2U updates its partnership model with stackable revenue sharing options — Campus Technology


Online learning

2U updates partnership model with stackable revenue share options

2U, parent company of online learning platform edX, has revamped its partnership model, shifting from a single offering to a variety of revenue-sharing options that allow universities to select stackable sets of technologies and services to meet their needs.

Options start with a basic degree set: for a 35% revenue share, institutions receive program design and management, edX market access, organic marketing, lead nurturing, ongoing support to students and 2U’s digital campus and data analytics ecosystem. Universities can choose to enhance the base set with additional services, including enhanced marketing (15% revenue share), content development (5%), and specialist support services (5%).

“Rice is a long-time collaborative partner of edX and 2U. We have found both organizations willing to flexibly engage with us on a range of issues as the world of online education evolves,” commented David Leebron, former president of Rice University. , in a report. “I believe that 2U’s adoption of increasingly flexible arrangements in its partnerships will ultimately serve students and universities well, and foster a greater variety of options for students which will open up more opportunities for students to ‘diverse backgrounds and at different times in their lives and educational trajectories.

Among the first institutions to sign on to the new partnership model is the Wisconsin School of Business at the University of Wisconsin-Madison, which is launching an online master’s program in business analytics as well as a Fundamentals of Business MicroMasters program.

In addition to new stackable offerings, 2U and edX are introducing incentives to encourage new and existing partners to reduce the cost of their online degree programs. For any degree partner who agrees to significantly reduce online tuition, 2U will reduce its share of program revenue, the company said in a press release.

“While 2U and edX’s university partners are solely responsible for setting tuition fees for the more than 180 online graduate programs the company supports, there is a common misperception that the company benefits financially from more expensive tuition,” the announcement explained. “But in reality, the higher the tuition, the more expensive it is for 2U to market a program and attract students. even higher marketing costs that are supported by 2U as part of its partnership model, not the university. The data clearly show that tuition reductions remove one of the biggest barriers to academic success, allowing more qualified learners to enroll and achieve their goals. »

“As we embrace our future as a platform company under the edX brand, we are taking bold and significant steps to help our university partners transform their institutions, expand access and lower the cost of education. higher education,” said 2U Co.-Founder and CEO Christopher “Chip” Paucek. “Higher education is at an inflection point, with learners demanding more flexibility and a better return on investment. 2U and edX firmly believe that greater accessibility is better for students, better for universities, better for business and essential for the future of higher education.”

About the Author

About the author: Rhea Kelly is editor-in-chief of Campus Technology. She can be reached at [email protected].


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