Cost objections
This module stated " By the way, cost objections translate into “your school/program isn’t worth this much money to meâ€. How can you overcome this objection? What is the student missing in the information process?
Shannon, Showing student value is a great way to approach cost objections. What are some of the things that you show to build value?
Dr. Jean Norris
Make them see the value. This is my approach as well.
Like others have posted, I also try to discuss the benefits and the empowerment he/she will have, once obtaining their diploma and how it will feel. During the information process, I also try to ask the student (who express finances as a concern) what he/she wants in a school; what would make he/she a successful learner; or how he/she feels they can get the most bang for their buck at our institution.
So it sounds like you communicate the value of an education at your school for the student, that's a great approach! How do your student's typically respond to this approach Christina?
Dr. Jean Norris
When a student inquires and struggles with the cost of our programs, I generally talk to the student about the benefits of our school over other schools. I draw on things like- small campus, personalized education, student to faculty ratio, streamlined approach towards earning your degree. I always tell them that, in the long run, this is the first step towards a career they want and deserve. Also, this is an investment in themselves- what better person to invest in than YOU!
Elizabeth,
Great point. Informing the student of options they have and relating it to a great investment is a great way to ease fears.
Dr. Jean Norris
I would inform the student that we have many students that work full time and still receive financial aid. The accredited education will outway the monetary investment.
Great job pointing out the benefits of your institution to help build value and potentially outweigh the fear of the cost of attending school. Though the lack of funding may prevent a prospective student from attending today, with the right plan and after building value with that student, they may be back after saving or coming up with a way to fund their education. Thank you for your post Theia.
Cost objections are number one with stopping a student from even coming into the school. I find it is good to let them know that financial options are available and will be gone over in detail at the meeting.
The benefits of coming to our school are the short length of time to get a certificate to enter the work force with and our job placement assistance.
Our school is well recognized in the community and prospective students want to come here.
Great point Doug, you really hit on something that is very important - building value. Taking the time to understand your prospective students' goals, needs and wants will help you to provide customized benefits to the attributes at your school. What are other ways to build value for your students?
You really need to give the student the value of the program. If you focus on the benefits rather than just the features you add value to your programs. The features give what you have, the benefits tell why those features are important to the student. You have to know what they are looking for and what benefits you have to satisfy their needs.
Schools without federal funding have an added challenge over the accredited schools who do; however, communicating the benefits of your school and building value for the student can help any admissions professional with the cost objection. You noted that you discuss the cost of tuition at the beginning of your discussion. How would asking questions to understand your student's wants and needs and providing information about the benefits of your school prior to providing tuition information impact the discussion?
In the vocational school where I serve on the admissions staff, financing the cost of tuition is usually the first question. The majority of our students have little-in-the-way of financial resources, so we try to find some kind of option(s) that might work for them. In many cases, we refer the student to state grant programs designed for re-training displaced workers and the unemployed who often have no funds even for a deposit. Since our school does not have the accreditation (currently seeking) to award federal student loans, students do go elsewhere where they can apply for that specific type of financial aid. This is the most common form of rejection despite the superior quality of our programs over the competition.
I see the direction you're going by helping the student take a look at their return on their education investment. What questions could you ask prior to the cost conversation, to understand what is important to them?
There are some things in life that are especially important. Home, car and upermost education. With a good education and career your earning potential will be vastly impoved. This is the area where it is wise to make an investment in yourself.
I would inform the student that I understand why they are concerned and that I have had a concern like this before however I ask if they are looking at the end result, although you are investing a significant amount into this course, look at the outcome, what you'll learn, the type of accreditation you will recieve and most importantly what type of future you can build with this type of education.
Thanks for sharing Linda. It looks like you have many different school attributes that may help address the cost objection for students. In addtion to your schools attributes, it also sounds like there you discuss the return on investment. I wonder, how have your students found these to be helpful when addressing the cost issue?
Dr. Jean Norris
When I tell the prospective student the tuition I immediately tell them about our payment programs. We give our students an interest free loan after they make their down payment. I also tell them the length of the course (12 weeks) and that they can be started on a new career in only 12 weeks. I tell them all cost associated with their program but still try to make them realize that isn't that much money when you can get a good paying job after their training.
Julie,
Thanks for sharing your insights. The total dollar amount can be overwhelming for students at times. It sounds like once you've told your students the total cost, you have additional resources to give them to break it down into the details. Do I have that right? Taking the opportunity to find out their specific concerns related to cost is helpful as it gives you an idea of their baseline for comparing cost. Is it the community college, the state university, the amount in their bank account, etc. Once you have that information you have a better idea of what to discuss with them related to tuition.
Shannon Gormley
