
A New Marketing Concept for Higher Education
Relationship Marketing
by Bob Topor
1998
Many institutions of higher education spent the better part of the 80's and
90'S treating users as expendable: students, alumni, high school
counselors, supporters, contributors, parents, friends, faculty and staff.
But the new institutional mandate appears to be a complete reversal. Many
institutions are trying to learn everything they can about their audiences.
They have realized that people on the other end of marketing exchanges are
critical to their success. Many are making every effort to solidify
relationships, to find ways to appreciate "customers," build loyalties, and
fight to keep them.
Your school: continuum of positive relations or isolated sporadic attempts?
For higher education this concept is difficult. Why? Because of the very
basic ways institutions are organized as vertical hierarchies, each segment
"a barrel on its own bottom," as has been commonly heard for decades on
many campuses (an as Bob Topor found at Stanford). This form of autonomous
unrelated budgeting, planning and behavior does not lend itself well to
building and nurturing relationships as users move along the higher
education continuum: as youngsters in preparatory schools, as pre-college
students, as students, as alumni, as parents and as supporters and
contributors. This lifecycle continuum is difficult to maintain with any
degree of consistency and continuity as users move from one stage to
another and are handed-off from one to another segment of higher education.
What is relationship marketing?
As the name implies, relationship marketing means developing long-term
bonds with users by making them feel good about how an institution of
higher education relates to them. The idea is to develop and maintain
strong personal relationships, feelings based on positive interactions and
perceptions. In many ways relationship building and maintenance is the
essence of marketing. The marketing exchange process is used to build and
maintain positive relationships with continuity and consistency.
One way for higher educational institutions to do this is to treat users
with special services, offerings and communications that are designed to
build loyalty. Newsletters, meetings, special invitations to events, tours,
and good-felling ideas are used to cement relationships. Rather than
thinking of a certain group of people as "matriculating students" people
are thought of as being intrinsic to the life-long continuum, and related
to the institution, and only by coincidence are they on the student segment
of the lifecycle. This, for many institutions of higher education is a very
new way of thinking about audiences, especially since most are organized
and have experience, often decades of experience, thinking about only
"students," (not the overall lifecycle relationship) and where "students"
happen to be on it!
The ripple effect
A good way to begin relationship marketing is to build concentrated core
groups of key target audiences and focus attention on that group, with the
idea of creating a "ripple effect" as members of that group help carry the
school's messages to their friends, associates and colleagues. The core
groups should be representative of market segments, people who have been
identified as homogeneous representatives of target audiences. Once
established, membership can be expanded into ever-widening circles.
Loyalty building
Higher education is beginning to understand that people don't change
doctors, lawyers, dentists, where they shop for groceries, what airline
they use for frequent flying, or tax accountants at the drop of a hat or by
whim. Lives are organized around relationships; often very long-term
relationships. Once a relationship is broken, for whatever reason, they are
very difficult to rebuild. Trust is a central idea to relationship
building. Therefor, when an institution of higher education is "convicted"
of cheating the government, for example, that negative idea ripples out
throughout its constituencies and has far and long-reaching negative effects.
Higher education is beginning to discover what many commercial firms have
known for a long time. That is that it is very difficult and traumatic for
a person to dismiss a relationship when they believe that relationship is
responsive to their personal needs and wants. It's worth the extra effort
to build and maintain these relationships.
From mass marketing to personal satisfaction building
Unfortunately many academies have focussed efforts on population segments
only when they felt a segment could do something for them. For example,
many schools have bombarded pre-college students when they feel they are
needed to fill classroom seats. Few have taken the approach of trying to
determine what it is the potential student really wants or needs and
nurture that person through a continuum of relationship marketing. Often,
once graduated, a former student is only thought of as an alum, with little
regard for her/him on the lifecycle continuum. Segmentation is a practical
marketing principle but it needs to be done as part of a grander plan; not
only as individual spurts of activity, often unrelated and with little
continuity and cohesiveness.
Touchy-feely?
Long before your time, when I was a youngster, our family had a breadman,
and milkman (few were female, unfortunately). My mom knew these people by
name. They were part of the family and shared in communications that went
far beyond the price of a loaf of bread or a bottle of homogenized milk.
They often spoke to each other in very friendly and personal terms. This
allowed for feedback and for services improvement. If the milk was to go in
the milkbox because of cold weather, that's where mom would find it! Things
the customer liked or disliked were carried through the communications
conduit of service provider and customer, often an a first-name basis. The
breadman often had a cookie for mom's children! Strong relationships were
built on personal interactions. Trust was built. Many businesses were built
and nurtured on personal trust.
Losing a member of the family
Mom trusted "her" service people to do the best for her, to provide safe
products for her family and children and had little reason to switch. In
fact if one of her service people retired she would feel as if she had lost
a member of the family. Of course you may argue that was in the days when
one could afford to build personal relationships (in the 40s and 50s). You
no longer can, you may argue. My response is that mass marketing ideas in
higher education, broadcasting messages in great proliferation, has moved
higher education far away from the kind of personal relationships needed to
succeed. Trust, for many, is not being nurtured. Most are being bombarded
with generalized, impersonal, institution-serving messages and pleas for
help.
Focus on volume and numbers?
As mass marketing ideas have come to be utilized by higher education for
services of all kinds, schools have cared more for volume and quantity and
enrollment figures, fund totals, quantities of alumni, and numbers of
students, rather than for individuals who comprise the numbers. Higher
education has, for the most part, allowed itself to become de-humanized,
impersonal, remote, and unaccessible.
Mass marketing worked when people had fewer alternatives and when higher
education was much simpler (when there were clear and distinct lines
between, private, public and types of academies). When there were much
clearer definition between costs, type of education, curricula, wrapped in
positive public perceptions of higher education. Quality was more easily
understood not too many years ago. Higher education, like supermarkets, has
broadened its offerings and as a result schools have blurred their
distinctions while coming closer to resembling each other in many ways.
Blurred distinctions
The numbers of items in a supermarket have doubled in the last decade (to
30,000) and each day people are exposed to more than 3,500 advertising
messages that blur distinctions between providers. This blur has extended
to higher education as well. As a result it is more difficult for you to
describe clearly defined attributes that can position your school despite
the fact that you are very close to it. Where does that uncertainty leave
your users who are lost in a sea of generalized messages and conflicting
reports?
How do you do it?
Thinking differently is the best way to begin. Don't get caught up in the
mechanics of higher education. Break loose from old forms of thinking about
what it is you are expected to do. Look outward for answers; not inward. Be
open minded. Ironically, higher education comprises many people who are
very set in their ways and will not consider new ways of approaching
problems and opportunities. Many think of higher education only in their
terms and only from their points of reference. Often these ideas are far
from reality.
New references
Don't get misled by statements such as "that's the way we do it here" or
"that's the way we have always done it." Those statements are warnings.
They are often used to mask reality or to perpetuate dated thinking. The
real question is how do your users perceive your school, its people and
offerings? And what can be done to improve relationships?
Listening before talking
The most important step academies of higher education can take, before
attempting to snuggle up to users is to build representative lists of loyal
users that can be tapped regularly for marketing research. Listening before
talking is one of the greatest challenges for higher education. Higher
education is all too quick to do "what needs to be done" (as perceived
internally) without really finding out what audiences think and believe.
Today's technology allows you to get much closer to your users than you
have ever been able to do. Sophisticated technology allows
cross-referencing files by life style, age, usage patterns, and by
perceptions and feelings. If, for example, you want to determine how alumni
in a certain lifestyle category feel about ski trips to Colorado, there are
ways to determine that through focus group marketing research. Schools are
beginning to compile lists organized by factors that far exceed the
traditional age, sex, graduating class year, and address!
Track changes
Periodic polling of key audiences can be used to track changes in
perceptions and attitudes, ideas that are key to building relationships. Of
course, these ideas have to be built on solid, quality program offerings.
Marketing fluff and putting spins on reality can only serve to build
expectations that will ultimately crumble. Breaking promises will not build
relationships.
Creating an image: standing out in crowds
Some schools are building relationships with baby boomers through their
children. Parents want to "buy" more than a service or products from higher
education. They want to understand philosophies, values, missions and
benefits. The importance of identity, logos (limited to a concise logo
rather than the fragmented identities proliferated by many schools).
Identity, symbolism, logos, colors, style, form, and content of
communications are going to be more and more critical.
Self-destruction
Some academies have allowed their communications functions to become
depleted, or in the worst examples, cut to the point where they have
non-functioning communications activities. This is like trying to make a
phone call after you have cut the cable and thrown away the handset. Astute
administrators will discover that their communications operations
(publications, news, and departments who are conduits for direct contact
with users) are absolutely critical to their success. Having excellent
faculty, well developed curricula will do very little if few know about it
and are convinced about their value.
Outreach and Inreach
One of the reasons for launching Publications, the adjunct newsletter to
this one, is to reinstate the importance of creative and aggressive
internal and external communications for higher education. Many schools
have discovered that communications are the decisive factor for effective
marketing. You cannot have one without the other.
Turning users into evangelists
Institutions will have to build cadre of friends and "family" who will
convert their friends and acquaintances to becoming loyal and frequent
supporters. There are many examples of for-profit organizations that have
been doing this very successfully. Observe technique and ways of corporate
allegiance building. It is occurring all around you. It's happening to you
personally. When you get home tonight check your mail and ask yourself why
you are getting some of the mail you find. When you attend your next
off-campus meeting ask yourself why you are there and how did you get
there. The next time you consider a major purchase ask yourself how you
cane to that decision? What motivated you? Ask yourself why you chose the
next movie you attend. The next time you get a phone call asking you to
subscribe to a service ask the caller why you were selected for the call.
Why did you select the location for your last vacation? Each day, in many
ways, you are being nurtured in some form of relationship marketing. You
may not even realize it!
Use similar ideas for your work after testing them with key audiences.
Increased competition
It's going to get more and more competitive. One of the functions of this
newsletter is to break free new thinking and actions in order to take
advantage of the power of marketing. There is going to be more and more
competition for the valued user. This is a people business. It is not a
business of budgets, forms, accounting, balance sheets, organizational
charts, and fiscally directed activities. Those are all adjunct to the real
purposes of higher education. Real purposes are people related. For schools
that forget that basic idea the future will look very dim. For those that
don't, even in very difficult environments, success is attainable through
relationship loyalty-building.
Think relationship marketing! It's a powerful idea.

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