Emma Bittner explored options for a master’s degree in public health, considering both in-person and online programs. To her surprise, online degrees cost as much, if not more, than their in-person counterparts. “I’m, like, what makes this worth it?” she pondered, questioning the value without face-to-face interactions. The revelation highlights a broader trend: universities charge higher prices for online programs to subsidize other operations and invest heavily in marketing, according to industry insiders.
Kevin Carey from New America notes, “Universities see online higher education as an opportunity to make money.” This year, online learners will surpass those studying entirely in-person, marking a pivotal moment for digital education. Despite technology lowering costs elsewhere, 83% of online higher education programs cost the same or more than traditional classes, as per a survey of campus online officers. Some institutions even add a “distance learning fee” to the tuition.
Online education’s cost structure raises questions. While online courses eliminate physical classrooms, expenses include advising and support for remote students, who often perform worse academically. Richard Garrett from Eduventures explains, “Online was going to be disruptive. It was supposed to widen access. And it would reduce the price. But it hasn’t played out that way.”
For in-state students at public universities, online education costs average $341 per credit, higher than the $325 for in-person classes, as reported by the Education Data Initiative. Similarly, private institutions often charge more for online programs. Aggressive marketing strategies contribute to these high costs. The University of Arizona Global Campus spends $11,521 on marketing per online student, while the University of Maryland Global Campus plans $500 million for advertising to attract students nationwide.
Despite complaints, online enrollments continue to rise, accelerated by the pandemic. Students appreciate the flexibility and savings on room and board. Yet, universities maintain high prices, often due to startup costs and ongoing support needs. As competition increases, some institutions are reducing prices, and others are cutting ties with expensive online program managers. Still, online education costs remain a contentious issue among students, with many questioning its value compared to traditional education.
—
Read More Kitchen Table News
