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Sunday, October 1, 2017

Private Schools in a Market-Driven World

In-N-Out Burger and McDonald's both sell hamburgers, but they have distinctly different perspectives on the market.

In-N-Out Burger relies on customer loyalty and has not changed their menu since 1975 (when they added milk shakes). In comparison to many fast food chains, In-N-Out Burger does very little advertising; they do one thing well and count on their raving fans to tell their friends and to return as customers.

McDonald's (and most other fast food chains) also work to build customer loyalty and raving fans, but they have a realistic view of living in a market-driven world. McDonald's differs from In-N-Out because they spend considerable amount on marketing/advertising and regularly introduce new menu items to attract new and returning customers.

If we define a "market-driven" business by the level that it focuses/alters products based on what the market or customers want, we would conclude that McDonald's is more of a market-driven business than In-N-Out Burger.

In-N-Out Burger is an anomaly, and its customer loyalty is unmatched in the fast food industry. When In-N-Out fans see the In-N-Out sign (or even two crossed palm trees), Pavlovian drooling begins. Every fast food restaurant would love to have these raving fans.

What does hamburger sales have to do with education? More than you may initially think. Schools, for years, have held to an In-N-Out perspective on the market ... never changing the educational "menu" and spending little on advertising.  However, we live in a very competitive, market-driven world, even in education. My focus in this article will be on private (tuition-reliant) schools, but today public, charter, and private schools are competing aggressively for students.

What Must Change

Many private (tuition-reliant) schools have operated for years from solely an In-N-Out Burger mentality, relying on a loyal parent/alumni base to be raving fans who tell their friends and enroll their children/grandchildren. However, they are discovering that their base is not as loyal as they had thought and expect to be "courted." Schools need to be more market aware. They need to "change the menu" to attract new parents, promote the amazing things happening in the school, and encourage their alumni to enroll their own children.

With excellent public, charter, and private schools, the educational climate is extremely competitive. Private schools that are tuition reliant are especially susceptible to the market, i.e., it is difficult to compete with free. While I may wish that we still lived in an In-N-Out educational world, private (and now increasingly public) schools need to think more like McDonald's.

What Cannot Change

When fast food chains introduce a new menu item or run an advertising promotion, they do not change the staple of their company. McDonald's may offer a new McCafe drink to attract new and returning customers, but they still primarily serve hamburgers and french fries; that is what they do well. Likewise, when schools offer a new program, they must continue to provide the education that is their staple. Mission statements cannot change, excellent teaching and learning cannot change. Schools cannot compromise their mission and excellent education to appeal to the market.

A Market Awareness in Education

Like most businesses (and McDonald's), schools rely on both word of mouth and market sensitive strategies to turn heads and to encourage parents and students to "come and see" the good things happening at the school. Not only do these strategies reach new families, they also build excitement in their current families ... making satisfied "customers" into raving fans.

Here are a few ways to build raving fans and to encourage others to "come and see."

Social Media -- A free way to promote the school is through an active (even overly active) social media presence. If your school is not posting pictures daily of the great things that are happening at your school, you are missing this free marketing. Unfortunately, social media can also be where your brand takes a hit; schools must control the social media messages by over-communicating all the good things happening.
  • Hire a tech-savvy, raving fan to manage your social media accounts. Find someone who is tech-knowledgeable and communication-wise ... a recent alumni may be a great choice.
  • Encourage parents, students, staff, alumni, and board members to like, share, re-post everything that the school posts. The effectiveness of social media is in the activity metrics, i.e., the more something is "liked," the more people will see the post.
Word of Mouth -- A school must provide talking points to staff, students, and parents to share with the community. A school-wide awareness of the school's mission statement, core competencies, and motto is a good start. However, encouraging positive talking points is more about over-communicating to your stakeholders about all the great things happening at your school so that they, in turn, have something to share with their friends and neighbors.
  • Communicate with the staff (and families) the importance of positive messaging about the school to the broader community.
  • Use the "Magic Ratio" of 5 positives to 1 negative. If something positive is messaged to the school (and greater) community each day, the impact of an occasional negative message will be diminished.
  • Handle complaints and grumbling quickly and internally. When complaints/grumbling simmer and fester, they often end up on social media and taint the positive word of mouth messages.
Innovation -- Encourage and promote innovation within the staff. Most teachers went into education to make learning fun and interesting; they should be given the funds and freedom to be creative and innovative. Often innovative ideas turn into great pictures for social media, and sending kids home with answers to the "what is something interesting that you did today?" questions really helps parents spread the word about your school. 
  • Ask teachers ... what new things are you doing? when can I visit your classroom to see something new? (and take pictures to post on social media)
  • Provide "opportunities to grow" through staff discussions, articles, and stretching professional development.
  • Establish an innovation fund for teachers to use when they want to try something new.
Building / Renovation -- Colleges and universities have figured this out: construction on campus brings energy and excitement about the future. Nothing inspires people to "come and see" and ask questions like an active construction site. Old buildings with no construction/renovation happening is boring for everyone, including current families.
  • Have a construction/renovation project (no matter how small) going on at all times, especially during the admissions season.
  • Consider updating classroom furniture into flexible seating; this may provide an inexpensive way to recreate a room.

Both In-N-Out And McDonald's

Today, parents and students are looking every year at the greener grass on the other side of the school fence; they are being wooed by other schools at an alarming level. Schools (especially those that are tuition-reliant) must have both an In-N-Out and a McDonald's perspective on marketing. We must build those raving fans (that will salivate when they see your school name) like In-N-Out has done; however, schools must also utilize guerrilla marketing strategies to message positively about the school. Finally and most importantly, schools must continue to deliver excellent education that is both innovative and effective.

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