Marketing and Managing Quality Australian International Education

Overview of International Students in Australia

A primary focus for the nearly half a million international students who choose to study in Australia each year appears to be obtaining a higher education — oftentimes because they view it as an investment in their own future. For the vast majority of these students, the hope is that their education will lead to improved employment opportunities and a higher quality of life, whether in Australia, another country, or upon returning to their homeland. Interestingly, almost half of surveyed higher education graduates and two thirds of VET graduates were living in Australia, with most either already having been granted permanent residency or hoping to obtain it.

Graduates who were working in Australia had a slightly higher unemployment rate than those who returned home, although most were working or undertaking further study. The majority of employed graduates were working in an occupation in the same field they had studied or in a related field, and most reported a high level of job satisfaction. Graduates working overseas were even more likely to be employed in a role related to their qualifications, and reported higher levels of satisfaction than those working in Australia. For graduates who were unemployed and seeking work, the most commonly perceived barriers were a lack of work experience, not having permanent residency, and a scarcity of jobs in their field of study.

Many of these students have traveled to Australia with the dream of participating in its higher educational system, and educating them is considered a significant revenue source for many universities and schools. International education is Australia's third biggest income earner and Victoria's biggest income earner. However, a number of changes are currently taking place in the policies governing how education is provided to both domestic and international students. The system is seeking continuous improvement, and the willingness to embrace these changes appears paramount to success at this particular juncture.

In developing a quality education program, it is important to consider: prevention of errors rather than correction; identification and elimination of waste; identifying the need to improve inputs; a focus on improvement at every step in the process; productivity improvement as a result of quality improvement; understanding of variation and inconsistency; the importance of incremental improvements; involvement of all academic staff; and empowerment of staff through employee participation in the quality improvement process.

It is also extremely important that the marketing of these improvements and qualities be accomplished in a professional, efficient, and cost-effective manner. One method for doing so is ensuring that the student (customer) is not only aware of the various improvements and enhancements but that those qualities are what students are actually looking for in a quality educational system. Student feedback is one of the best sources of information available when seeking improvements to services and products.

In brief, the Australian international education system comprises the following sectors: Primary and Secondary Education; English ELICOS; Vocational Education Programs; and Higher Education Programs.

Key Statistical Data and Visa Framework

According to DIAC findings, student visa applications fell by 18.9% between 2008–09 and 2009–10. The decline coincided with the global financial crisis; escalating concerns about the welfare of international students studying in Australia; the rising value of the Australian dollar; and the introduction of a range of changes to visa processing aimed at improving the integrity of the student visa program. Another concern is that ongoing college closures were creating uncertainty about the stability of Australian education providers.

There were also changes to the skilled migration program that effectively decoupled the student visa program from permanent residence. In 2009–10, the top five source countries for international students (based on visas granted) were the People's Republic of China, India, South Korea, Thailand, and Brazil, in that order. A total of 270,499 student visas were granted in 2009–10; of these, 45.8% were issued to nationals from the top five source countries. There were 382,716 student visa holders in Australia on 30 June 2010, compared with only 209,169 student visa holders on 30 June 2006. Of student visa holders in Australia on 30 June 2010, 52.2% held a Higher Education (subclass 573) visa, and 41.8% were Indian or Chinese citizens.

The grant rate for offshore student primary applications for the three-month period between 1 October 2010 and 31 December 2010 increased to 91.5% compared to the previous four periods. The grant rate for onshore student primary applications remained consistently higher than offshore grant rates. The grant rate for offshore international students from India for the same period was 43.1%, while for onshore applications it was 89.6%. At the end of December 2010, there were 291,204 international student visa holders in Australia, of whom 83.5% were primary visa holders.

The time required to process visa applications depends on a number of factors, including whether the applicant is on- or offshore, the assessment level applicable to the applicant, and the supporting evidence provided. Complete applications are generally processed faster than incomplete ones; where applications are incomplete, processing officers may request additional material. Student visa applications can also be submitted via the internet, which is quick, easy, and guarantees priority processing. During the three-month period from 1 October 2010 to 31 December 2010, processing times for offshore applications improved compared to the previous four periods, while processing times for onshore applicants increased compared to the previous three periods. Offshore student applications receive priority to give students lead time to organize travel and other arrangements. International students must hold a valid visa for the entire duration of their studies in Australia.

There are eight types of student visa:

1. English Language Intensive Course for Overseas Students (ELICOS) — subclass 570. This visa is for international students undertaking a stand-alone English language course that leads to a certificate-level award or non-formal award.

2. Schools — subclass 571. This visa is designed for international students applying to study in a primary, junior secondary, or senior secondary school course, or an approved secondary school exchange program in Australia.

3. Vocational Education and Training — subclass 572. This visa is designed for international students whose main course of study is a certificate, VET diploma, VET advanced diploma, vocational graduate certificate, or vocational graduate diploma.

4. Higher Education — subclass 573. This visa is designed for international students whose main course of study is a bachelor degree, associate degree, higher education diploma, higher education advanced diploma, graduate certificate, graduate diploma, or Masters by coursework.

5. Postgraduate Research — subclass 574. This visa is designed for international students who wish to study a Masters degree by research or a Doctoral degree in Australia.

6. Non-Award — subclass 575. This visa is designed for international students who wish to study non-award foundation studies or other full-time courses not leading to an Australian award.

7. AusAID or Defence — subclass 576. This visa is designed for international students who are sponsored by AusAID or the Department of Defence to study a full-time course of any type in Australia.

8. Student Guardian — subclass 580. This visa is designed for a parent or close relative accompanying an underage student to Australia.

To be eligible for a student visa, applicants must be accepted for full-time study in a course listed on the Commonwealth Register of Institutions and Courses for Overseas Students (CRICOS). Applicants must also meet financial, health insurance, English language proficiency, and health and character requirements. There is no limit on the number of student visas issued each year — if applicants meet the requirements, they will be granted a visa. Student visas are issued for the entire period of study in Australia, as evidenced by the Confirmation of Enrolment documentation provided by the applicant's education provider, and are issued in alignment with the period for which the applicant holds Overseas Student Health Cover.

Government Policy and Quality Frameworks

The Federal Government is working to implement a quality-driven education system and has recently introduced changes to the re-registration of RTOs and DIAC skilled migration pathways. The new Victorian Registration and Qualifications Authority (VRQA) guidelines cover six key areas critical to "clearly demonstrated capacity to deliver education": financial and management capacity; governance and reporting; quality and continuous improvement; consumer protection; student welfare; and educational resources and facilities. VRQA has developed a four-tier, risk-based approach:

Tier 1 — Low Risk: public universities, registered schools, TAFE, and higher education providers.
Tier 2 — Medium Risk: self-assessment process.
Tier 3 — High Risk: potential audit or review required for re-registration.
Tier 4 — High Risk: new applicants subject to initial audit against new criteria.

Amendments to the ESOS Act 2010 required all providers to be re-registered from 1 January 2011 under three additional criteria: (1) the provider's principal purpose is to provide education; (2) the provider must have a clearly demonstrated capacity to deliver education to a satisfactory standard; and (3) the provider must publicly list all of its accredited Education Agents.

Recent changes to skilled migration pathways have had a significant impact on enrolments in the vocational education sector and, to a lesser degree, in some university sectors. DIAC rule changes affecting subclass 572 (Vocational Education and Training) and subclass 573 (Higher Education) visas have had a considerable impact on students arriving from South-East Asian communities. The new Skills Occupation List has been reduced from approximately 400 occupations to 180 occupations in demand for Australian jobs.

As a result, new students tend to enrol in programs leading toward these in-demand positions, which has reduced student numbers across certain segments of the Australian Qualifications Framework. The categorization of countries into risk levels from 1 to 4 has also resulted in fewer students arriving from countries such as Pakistan, Sri Lanka, Bangladesh, China, and India.

Australian Education International (AEI) is the international arm of the Australian Government's Department of Education, Employment and Workplace Relations (DEEWR). It provides leadership across all levels of government and industry to support the sustainable development of a world-class, globally connected international education and training system in Australia. AEI, together with Austrade, runs international education seminars across a large number of overseas countries, including Pakistan, Sri Lanka, Bangladesh, China, and India. Given the significant drop in enrolments over the last several years, it is apparent that there are identifiable reasons for the decline — some of which may include insufficient marketing or missed opportunities for marketing improvements by universities and the Department of Education. Australian universities and RTOs will require guidance and support from AEI and Austrade to explore international market opportunities and reestablish Australia as a key destination for international education.

Conclusion: Effective Marketing Strategy

Schools should not only know who they are marketing to, nor should they only know what they are attempting to market — they also need an institutional identity that is actively promoted by administrators, faculty, and students alike. This single principle can achieve a great deal in the field of marketing. Its absence does not necessarily lead to immediate disaster, but over time it can result in deeply ineffective marketing and, eventually, educational irrelevance.

Ultimately, marketing Australian international education successfully requires a coherent, student-centered strategy that accounts for cultural diversity, aligns institutional identity with genuine educational strengths, and responds to evolving government policy. The combination of quality program delivery, responsive visa processing, proactive government support through bodies like AEI and Austrade, and evidence-based marketing directed at the specific desires and circumstances of international students represents the most promising path forward for sustaining Australia's position as a leading global destination for international education.

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