HIT YOUR TARGET WITH LRAP

HIT YOUR TARGET WITH LRAP
LRAP can help you in many ways this year, specifically if your strategic goals are to:
1. Increase enrollment.
2. Lower discount rate.
3. Increase net revenue.
A trifecta that could very well secure your strategic goals, both this year, and in years to come.
Consider this data from Corban University:
Corban offered LRAP to a group of low-yield students
in Fall 2013 and was able to increase yield, while
coincidentally lowering the discount rate on that cohort,
thereby significantly increasing their net revenue.
Corban University increased yield
in low yield cells from 15.9% to 20.5%
20.5%
15.9%
With LRAP, you hold the power of a win-win yield
management tool, to use as you see best, to help increase
enrollment, retention, and net revenue throughout the
admissions cycle.
Pre-LRAP
Your 3-Step LRAP Success Plan:
1. Choose low-yield cells
2. Add LRAP
3. Enjoy higher yield
In admissions, timing is everything. The sooner you
add LRAP into the equation for fence-sitting families,
the greater your chances of prevailing over competitor
institutions when final decisions are made. Having LRAP
as a safety net relieves families of their financial worries
and allows students to make the best-fit enrollment
decision - at your institution.
As you make plans to resolve enrollment challenges this
year, LRAP can be a key element of your response to lowperforming cells in your financial aid matrix, or other lowyield sub-populations you wish to grow. Recent evidence
from LRAP client colleges indicates enrollment increases,
in cohorts of variable size, ranging from as much as 19%
to a high of 43%.
With LRAP
Average yield in low yield cells
Prior 3 Years Average
(2010-2012)
44.1%
32.6%
25%
15.9%
Yield
High yield, non-LRAP
Discount
Low yield, pre-LRAP
2013 Results
42.4%
30.2%
19.2% 20.5%
Yield
High yield, non-LRAP
Discount
Low yield, with LRAP
What could that increase in enrollment do for you?
www.LRAPassociation.org
(877) 577-5727
HOW MUCH CAN LRAP
IMPROVE YOUR BOTTOM-LINE?
You do the math. Use this worksheet to estimate your ROI from a pilot with LRAP.
LRAP Pilot ROI Calculator
Number of students in pilot
(We recommend 25-75)
Number of students gained due to LRAP offer
(On average, 68% would not attend without LRAP)
Net Revenue per Student
(Average of current clients)
Revenue Earned for LRAP Students
(Students who would not have attended without LRAP)
LRAP Fees
(Average pilot fees are $1400/year)
Net Revenue for LRAP Pilot Students
Total Net Revenue Through Graduation
(The average student stays 3.3 years)
Typical
First-Year Results
Your ROI
Estimate
50
(A) ________
34
68% x (A)
$15,000
$510,000
$70,000
$440,000
$1,452,000
ROI = 529%
(B) ________
(C) $________
Use your number
(D) $________
(B) x (C)
(E) $________
1400 x (A)
(F) $________
(D) - (E)
(G) $________
(F) x 3.3
What could you do with the additional students and revenue this year?
www.LRAPassociation.org
(877) 577-5727

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