Low student retention rates have a significant impact on higher education institutions. Firstly, it costs money to recruit and educate each student that doesn't graduate. For example, the University of Phoenix spent $832 million on marketing and recruiting in 2016 alone. That's a lot of money that could be used elsewhere, such as on scholarships or research initiatives. In addition to the direct cost of recruiting students who don't graduate, there are also hidden costs associated with low retention rates. One of these is the cost of lost productivity. When students drop out of college, they often do so without completing their degree or credential. This means that they're less likely to find employment in their chosen field, which can have a negative impact on their earnings potential over the course of their lifetime. Finally, there's the social cost of increased debt burden on society. When students drop out of college, they often leave behind a trail of debt. This can have a ripple effect on society as a whole, as it increases the likelihood of defaults and foreclosures. It can also lead to increased stress levels and mental health problems among individuals who are struggling to repay their loans.
Higher Education Institutions Struggle with Low Student Retention Rates
Higher education institutions are struggling with low student retention rates. In fact, the average undergraduate dropout rate is now hovering around 40 percent. And in four-year colleges, 56 percent of students drop out within six years. This is a problem because it costs money to recruit and educate each student that doesn't graduate. Also, there are many hidden costs associated with low retention rates, such as the cost of lost productivity and the social cost of increased debt burden on society. There are numerous factors that contribute to low student retention rates, including lingering COVID-19 uncertainty, financial challenges, and shifting perceptions and priorities regarding education and work. Despite this, college executives face rising pressure to combat student attrition and boost graduation rates. To address the issue, many are overhauling their communications and outreach strategies in an attempt to drive student engagement.
Higher education institutions are facing a big challenge in terms of low student retention rates. There are numerous factors that contribute to this problem, including lingering COVID-19 uncertainty, financial challenges, and shifting perceptions and priorities regarding education and work. Despite this, college executives face rising pressure to combat student attrition and boost graduation rates. To address the issue, many are overhauling their communications and outreach strategies in an attempt to drive student engagement. While there is no easy or immediate fix to this problem, it is important for higher education institutions to continue working towards finding solutions. Low student retention rates have a significant impact on institutions financially, socially, and in terms of lost productivity. Therefore, it is in everyone's best interest to find ways to improve student retention rates at colleges and universities across the country.
