agents are bad, universities are good: discuss
DESCRIPTION
Sandra Elliott, Director, Communications and International Relations Division, Cardiff University; Vincenzo Raimo, Director, International Office, University of NottinghamTRANSCRIPT
Agents are bad, universities are good: discuss … Vincenzo RaimoDirector, International Office
Enzo@espressoHE
UUK International Higher Education Forum, 17 April 2013 Vincenzo Raimo: Agents are bad, universities are good: discuss 1
UUK International Higher Education Forum, 17 April 2013 Vincenzo Raimo: Agents are bad, universities are good: discuss
Agenda
• context: worldwide competition & the changing UK higher education landscape
• what are agents and why do we use them?
• choosing partners
• the agent – university partnership
• the changing role of agents
• international student income & recruitment costs
• regulatory frameworks and the ‘London Statement’
• conclusions & recommendations
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3
International Student Recruitment: The Big Picture (Long-term growth in the number of students enrolled outside their country of citizenship)
Source: OECD and UNESCO Institute for Sta-tistics.
Vincenzo Raimo: Agents are bad, universities are good: discussUUK International Higher Education Forum, 17 April 2013
Vincenzo Raimo: Agents are bad, universities are good: discussUUK International Higher Education Forum, 17 April 2013 4
2002/03 2003/04 2004/05 2005/06 2006/07 2007/08 2008/09 2009/10 2010/11 2011/120
50000
100000
150000
200000
250000
300000
New International Students in UK HEIs 2002/03 - 2011/12
OtherUGPGTPGR
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Trends in International Education Market Shares (Percentage of all foreign students enrolled by destination)
Unite
d St
ates
1
Unite
d Ki
ngdo
m1
Germ
any
Fran
ce
Aust
ralia
1
Cana
da2
Japa
n
New
Zea
land
Russ
ian
Fede
ratio
n
Spai
n
Italy
Sout
h Af
rica
Aust
ria
Swed
en
Chin
a
Belg
ium
Switz
erla
nd
Neth
erla
nds
Kore
a
Oth
er O
ECD
coun
trie
s
Oth
er p
artn
er co
untr
ies
0
5
10
15
20
25
30
Source: OECD – Education at a Glance, 2009
20072000
Market share (%)
OECD coun-tries
Partner coun-tries
20072000
Vincenzo Raimo: Agents are bad, universities are good: discussUUK International Higher Education Forum, 17 April 2013
UUK International Higher Education Forum, 17 April 2013 Vincenzo Raimo: Agents are bad, universities are good: discuss
in own country9%
other UK university29%
in a different coun-try
11%
not in PG study51%
what are you doing now?
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UUK International Higher Education Forum, 17 April 2013 Vincenzo Raimo: Agents are bad, universities are good: discuss
What are (export) agents & why do we use them?
“Export agents act on your behalf by introducing you to overseas
customers. They charge a commission – usually between 2.5% and
15%”.
https://www.gov.uk/export-agents
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UUK International Higher Education Forum, 17 April 2013 Vincenzo Raimo: Agents are bad, universities are good: discuss
What are (export) agents & why do we use them?
An export agent can also help:
• give you information and contacts for overseas markets
• identify and make the most of opportunities overseas
• cut the cost of setting up your own offices overseas and recruiting and training your own employees to
work there
And all while allowing you to keep more control over your product (or service) e.g. the final price, brand image
(when compared with using a distributor)
https://www.gov.uk/export-agents
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UUK International Higher Education Forum, 17 April 2013 Vincenzo Raimo: Agents are bad, universities are good: discuss
Why do we use agents?
They’re effective in helping us to meet volume, income and other student recruitment related
targets.
• by giving us access to markets that we find difficult to recruit from directly (e.g. Nigeria, Pakistan)
• because in some markets it’s a normal expectation for prospective students to use an agent or educational
counselling service (e.g. Taiwan, India)
And because we believe that we can’t achieve our targets, effectively, by working on our own directly
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Choosing Partners
• well established • track record of success• partners who need us
• Longer term potential versus immediate delivery• Balancing strategic selection versus opportunism
“a (wo)man is known by the company (s)he keeps”
Choosing partners
• Do they have authority to enter into proposed agreements? Are they licenced?
• Do they have the physical and human resources to deliver?
• Are they financial sound? Do they have the resources to deliver on commitments?
• Do they share your vision? • etc., etc., etc.
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The University brand was key
UUK International Higher Education Forum, 17 April 2013 Vincenzo Raimo: Agents are bad, universities are good: discuss
The University brand was key
Agents:
• were at best an extension of a small number of universities’ brands
• they generally provided their services to students free
And universities:
• paid direct marketing costs and commission (usually 10%)
a partnership
but where the Universities’ brands were key
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優質海外教育服務Uni Education Advisory Services
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Have agents’ brands overshadowed those of the universities they represent?
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But what does it cost to recruit international students?
Source: AUIDF 2012 International Office Costs Analysis
http://cunningham.acer.edu.au/inted/AIEC2012AUIDFResearchPaper.pdf
Average UK university costs: 9.3% of international tuition fee income
Source: SPRE/ Hobsons UK Universities benchmarking 2006/07
Vincenzo Raimo: Agents are bad, universities are good: discussUUK International Higher Education Forum, 17 April 2013 24
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Vincenzo Raimo: Agents are bad, universities are good: discussUUK International Higher Education Forum, 17 April 2013 26
UUK International Higher Education Forum, 17 April 2013 Vincenzo Raimo: Agents are bad, universities are good: discuss
Regulatory frameworks, The London Statement and the
British Council
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UUK International Higher Education Forum, 17 April 2013 Vincenzo Raimo: Agents are bad, universities are good: discuss
British Council Agent Training
Certificate aims to confer on suitably trained and experienced education agents/ advisors
‘British Council trained agent status’
Benefits to agents:
• international recognition
• listing of details on BC
trained Agent List
• certificate to display
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UUK International Higher Education Forum, 17 April 2013 Vincenzo Raimo: Agents are bad, universities are good: discuss
The London Statement
Seven principles aimed at agents:
• practice responsible business ethics
• provide current accurate and honest information in an ethical manner
• develop transparent business relationships with students and providers through the use of written agreements
• protect the interests of minors
• provide current and up-to-date information that enables international students to make informed choices when selecting which
agent or consultant to employ
• act professionally
• work with destination countries to raise the ethical standards and best practice
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Is your work with agents consistent with the values of the UKCISA Code of Ethics?
Does it meet the requirements outlined in the QAA Guidance on international students?
Would you be happy to publish on your web site the names of all of those organisations and individuals (agents, school
counsellors, schools, etc.) to whom you pay commission (as per the QAA Guidance)?
And for those that pay commission to Schools, how would you feel if your son or daughter was at a school where the advice
on university applications was influenced by which universities pay that school a fee rather than which was the most
appropriate university for them?
How far are you willing to go and how much are you willing to pay to beat the competition?
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Conclusions, Recommendations &
(some) Questions
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Or is it time for a more radical rethink of how we work with agents if we’re
to avoid the scandal of commission based mis-selling that’s taken place in
other sectors?
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Or are we already too late?
Agents are bad, universities are good: discuss … [email protected]
Enzo@espressoHE
UUK International Higher Education Forum, 17 April 2013 Vincenzo Raimo: Agents are bad, universities are good: discuss 33
Working with Agents
Sandra Elliott, Director Communications and International Relations Cardiff University
17 April 2013
Cardiff University and Agents
• Longstanding relationships
• 45 agents in 39 countries
• Standard commission rates
• Listings on website by country
New Agents
• Ask for references and business case
• Due diligence
• One year contract initially
• Annual reviews of performance
• Training and support
Reputation and Agents
Daily Telegraph story 26 June 2012
The Story – 26 June 2012
● Golden Arrow offering places for A Level students
from China at lower entry than UK students
● International students taking the place of UK
students
● Assistance with personal statement
● Allegations of “doctoring” of visa documentation
● First call to press office circa 10am 25 June
The Questions
• Why are Chinese students being offered places at Cardiff with grades that are lower than what are
published on your website?
• How many students from Golden Arrow study at Cardiff each year?
• How many of these students achieve the grades advertised on your website?
• What is the relationship between Cardiff University and Golden Arrow? Does Cardiff pay Golden Arrow to
recruit students?
• Are Cardiff University aware that Golden Arrow would offer to draft personal statements for students?
•What checks do you carry out on Golden Arrow?
What happened next?
• Response to DT and statement approved• Direct contact with Tony Ji – CEO , Golden Arrow• Other media interest – national and local
– Good Morning Wales Radio – BBC Wales Today (PVC Education interviewed)– ITV Wales – Newyddion – Times Higher Education– Western Mail– Huffington Post– Daily Mail – BBC Network News– Capital FM Radio
• Briefing for HEFCW and Welsh Government• Support from UUK and RG Communications teams• Internal Communications
Western Mail – 28 June
The Follow Up
Instigated a review of Golden Arrow activities
Entry criteria to Cardiff University for A level students
Variation in entry criteria between international students and home/EU
students
Fees charged to prospective students in China for advice from Golden
Arrow
Support for writing personal statements for applicants
Visa advice
Golden Arrow actions
Immediate internal investigation
Two members of staff left
Further training with support from the British Council and the UKBA
on visa issues
The Lessons
● Agent Contracts
● Agent Training
● Manage risk - monitor activity of
agents
● Reduce exposure to agents
Any questions/comments?