  will always keep   tional students is employability.   ment needs to be supported by
             riencing  a perfect  storm.  We   attacked as the more restric-  depending on the result of the   you strong, even in the storm. A   Employment  opportunity  poli-  numbers, facts and data, not by
             asked two experts, Ben Waxman   tive  regulations  affected  elections.  Some of us thought   quality offer and right promotion   cies are essential, so the industry   emotional appeals.   n
             from Intead and Samuel Vetrak   further education. Universi-  international  students wouldn’t
             from Student Marketing.  Their   ties were hit a little  further   spend too much  time  follow-
             responses give an insight into   down  the line. Do you think   ing the election  campaign,  but
             what is happening in the ELT   the Australia example is typi-  we were in for a surprise: 60
             and higher education  sectors   cal? Could  something similar   per cent of students around the
             and offer advice for braving the   happen with Brexit?  world said that they would be far
             storm.                     BW: Yes, it is typical and not   less inclined to study in the US
              Is there such a thing as a   uniquely  Australian.  A  recent   should Donald Trump be elected
             perfect storm?            Icef Monitor article  reported   president,  and this figure  rose
              SV: Many factors  contribute   that  Germany’s student  enrol-  to 80 per cent for Mexican stu-
             to a difficult situation – a combi-  ment  is  increasing  from  China   dents. I guess there is a similar
             nation of regulations, price and   and India at the expense of the   effect with Brexit.
             economic  circumstances.  What                        SV:  There  is  no  consistent
             is happening  in  ELT could                         research on the effects of Brexit
             potentially be called a per-                        on ELT student enrolment  yet,
             fect storm, but I wouldn’t                          just  anecdotal  evidence.  There
             compare it to the situa-                            must be more time  to measure
             tion in 2001. We need to                            it, and summer  is not the best
             consider the stage of the                           time to do so as the target group
             industry, a mature stage,                           is not available. In general, the
             which  brings  chal-                                reaction of the industry seems to
             lenges  that  contribute                                             be mod-
             to the storm.                                                         erate,
              BW:  As for ELT,                                                    not pan-
             in  higher  educa-                                                  icky  or
             tion there is a more                                               emotional,
             mature  industry                                                  which   is
             at this point com-                                                very impor-
             pared to 2005                                                    tant. Time  can
             – a far larger                                                  actually  play
             population  of                                                 for the  UK as a
             institutions  in                                              positive  element
             the  market                                                  as it gives politi-
             place strug-                                                cians the time to see
             gling  and                                                 potential damage.
             competing                                                   Both schools and
             to  recruit                                              agents  report  confident
             students.                                               statements – with western
             Aware-      ness     has                               Europe more confident than
             grown and  the  economic  situa-                       eastern  Europe  and  Asia –
             tion has improved, so travelling                      and this is good news for the
             has increased.  The challenges,                      ELT industry in the UK.
             political and economic, are very                      It’s a different story for the UK
             significant. For  example, as oil                   as a higher education  destina-
             prices have dropped, enrolments                     tion. I would be more concerned
             from countries like Nigeria and                     for this sector as one of the most
             Venezuela have dropped. How-                        important  factors for higher
             ever, economic factors are more                     education  mobility  is employ-
             isolated to specific countries that                 ability, which is more and more
             are being hit hard than a global                    restricted in the UK. So, Brexit
             phenomenon.                                         and restricted  employability
              Which factors have an effect                       would favour Canada, Germany,
             on students’ decisions?                             US and Australia at the expense
              SV:  There are factors that   CLEAR MESSAGE A word   of the UK.
             influence  student  mobil-  cloud showing the most    What is the biggest chal-
             ity in the long term, such as   common terms used by Ben   lenge for the higher education
             exchanges during high school   and Samuel in their interview  sector?




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