Several negotiators were concerned about the impact of the proposed language on an institution’s Internet-based activities.  Negotiators asserted that the HEA permits advertising and marketing activities by a third party, as long as payment to the third party is based on those who “click” and is not based on the number of individuals who enroll.  The Department agrees and does not believe that the proposed regulatory language would prohibit such click-through payments.

Please explain to me how CPC makes more sense than cpl, other than with non-internet (call center) leads.  Anyone who can manage an efficient CPL program can just as easily manage a successful CPC program.  Still don’t see why internet driven CPL is being called into question especially for the lead provider who have zero interaction with the prospect who sought out, then filled out the lead form for the school.

To access the complete 500+ page doc Click: 

http://www.ed.gov/news/student-aid-rules-protect-borrowers-and-taxpayers

then click on the link in box on right: notice of proposed rulemaking.

• That lead generators don’t contact/interact with the student prospects
• The the entire process is driven by the prospective student choosing and requesting
• That non-profits buy data on people who aren’t aware and the directly market them
• That the vendors are not in any way involved in the enrollment process
• That the education directories provide a valuable free service for prospective students
• That the lead generators have created much more outreach promoting education

Schools seem to think that if lead gen CPL has to either go away or change that CPC cost per click will remain…that doesn’t make any sense to me as ultimately the value of a click can be identified by conversions just as the value of a lead.  However, many mention that Google CPC is different as they set the price.  Other schools feel that placement fees/clotting fee will become the new normal. 

What do you think?

I have heard most if not all of the arguments & viewpoints against the way for-profit schools market.  I have heard all of the name calling, the comparison to the subprime lenders, the predatory marketing tactics, the hundreds of millions being spent by schools and the deceptive/ misleading advertising practices.  For an uneducated or ill-informed individual,  it’s easy to see how some jump on the bandwagon.  However, let us not forget that whenever one listens to only one side of a story or argument it’s easy to fall into alignment.  What bothers me, in addition to the one-sided arguments being made, is the complete lack of thinking things thru.  The fact that some elected officials are too quick to make changes, many simply for change sake, is just news-bite governing.    When did we all of a sudden decide to switch to a fast break style government?  When did ready fire aim become the best practices promoted by some leaders within the department of education.  Is it really reform if the changes that result backfire on the ultimate goal?    Why don’t people think things thru anymore?  What about the ripple effects caused by these aggressive proposed changes?  I thought one of our top goals as a country was to increase the percentage of Americans with a college degree?  Shouldn’t government work to improve the advancement opportunities for those who need it most.  I am all for closing any firm or firms who are systematically practicing & promoting non-compliance, fraud or deception, I am not however in favor or thoughtless knee jerk decision making that effects an entire industry.

 I was a Political Science Major and a logic minor in college.  Talk about an internal conflict within one’s own education…  It’s sad that in today’s screwed up political climate it seems like an either/ or equation, do I want to be in politics or do I want to be a logical person!

How is it that schools spending large sums of money on advertising are determined to be doing something bad?  What about the reinforcement value of the “go to college”  messaging, the education awareness they generate, and the outreach into areas not targeted by tradition schools?

 Why is it bad for lead providers to provide prospective education seekers with non-incentivized compliance approved forms for individuals to request information directly from schools who want to talk to them about potentially becoming a student.  Isn’t that a value?  

 It’s Interesting that you never hear about the positive aspects resulting from the unprecedented awareness created from the influx of educational advertising over the last decade. 

Here is one:

Recent Pew research center study:

 The most detailed study to date of the 18- to 29-year-old Millennial generation finds this group probably will be the most educated in American history. But the 50 million Millennials also have the highest share who are unemployed or out of the workforce in almost four decades, according to the study, released today by the Pew Research Center.

Pew’s analysis includes its own data, such as a new survey of 2,020 adults, including 830 Millennials, conducted by landline and cell phone last month. It also analyzes data from other sources, such as the Census, which shows 40% of those 18-24 were in college in 2008, a higher percentage than any previous generation at those ages.

**

So if you are a misguided politician you read the above excerpt and say: 

See those for profit schools are suckering more people to go to college than ever before, and if those people weren’t suckered into getting a degree they would not have any student loans…  Also, what good is a degree, look at their graduates, they are unemployed…

I would argue that obtaining a college degree is not ever a bad idea!  I would also argue that they are unemployed because of the current economic debacle we are currently facing. 

A logical person however may read the same excerpt and say:  

Wow, I am glad to see the increase in college educated people within the most recent generation, hey maybe it’s because of all the increased awareness resulting from the influx of advertising to those people over the last decade or maybe from the outreach from the proactive colleges.  It’s unfortunate to see so many of them unemployed, but then again over 10% of our country is unemployed, the economy sucks.    

Anonymous

LeadsCon Las Vegas 2010 takes place February 23rd and February 24, 2010. Join for two full days of unforgettable learning and unparalleled networking.

Register: http://www.leadscon.com/leadscon-las-vegas-2010/register.html

 Take a look at this and let me know what you think (copy and paste if it does not appear as a link):  http://www.aralifestyle.com/article.aspx?UserFeedGuid=245a1190-1c3c-47aa-b51b-48f7b10be5ee&ArticleId=2507&ComboId=8228&title=Obama-will-give-you-2-500-a-year-to-go-to-school

FYI, the link in the email reads:  Click here: Low income? Stimulus will pay you to go to school

It is important that schools continue to fight for transparency in advertising tactics when they use new EDU marketers.  Must have teeth and claw-back provisions when vendors break arrangements!

Almost all of the EDU lead vendors we have spoken to feel 2010 will continue to be strong for EDU lead gen, though most don’t expect a repeat of last year’s explosion.  Clearly the data suggests that most of the second half of 2009 showed a steady decline from the first half.  While year over year was still exceptional, the aggregate consistently began to decline in August continuing thru year end.  However November & December did not decline from October as much as previous years.

Sparkroom provides business intelligence and lead delivery software that helps organizations immediately improve marketing efficiency and increase profitability by managing, measuring, and optimizing lead performance across all direct response marketing channels. Sparkroom's Lead Performance Management product suite, which includes LeadDeliver, LeadIQ, and Lead Market Analytics, enables direct marketers in higher education to:

   -- Understand the performance of every lead, regardless of the channel 

   -- Proactively manage lead vendors 

   -- Align marketing with sales or enrollment targets 

   -- Immediately improve the performance of marketing spend

“We are excited by the opportunities created by bringing CUnet and Sparkroom together,” said Matt McLaughlin, President of CUnet. “Sparkroom's technology products will complement CUnet's interactive media and marketing services to provide a powerful solution for colleges to drive the most value from their marketing spend. It's a great fit that will benefit marketers in the higher education sector.”

CUnet provides clients with a wide range of performance marketing services including vendor lead management, call center management, search marketing, display advertising, social media management, mobile marketing, and school operations consulting. Sparkroom's Lead Performance Management product suite provides comprehensive technology tools to education marketers, allowing them to make faster, data-driven decisions that drive marketing efficiency and business profitability. The companies will offer an industry-leading mix of marketing services and technology solutions for educational institutions from a single provider.

“Sparkroom's mission is to enable our customers to optimize their investments in interactive direct response marketing,” said Jamie McDonald, CEO of Sparkroom. “By teaming up with CUnet, we will accelerate our ability to deliver on that mission and bring new ground-breaking products to the market, which will continue to improve marketing efficiency for higher education marketers.”

Sparkroom co-founders McDonald and Jamie Shulman, Vice President of Operations, will continue to lead Sparkroom and its associates from Toronto.

While the purchase price is not material to Nelnet, the acquisition adds strategic value to the company by broadening its lead generation products and services business and further strengthens its lead generation technology.

About CUnet

CUnet is the premier provider of online performance media and interactive marketing services driving qualified student inquiries and enrollments for the higher education industry. Founded in 2003, the company has grown rapidly to oversee the promotional campaigns of over 1 000 colleges, universities, and career schools throughout the United States and Canada. CUnet is dedicated to creating cost-effective marketing programs using a mix of online media strategies and formats to find prospective students, generate qualified responses, and maximize enrollments and starts. CUnet is a subsidiary of Nelnet, a leader in education planning and financing for more than 30 years. CUnet is based in Paramus, NJ. For more information, visit www.cunet.com.

About Sparkroom

Sparkroom delivers innovative solutions to direct marketers, including its comprehensive Lead Performance Management software and services. Sparkroom Lead Deliver, Lead IQ, and Lead Market Analytics deliver a hosted business intelligence platform to give direct response marketers the tools and expertise needed to measure, manage, and optimize their lead acquisition spending across every direct response channel. Sparkroom's software, which it hosts and delivers to its customers on demand, enables customers to capture, store, and analyze information generated by their lead buying activities and to gain critical business insights into the performance and efficiency of marketing and sales initiatives and other business processes. Founded in 2007, Sparkroom is privately held. For more information, visit www.sparkroom.com.

Information contained in this press release, other than historical information, may be considered forward-looking in nature and is subject to various risks, uncertainties, and assumptions. Should one or more of these risks or uncertainties materialize, or should underlying assumptions prove incorrect, actual results may vary materially from those anticipated, estimated, or expected. Among the key factors that may have a direct bearing on Nelnet's operating results, performance, or financial condition expressed or implied by the forward-looking statements are the uncertain nature of the expected benefits from the acquisition and the ability to successfully integrate operations, changes in terms of student loans and the educational credit marketplace changes in the demand for educational financing or in financing preferences of educational institutions, students and their families, or changes in the general interest rate environment and in the securitization markets for education loans.

(code #: nnig)

SOURCE Nelnet Inc.

/CONTACT: Media, Ben Kiser, +1-402-458-3024; Investors, Phil Morgan, +1-402-458-3038; both of Nelnet Inc.

/Web site: http://www.nelnet.com

ForProfitEDU.com Launches First Annual Lead Generation Benchmarking Survey Online Members of the higher education community are invited to participate in benchmarking study to identify current trends and best practices in lead marketing

Wednesday, December 2, 2009 – New York, NY – ForProfitEDU.com announced today the launch of the First Annual Lead Generation Benchmarking survey for the Higher Education sector, sponsored by Sparkroom. The survey, which is open to individuals that are directly involved with marketing in higher education, will examine where schools are focusing their online marketing efforts, what tools and tactics are most effective, and what challenges exist in this area. All survey participants may register to receive a free report with the results of the survey upon completion. According to BMO Capital Markets Equity Research, sales and marketing expenses run above 25% of revenues for the majority of companies in the for-profit education space, with a growing proportion of that spend happening in online marketing. Despite this, there are very few objective resources that marketers in the education market can reference to get a better handle on the use of online marketing in the sector.

This survey will offer a clear set of benchmarks, while identifying current trends and best practices for marketing professionals. The survey takes approximately 5 minutes to complete, and can be accessed online at https://surveys.itracks.com/survey/AHELMBS 

 It will be open to respondents until December 16, 2009 and a report on the results will be made available to participants in January.

About ForProfitEDU.com

ForProfitEDU.com is a leading website resource for all those who work within, around or are interested in the For-Profit EDU industry. The site offers networking, research, consulting, news updates and commentary from members of the For-Profit EDU community. Contributors include those from the school side, as well as those that work at related services firms including the investment community (investors, analysts, venture firms & PE firms), marketing & advertising professionals, educators & curriculum development, career services & other related service providers. ForProfitEDU also provides research and consulting services to schools & other service firms within the industry. Areas of expertise include Advertising, Lead generation, Marketing Strategy & Execution, Admissions, M&A, Raising capital, Market research and Partnering to create & grow online schools.

About Sparkroom

Sparkroom delivers innovative solutions to direct marketers, including its comprehensive Lead Performance Management software and services. Sparkroom Lead Deliver and Lead IQ deliver a hosted business intelligence platform to give direct response marketers the tools and expertise needed to measure, manage and optimize their lead acquisition spending across every direct response channel. Sparkroom’s software, which it hosts and delivers to its customers on-demand, enables customers to capture, store and analyze information generated by their lead buying activities and to gain critical business insights into the performance and efficiency of marketing and sales initiatives and other business processes. Founded in early 2007, Sparkroom is privately-held, with funding from private investors and Matrix Partners. For more information, visit www.sparkroom.com .

Media Contacts pr@sparkroom.com

1) Tying Title IV eligibility to a “gainful employment” metrics including cost of program , loan debt, and income after graduation. (apparantly to be applied to vocational programs only)

2) Getting rid of all 12 incentive compensation safe harbors . 

ED’s proposals for gainful employment standard will determine the appropriate levels of debt allowable for each vocational program/degree offering and thus may effectively result in tuition caps 

Eliminating all 12 safe harbors could restrict a school’s ability to utilize 3rd party call centers for qualification & hot transfer and potentially diminish internet generated starts, thus stalling enrollment growth. 

Still much speculation and uncertainty…

Toronto – November 11, 2009 – Sparkroom, Inc. (www.sparkroom.com), a leading provider of Lead Performance Management solutions, announced today that Remington College has chosen Sparkroom’s Lead Deliver and Lead IQ platforms to automate their lead delivery and gain real-time visibility into the performance of their direct response marketing channels. Sparkroom’s on-demand platform will enable Remington to take control over their lead management, reducing costs and allowing them to make more informed decisions, while holding lead providers accountable for performance.

“It was clear that bringing lead management in-house with Sparkroom would drive significant cost savings and give us greater control over our lead vendors. However the prospect of switching over all of our providers, implementing our complex business rules, and integrating with our various systems and partners was daunting – it really requires a solid solution from a vendor that can be supportive of our service level needs,” said Bob Lutz, Senior Vice President of Marketing for Remington College. “After speaking with some of Sparkroom’s other customers, I believe they have developed a methodology for rapid migration to their platform and that they will help my team come up to speed with minimal pain.”

With Sparkroom’s secure, scalable, on-demand platform in place, Remington College will:

• Gain access to a self-service platform that will enable them to proactively manage their lead vendors, allowing them to develop tighter relationships with key media partners;
• Increase conversion rates and lower acquisition costs through access to lead performance data that will enable them to optimize their spend against their strongest performing segments and eliminating waste in areas that are not yielding results;
• Eliminate time-consuming and error-prone manual process steps through the application of custom business rules and integrated delivery of leads to their CRM system and third-party call centers.

“We are thrilled to be working with Remington College, Bob Lutz and his team,” said Jamie McDonald, CEO of Sparkroom. “We look forward to providing Remington with a software platform that will help them better manage and optimize their lead generation and admissions activities, ultimately giving them a competitive edge and helping them to scale their business more quickly.”

The Sparkroom Lead Deliver platform includes:

• Real-time lead capture. Bring together leads from all of your direct response channels in one central database.
• Complex lead validation and scrubbing.Validate that the leads being delivered are within your campaign dimensions and eliminate fraudulent, duplicate and invalid leads before they reach your call centers.
• Robust lead delivery engine. Deliver valid leads to multiple destinations based on flexible and customizable distribution rules.
• Integration with leading CRM and Student Information Systems. Pre-built connectors to leading vendor systems to insert new leads and extract conversion and admissions data.

About Sparkroom
Sparkroom is a leading provider of Lead Performance Management software and services. Sparkroom Lead Deliver and Lead IQ provide a business intelligence and lead delivery platform to give direct response marketers the tools and expertise needed to measure, manage and optimize their lead acquisition spending across every direct response channel. Sparkroom’s software, which it hosts and delivers to its customers on-demand, enables customers to capture, store and analyze information generated by their lead buying activities and to gain critical business insights into the performance and efficiency of marketing and sales initiatives and other business processes. Founded in early 2007, Sparkroom is privately-held, with funding from private investors and Matrix Partners. For more information, visit www.sparkroom.com.

About Remington College
Remington College is a common name used by all 20 campuses of a group of affiliated companies of privately-owned post-secondary educational institutions. Remington College offers diplomas, bachelor’s and associate’s degrees in the fields of health science, criminal justice, business, electronics and information technology in 10 states and also offers online programs. Remington College and its predecessor companies have been part of the higher-education community since 1985.

Media Contacts
pr@sparkroom.com

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