Part two of a three-part series. Originally published October 28, 2022, it’s been updated to reflect changes in the OPM market.
Why custom solutions outshine OPMs
Many of today’s higher education leaders have turned to private sector companies to help establish and guide online programs. The most common types of providers and the models they use when working with schools include:
- OPM (online program management) companies: Offer turnkey services to help institutions bring programs online in return for a sizeable share of the tuition over a set, long-term period of time. Solutions are typically one-size-fits-all and providers typically own program web pages, inquiry forms, and data.
- OPE (online program enablement) companies: Offer bundled, fixed-fee services to bolster a school’s online program and provide long-term support. Solutions are customized to the school’s specific goals, challenges, and mission, and providers work with schools to optimize their websites and processes.
- Unbundled service providers: Offer separate, fixed-fee point solutions to augment a school’s internal online program efforts and maximize their impact quickly. Solutions reflect a school’s immediate capacity gaps, and partnerships are often short-term and flexible enough to adapt as an institution’s in-house capabilities grow.
Key benefits of fixed-fee partnerships
Companies that provide point solutions can offer the best option for schools wanting to own the future of their online programs, build internal capabilities, and transform the institution. While fix-fee contracts require schools to invest in the upfront costs of managing online offerings, because there is no on-going revenue-sharing required with an outside company in exchange for investment, the institution is able to enjoy the following benefits:
- Stability. Major OPM providers have shown instability with acquisitions and bankruptcies stemming from unstainable rev-share business models. Fixed-fee providers have become more reliable, strategic choices for many schools.
- 100% Transparency. Tools, best practices, intelligence, and insights are shared with the school. With a non-OPM partner, there should be open, strategic conversations around what it takes to successfully implement marketing, admissions, and enrollment strategies.
- Full-funnel data enablement. Data from across the entire student journey is collected, connected, and activated, and the insights are used to optimize investment, increase reach, and improve conversions.
- Improved infrastructure. The performance of a school’s website, systems, and student experience are objectively assessed. Schools retain ownership and get recommendations and expertise to improve them.
- “Whole university” impact. If you’re working with a full-service provider, the health of the entire institution is taken into consideration, not just one particular program, ensuring the work positively impacts the school as a whole.
- Full control over decision making and strategies. Institutions have control over their investments, as well as branding and messaging, with no reliance on the “black box” paid media tactics OPMs typically use to drive leads.
For sustainable success, consider fixed-fee partnerships
Online learning options are essential to sustainable success. The right fixed-fee partnership is compatible with a schools’ long-term goals and short-term needs, allowing institutions to add online programs and grow in-house capabilities while retaining control and meeting the demands of today’s students.
To determine which approach is best for your institution, download our “Building an In-House OPM: Models & Considerations for Higher Education” ebook.
Collegis Education can help schools successfully own the future of their online courses and programs. Learn more about working with a strategic partner.
This article is part of a series about OPMs and OPM alternatives. Read part one, “The Hidden Secrets of an Online Program Management Company,” and part three, “How to Plan for a Successful OPE Partnership.“
Author: Tracy Chapman, PhD
Tracy Chapman, PhD., serves as Collegis’s Chief Academic Officer. Chapman’s 20+ years in academia includes leadership, scholarship, and innovative approaches to reaching students. Prior to joining Collegis, Chapman served as the dean of the School for Professional Studies and associate provost for Distance Education at Saint Louis University, and led Creighton University’s Center for Academic Innovation.
Categories
