Service Marketing: Higher Education in the Universities of the UK - Case Study Example

SERVICE MARKETING: HIGHER EDUCATION IN THE UNIVERSITIES OF UK The various services offered by the UK universities in its Higher-Distance E-learning processes are being critically analyzed. The sector in the paper is represented by the University of Liverpool, School of Oriental and African studies (A Part of University of London), Anglia Ruskin University, University of Manchester and The Cardiff University is being analyzed to build the case. The DREST analysis is done to find effects on the sector in the context of the demographic, political, regulatory, economic and social perspectives. The role of these institutions have majorly contributed to the global knowledge bank while had significant positive contributions towards national economy. The variety of subjects along with its contents in terms of topic knowledge and data offerings have a suitable background in the UK universities to support the hot of international students in various degree courses along with subject specializations. However, a more localization of major subjects needs to be done for attracting the students of those locations to be benefitted from the curriculum. The role of the education is not only to generate economy for the UK but in a larger perspective building up the next generation of knowledge and skills suitable for various other national economies too. The suitability of the services has taken the UK education to various places in the globe and many other Higher education services are seeking more favourable exposure via Internet media. The commonalities and differences of each of the institutions in the sector along the 7Ps of marketing are done to suggest the effects of the same on the service offerings of the Cardiff University. The GAP analysis was done to find the gaps in the present offerings to amend and be competent. Thus the findings for the next 5 years of the Cardiff University would be dedicated towards the building of its internal capacity to accommodate more local students with locality specific subjects. The Development of the infrastructure, increase in the amount of literature available and teachers aware of the local culture and background of such studies to make a better impact. The service industry benchmarks of best offerings are to be maintained at all times to see the competitive edge for the services are maintained at all times. Table of Contents Introduction 4 Few Distance Learning Institutes of UK 5 Opportunities and Threats of the Higher Education 7 Problem Solving 9 Commonalities and Differences of the Current e-learning campaign 10 GAP Analysis: Cardiff University 13 5 year Projection for Future Strategies: Cardiff University 14 Conclusions 15 Recommendations 15 References 17 Introduction The assignment would focus upon one service sector industry and analyze the issues pertaining to the service industries effecting one organization in that sector. The sector chosen for this assignment is Higher Education of UK post the 1992s. Service sector is a broader term used for various services that consumers pay for due to the usage benefits of those services. The assignment however would focus upon the Distance learning modules and infrastructures available in different UK universities and define its different components in broader terms on the basis of actual happing on the field. Thus the Industry would be higher education and competitive sector would be Distance Learning modules offered by various universities of UK. The services provided by this sector had not only added to national socio-economic growth but also has made a long term effect on the service delivery processes to further incorporate and build the subjects in accordance to the users and students (Haburchak, 2014). The localization of the subjects as offered in context to the regional demographics in the offerings is the problem that would be studied along with the infrastructure availability. The UK higher education system can here be further elaborated to associate the opportunities and threats of each and every level associated. The UK education systems have a start from the Schooling for AS/A Levels where the children from 5-16 gets the basic schooling literacy before choosing a subject for further higher education. Further, 2 to 3 years of A Level study of chosen subject of choice is the norm of the system before they can enrol for the higher education in the universities for further education. Following it come the UK Undergraduate Degree courses as offered by the Undergraduate degree program 3 years in UK and 4 years for Scottish Universities. The age group of 18 and above ender this level to study a subject of their choice in such a format. The British Citizens gets the education at the cost of 9000 UK pounds while for non-UK residents it is between 10,000 and 30,000 UK pounds each year. Thus it may be derived that the courses are designed to facilitate the foundation certificate and diploma certification those develop the skills for industrial technical jobs and enhance the student’s analytical and communication skills (Studentfinancewales.co.uk, 2015). Therefore the effects that the higher education in the e-distance learning module suitability and along with it the effects that these institutions make upon the economy is studies herein. Few Distance Learning Institutes of UK The fryer report of 1997 suggests the Education for all or universal learning culture or the knowledge based economy to be the driving force for the British economy, as later published in the Green Paper of 1999, for the 21st Century. The modern day education is skill dependent where the skills and knowledge of one makes way for their success in the competitive industrial setups (Grant, 2015). However, since the specialized learning or higher education is limited for few and is cost incurring therefore the preference for distance education is growing making the students take the learning opportunities offered from a distant location. The British education is known around the globe for its scopes and offerings in terms of quality therefore the global demand for it is also high. Adding to the cost is the distance barrier for a vast majority of students who finds their commitments more compelling and cannot afford to give time for a traditional University education (Robinso et al. 2008). Gill (2013) suggested that the UK higher education is moving from a state controlled sector to a more mercerised sector to compete in the global education scenario in the days of e-distance education. The freedom for the universities to recruit as many students as they may serve is the sector is open for all the players in the sector. This has made the sector divided into originality and appropriateness on the size and competitive structures in this sector. Based upon the size and physical evidence that the Institutions have, the sector is divided into 3 distinct parts like high range competitors, midrange competitors and low end competitors in the segment. The competitors are segmented in this sector those have the ability to take students in the most varied stream from different corners of the globe. Based upon the number of students that the universities have along with the infrastructures that support the e-learning with utmost satisfaction of the end users or the students in price and subject competence the institutes are chosen for the essay those are the higher end in the segment (Hesa.ac.uk, 2015). The top few of UK universities offering Distance learning courses with modern day internet infrastructure are as: University of Liverpool: This University in association with Laureate Online Education is considered one of the top most institutions for E-learning or Distance Education. The offerings in this are 54 different fully integrated online courses in wide area of discipline across the globe. School of Oriental and African Studies (SOAS): The College is a part of University of London offering specialized studies of Asia, Africa and Middle Eastern nations with 51 different courses with 4700 students of whom 2300 international Students (Saradunn.net, 2014). Anglia Ruskin University, Cambridge Campus: It’s a 150 years old institute as a part of Cambridge School of Arts with over 31000 students in UK and European Union along with 1700 different international students enrolled with this university. The University of Manchester: Considered as one of the most forward thinking institutions of England with a diverse research quality and volume. Currently the institution is comprised of 39,000 plus students with around 3500 international students enrolled in their online education programme with 40 fully online courses (Studentfinancewales.co.uk, 2015). The Cardiff University: Based out of Cardiff Wales the student’s strength of 27500 plus with Administrative staffs of 5230 is a Public institution offering the same infrastructure for 300 plus different subjects and discipline with full infrastructure to support a strength of 3500 plus number of international students in different graduate and post graduate degrees (Gov.uk, 2015). The DREST analysis would be applied upon the online distance education for the various offerings of the UK universities like Demographics, Regulations, Economy, Technological and Social trends. In connection to the facilities and service offerings of the sector the evaluation of the sector is done as follows: Demographics: This is primarily consisted of the international students who are physically far off from the classroom infrastructure of the university from different nations of different age sex and beliefs. The vastness of the demographics too has its own effects upon the courses chosen by the individual students. Regulatory systems of UK has let the universities to peruse such programmes but with certain legal and social restrictions. However, the developed way of delivery via internet has made the education more interactive between the various sections of students and teachers. OFT (Office of Fair Trade) and Competent Market Authority (CMA) is one for example that keeps an eye over the businesses conducted by the Universities in UK. Economy: Effects of the Distance Learning had been huge upon the economy of both UK and the people who are actually taking the training in the UK universities. The comparatively low priced distance learning courses for them who cannot afford high cost in terms of education as required for traditional English University education (Universitiesuk.ac.uk, 2015). Again, from the job creation and national skill development point of view the education has served various economies along with a significant positive contribution towards the GDP of UK. Social: The social transformation is thus a very vital service that this activity has given to the new brand of students worldwide where the new generation of students have the capacity and reach to understand and appreciate the cultural differences and accept the global culture for a global professional transformation as required. Technology has made the gateway for such evolution in education. Internet and internet based education is not only giving the large diversity of people to accumulate the knowledge but also add and share their own personal experience. Nevertheless, the commoditization of education for all was made possible and the distance e-learning with innovative and enhanced focus upon quality skill and education development (Alon et al. 2013). Opportunities and Threats of the Higher Education The e-learning has changed the higher education in UK altogether and is even opening doors to undergraduate learning programmes (International.ac.uk, 2014). The breadth of quality gives UK an edge over other competitive higher education services as available to the global students. Corbyn (2009) suggests that the UK Universities alliance studied 22 institutions that are research engaged in their curriculum. The peaks of excellence in the research as performed by the institutes have no substantial direct correlations between volume and excellence as suggested by the observations. Consistent quality while adding physical volume in the research, higher concentration of brainpowers, established excellence and facilities to sustain those researches are the basis for the opportunities and threats in the sector. However, in e-learning the factors those matters in adding its value or poses threat to the current structures are as depicted. The opportunities those the UK based Universities can explore in the future for its own growth and development. The UK Higher Education International Unit’s objectives are to develop the opportunities for the international students to take the UK standard education which is now being delivered to all the corners of the globe via internet media to associate all and interested on one single platform. The internet education is the futuristic opportunity for many in the third world or developing nations to peruse international standards of education from their own place of choice at a lower cost (Sharma, 2008). The opportunity to earn the revenue through this means is one while the other educational facilities that this opportunity gives the national industry a continuous flow of manpower with knowledge and skills for national economic growth (Scribner and Richard, 1994). This for an example that University of Manchester for the years 2012-14 has got from different public and private partners for new research and developments a sum of 500 million UK pounds to facilitate their future activities and consolidate the internal infrastructures for future (Sehgal, 2013). Options for new researches and content about the topics within them are also being increased in this time period where the numbers of new subjects across various chosen subjects have gone up too. The age limits for higher education has also gone up making a vast space for elders to participate in knowledge sharing and skill developments. This may also be considered under the social frame work of Lifelong Learning and no barriers on learning objectives for the British education as a whole for 21st Century. The Threats that the industry perceives comes from the debates those are ongoing between the groups. Few believes that the sect of the student group in the module of class room learning is better than the internet based curriculum as started by the universities of the UK. Again the speculations are that the language learning is now mobile apps dependent like one in the offer like Duolingo with 50 million plus users can pose as a threat to the language studies of the universities (Davey, 2008). Again, the threat is that since a large amount of interested candidates are taken in to have the continuous flow of the students from across different demography and economy with a variety of cultural backgrounds thus the qualitative aspect of higher education remains a question asked by few. Furthermore, Ruskin-Brown (2005) suggested that the educational research-work qualitative inputs or excellence is getting lowered due to a huge pressure of students where the time and manpower dedicated for the same is being in under constant pressure and thus the level of outputs as desired in terms of quality is going down. Saas.gov.uk, (2015) observed that the UK based as stated in the sector have different accreditations in terms of their ranking, from different competent ranking authorities. Ambiguity increases therefore making the threat of ‘loss of confidence’ among the perspective students more that may come as a threat. The technical barrier in the nations with the lower rate of communication facilities or from a varied time-zone is one problem that has made the threats for those areas prominent. Problem Solving The service economy is a major contributor for the UK economy. Therefore by enhancing the consumer satisfaction is the major way that the sector can maintain and develop upon the existent services (Christian and Hicks, 1970). The problems that the industry faces in the context of the modern day competitions are generally best assessed by the consumer’s or the e-distance learners of the UK based Universities. The problems of the services is in the coordination of the various factors of the services like the subjects offered along with the physical ability to support the students to peruse various topics under the subject with pertinent knowledge. The Service Blueprint model as proposed by the Harvard Business review in 1982 by Lynn Shostack would help in developing the solutions for the service. The model aims in solving the operational efficiency and conceptualize the structural changes required for repositioning (Swain, 2015). The customer’s actions in the delivery processes is first analyzed and the subsequent processes like the front line and back office process development in accordance to the needs of the consumers along with the support functions and development of the infrastructure to support the services is build. This process however has to have a feedback mechanism to support the continuous development of the process. The sector of higher education is thus further analyzed later in the essay in accordance to the 7Ps of service marketing to see that the effective blue print is made to suite the sector. The feedback and expectation understanding of the students and incorporation of the same in the services provided by the institutions of the sector is the key to the blue print development for more competencies in the services (Wyness, 2013). Commonalities and Differences of the Current e-learning campaign The aforesaid institutions have a common objective and that is to make education more accessible to all from a physical distance with the technical advancement. The same is been calculated based upon the commonalities and differences of the sector based upon the 7 Ps of Marketing is done. Sharma (2008) viewed 7Ps of Service Marketing as the abbreviation of the product or service components based upon its different demographic and offerings of the product or services it assesses. The Education Services marketing Mix in the sector can be further analyzed based upon the commonalities and differences as under: Product: The services of Higher education, especially the product of e-learning is common among all the universities. In searching for commonalities the sector also provides full time degree courses via e-learning and deliver media with some amount of content similarities in terms of curriculum, quality teaching, course offerings etc. However, the differences are those that can be measured from the qualitative part where the offering of the international studies or region specific curriculum is limited. Say for an example University of London specializes in the e-learning courses of the Middle Eastern and African nations where the sociology, geography, political science and zone specific economics like subjects are given more data relevant over the offerings of the University of Manchester’s International Sociology or Cultural Competency development programmes that is not zone specific. Therefore the students of those places may have better inputs in terms of subject matter and qualitative options to have a better inward look into the content matter (Cardiff University, 2015). Again, another very soft difference may occur due to the value outcomes of the education received where the moral, ethical, social grounds of education and their percolation among students remains to be perceived. This difference is however something that cannot be physically explained by quantitative outputs but stays a qualitative outcome to be perceived. Price: The pricing of the services makes the consumers or users in this case students, choose from various options open to them and thus select the one that is most suited. Therefore the target market and pricing are to be made in coordination where the audience perceives the price and decides if the option is suitable for their enrolment. In this, the commonalities that these Sector have is a uniformity of price offerings that is somewhat similar for UK students while may vary from students outside UK but inside EU to Outsider of EU to asylum seekers. The regular fees for an undergraduate may depend based upon the institutes and subject of the chosen personnel from between 9,000 UK Pounds for a student to someone within EU to about 10,000 Pounds for the same course while the other international may have to pay up to 20,000 UK pounds for the same subject, each year (TheGuardian, 2014). The similarities however on an e-learning platform the pricing is somewhat similar for all the UK based universities for each specific geographic locations on the globe with specific economy. The charges may differ from courses offered in terms of subject like Language learning, shop-skills studies, or sociology like subjects but the overall offerings for a similar market is somewhat similar for the sector. Place: The commonalities are that both have the place for the service offerings on the internet to be accessed by all who so ever have intend and internet. However, the cultural back grounds and language and literature influence is one that makes the offerings much more accepted in few markets while making them impermeable for others. The differentiating factors of the sector would thus depend upon the specializations of each of the institutions for a specific market. Furthermore, the difference of the infrastructure like sub Saharan nations where the Broadband internet are yet to develop to its full potentials with both IT and ITeS in comparison to other European economies making the place of reach limited for all players for the sector and are in commonalities. The place specific choice contents are one differential that the sector may have but not in accordance to the learner’s expectations that one may offer other may not. Again, the proven flexibility of the services offered like time and place of delivery, reduction of administrative burdens, and reuse of resources are few those the place may make a differential for one player like University of London for Middle Eastern students. While student centric learning curriculum for a certain geographical place is another aspect that may effect to create a brand bias in one region giving others a lower market share, as a major differential element in 7 Ps. Promotion: The promotion is but letting the offerings reach the audience of choice via media. The commonalities are that the aspect of promotion is more word of mouth dependent or need dependent where the students may use the search engines on internet to discover the services to choose from. The commonalities in the sector are that all the institutes as mentioned have their own web portals and has detailed their offerings therein and equally has made the search engine specific tools in their web page to attract the suitable audience towards the same. Swanson and Fisher (2008) suggested that a good product sells itself and needs no special promotion to make the sell happen. However, the product specifications are something those makes the differentiating elements more subtle in a product while it reaches the promotion phase. The consumers or the students look for specifics of a subject that they are keen to learn and wish to gain more knowledge. People: The people associated with the services are the key component of the process success for the e-learning sector in the education industry. The commonalities are the education staffs of the various institutions are the people involved. Each one at various levels from teaching staffs, administrative staffs, course planners to students are all part of the circle. The commonalities are, that all needs certain specifications for entry at any UK institutions be it a student or staff where the specifications for all institutions. The differentials are like people who come in to these institutions may vary from different demographic and cultural backgrounds depending upon the specific offerings. The Cardiff comparatively attracts more of Travel and Tourism students than others in the Sector that is specified in the beginning due to its early entry into the e-learning media over others in travel and tourism sector. Process: Process in the services would encompass teaching methods, learning opportunities, and sessions of teaching and in the evaluation processes. The commonalities are that the processes of deliver remains e-learning and evaluation techniques are specified and specific for all UK institutions to maintain a certain degree of quality. Therefore the commonalities are that the delivery, proactive, quality may be similar to some degree but the difference of cultural and social background is something that creates differentials. The differentials of the services in process would depend upon the Teacher-Student relationships. Swain (2015) suggested that learning is not a linear process but needs a certain degree of involvements from both students and teacher’s end to have the objective acquired for the learning behaviour. The social theories suggest the social context for the success of education process for a learner’s cognitive wholesome developments like emotional, cultural, social developments. This process is again well observed if we site University of London over others in Middle Eastern History Studies where the options are much more for the students to have a better knowledge bank waiting for them over the rest in terms of content support and specialized guidelines. Physical Evidence: The services unlike a product need some degree of experience prior to delivery. Therefore the physical evidence of the education services can be experienced with components like physical infrastructures of the offerings to support the services offered. The commonalities are that all Universities in its physical existence have a vast physical infrastructure like building, classrooms, libraries, laboratory facilities, learning aids and guides with technological assistance. Depending upon them the future differentiation elements in e-learning services can be further consolidated by each player in the sector. GAP Analysis: Cardiff University The GAP analysis of the Cardiff University is done in for the Cardiff University based upon the SERVEQUEL model (Choi et al. 2013). The GAP between the services based on the model for Cardiff is as: GAP1 (Between the consumer’s expectations and management perspectives): The students of the various nations wants the subjects more acclimatised with the demography like the economics, legal subjects or subjects pertaining to agro- industrial programmes. The Cardiff University has the subjects but they are not as localized as per the expectations of those students. GAP 2 (Between Management perceptions and Service Quality specifications): The University has developed its Higher education courses in e-distance learning module but they are not systematic in the view of the current market demands. GAP 3 (Between service quality specifications and service delivery): The failure to match the demands and supply by the Cardiff University in terms of its understating the demand of the students and developing the course curriculum like wise. GAP 4 (Between Service delivery and external communication): Failure to manage the consumer’s expectations in the e-learning in a complete way is something that is observed in the Cardiff’s offerings as the failure to manage consumer expectations. GAP 5 (Between Expected Services and Experienced Services) the Cardiff University may be taking in students but the students are not getting the expected outcomes of the courses may be one of the Gaps. 5 year Projection for Future Strategies: Cardiff University To build upon the deliverable based upon the consumer’s expectations and thereby make the internal processes to meet the Gaps as discussed above is the Strategic outlook that the Cardiff needs to take in the next 5 years plan for market development. Understanding the expectations of the students: (Continuous process) Evaluation of consumer’s expectations needs to happen strategically over the entire 5 years period, so that the courses can be developed in continuity with other strategic inputs. The process needs to be in coordination with the courses offered that have the inputs received from the students of those geographical locations. This is continuous as the edge of the courses can be maintained with constant revisions and more literature addition with time. Developing the Courses with more local specifications: (Continuous process but needs to start in year 1) The expectations of the global student fraternity are to opt for the subjects with a more local approach in context of the economy and demography they are located. The needs of the students needs are to be incorporated in the courses to have the best possible outcome of the process. The idea of the kind of courses that the specific student wants along with the viability of the same needs to be analysed and added for diversification from the first year itself. Developing the promotional campaigns based upon the actual offerings (Starts from year 2) After the students inputs are received and the courses are developed likewise the promotional materials for the future admissions may focus upon the actual offerings. These offerings may consist of the actual physical evidences present to attract students with similar interest. Decarlo et al. (2011) suggested that the service needs to follow the RATER Model of service. The services can therefore be reliable, assured and tangible in terms of its content and the deliverables can add empathy and responsiveness in its process. The idea of the new courses and its offerings along with the satisfaction of the students can be a part of the process of promotion. The promotional campaigns can add the specifics and develop the contents in accordance to the perception of the students. Developing the Internal process and structures to suite the services (Starts from year 1 and continuous): The delivery of the services in the Cardiff University needs the development of internal strengths and quality manpower to deliver the proposed localization of subjects. The empathy and responsiveness can be developed in the Student Teacher relationship to make the delivery more successful and competent. The additions once started can go on till the infrastructure and contents are not exhausted. Development of the internal process of library development, literature and review additions, lectures, student’s feedbacks are all accumulated and added in structure to be competitive. It also needs to be understood that the services can be challenged by other UK based universities where the edge of the offerings needs to be good enough to have the suitability. The 5 year time frame also needs to keep the competing brands inputs and students feedback along with internal resource development to reduce the gaps and develop the services competent in the commercial aspects. Student survey, local university and its subject contents, internal infrastructure and staff developments are all considered as a part of the process to suite the best of services. The promotion is subjected from the second year as the first year would be dedicated for data collection and analysis. For the services to be sustainable the competitor’s outlook and actions also needs to be kept in mind at all times. Conclusions The British education has developed itself as a viable competitor in the modern day scenario as an efficient service sector for distance e-learning programmes. The specifications in terms of 7Ps of marketing for any deliverable services are been done to suggest the sector’s offerings and shortcomings. The universities chosen are all competent with the current set up for a futuristic market of e-learning services. However, the futuristic trends and developments along with international competitive markets are all to be observed prior to development of a process of continuous improvements and benchmarking to have a sustained quality. The sustained quality of services would alone be the actual differentiating element in the e-learning services for the future where the word of mouth along with competent ranking would matter the most to attract more new life Long education seekers towards an institution. Recommendations The recommendations for the Sector as derived from the paper would suggest few additions in the services as offered by the Cardiff and such universities. The localization of the subjects in terms of demography of the students who are into the Cardiff’s Distance e-learning courses would be a great addition in the service provided. Furthermore, the additions in the subjects are feedback dependent where the individual student’s expectations need to be recorded and developed in the subject contents likewise. Thereby the promotions can be redesigned with the specific inputs from the students and their achievements as received once they starts and completes the subject with objective fulfilled. 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