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• Latest levy data released

  As many expected, the 2012 figures confirm a decline in international student enrolments since 2011. Although enrolment numbers fell by 6 percent (5,665), the report also shows that tuition fees from international education increased by $13.4 million, up 2 percent.

  While these are the headline numbers of the report, a more complete picture is revealed by looking at the report in more detail. For instance, while there has been a 5,665 decrease in enrolments, certain sectors have been impacted more than others. Private Training Enterprises (PTEs), mainly non-funded, experienced a drop in enrolments of 5,102. However, Institutes of Technology and Polytechnics (ITPs) saw a 4 percent increase in enrolments, although the numbers, 434, are modest.

  Canterbury is suffering reduced student enrolments due to the earthquakes, an important factor in explaining the national numbers. There were 2,979 fewer students – a 31 percent drop – enrolled with Canterbury education providers in 2012.

  The ongoing effects of the rising New Zealand dollar are also hurting the industry, and it is important to note that other providers of international education are experiencing similar trends. Australia, for example, has experienced a similar decline in international student enrolments, with their numbers down by 7 percent in 2012.

  We need to improve our understanding of what factors drive student choices in our key markets. To this end, much of Education New Zealand’s current work is focused on how students and their families decide on where to undertake their course of study, and the factors that influence their decision.

  This research will allow Education New Zealand to provide you, the industry, with detailed information that is current and relevant. We can then work together to develop programmes and initiatives to increase the demand for what New Zealand has to offer.

  There is much work to be done. A willingness to take a different approach is essential if we are to grow our industry.

  We will provide more analysis of the data in next week’s edition of our e-news, International Education News. Some of the key information from the report is included below.

  Kind regards,  

  

  Grant McPherson

  Chief Executive Education New Zealand    

  Enrolments: There was a 6% drop (from 98,660 to 92,995 in international student enrolments) in 2012. The main results were:

  • Schools (down 3%), universities (down 2%), funded PTEs (down 6%), non-funded PTEs (down 13%)

  • Canterbury numbers down 31% (a reduction of 2,979)

  • Chinese enrolments up 5% (now 27% of all international students)

  • Japan (number 4 market in 2012) enrolments up 3%

  • Saudi Arabia (number 5 market) down 26%

  • South Korea (number 3 market) down 19%

  • India has overtaken South Korea as our second biggest source of students

  • ITP enrolments up 4%

  Tuition fees: There has been an overall $13.4 million (2%) rise in international education tuition fees in 2012, but the results varied according to sector:

  • Universities (up 6%), ITPs (up 5%) and funded PTEs (up 7%)

  • Schools (down 19%) and non-funded PTEs (down 9%)

  

  

  

• More analysis of latest international student enrolment data

  

  The 2012 Export Education Levy data contained mixed news across sectors, and from some of our key international markets. While the number of international student enrolments is down overall, importantly the value of the industry, as measured by international fees earned, has increased by 2 percent and this is a significant result.
  
  Education New Zealand is committed to working with each sector of New Zealand’s international education industry to support institution’s needs and priorities to enable industry-led growth. We have a strong programme of work underway in 2013 to achieve this.

  Schools

  

  For all schools, international student numbers declined 0.3% to 15,643 students in 2012 compared with 2011

  • Primary and intermediate enrolments were down 3.3%

  • Secondary, composite and special enrolments fell 0.3%.

  • But value has remained more or less static over the past five years

  • South Korea and China make up half the international education market for this sector

  South Korea was down 15% for schools in 2012. Why?

  • South Korean Government moves to provide more English language tuition in Korea

  • Foreign providers setting up in Korea

  • Christchurch earthquake

  • Economic factors in markets

  • High NZ dollar.

  China shows strong growth

  • In 2012 there was a 20% increase in Chinese school international student numbers

  • Chinese first-time visa applications are up, particularly for contributing, composite and special schools.

  Japan is emerging as a growth market

  • Japanese school international student numbers rose 23% in 2012

  • ENZ regards Japan as a market worth further exploration, particularly for school partnerships.

  Universities

  

  Universities earned $308.9 million in international fees in 2012, an increase of 5.5%

  • There are fewer international students, but they are higher value.

  International university student numbers fell 5.2% - a decline of 980 students

  • Indian international students accounted for more than 40 percent of the decline.

  • There was a small increase in numbers of Chinese international students (universities’ biggest and most valuable market). This suggests that New Zealand’s most important international education market is performing well

  • Japanese international student numbers almost doubled

  • Saudi numbers are falling due to a halt in new intakes for Saudi scholarship students in 2012

  • Universities have seen overall international student numbers fall since 2004 despite ongoing growth in the global market for international students

  • Capacity exists and there is scope for recovering market share in the university sector.

  Figures for individual universities are not yet available but we believe about a quarter of this decline can be attributed to a fall in enrolments at Canterbury and Lincoln Universities due to earthquakes

  Universities have strong commitment to internationalisation, partnering with institutions in a variety of markets.

  Institutes of Technology and Polytechnics (ITPs)

  In 2012 ITP fee income was up 4.9% from 2011 - overall revenue for the sector has increased almost 50% since 2007

  International student numbers rose 7.1%; EFTS were up a corresponding 3.4%. ITPs was the only sector to see a rise in numbers and EFTS  

  India and China make a combined 57.6% of all ITP international enrolments:

  • Numbers are up or holding for all major markets

  • There were small declines in South Korea and Saudi Arabia

  • Saudi numbers are falling due to a halt in new intakes for Saudi scholarship students in 2012

  • China remains relatively strong

  • ITPs are encountering strong competition in India from traditional competitors Canada and Australia

  • ITPs want to diversify their exposure to India and China with new market development in the Middle East, Sri Lanka, Nepal, Indonesia and the Philippines.

  Private Training Establishments (PTEs)

  

  PTEs (non-SDR)

  Enrolments at non-SDR PTEs (mostly English language schools) fell 13% in 2012

  • English language schools down 17%.

  • Tuition fees were down 9 % to $105.1 million

  • The decline in English language schools likely to be linked to the rising value of the NZ dollar. International language travelers are known to be price sensitive; also an area of intense international competition.

  This fall, which has been happening for two years, is of concern because ESOL students often move on to further academic study

  Why down:

  • Affordability – the high NZ dollar

  • Greater provision of English language tuition in South Korea

  • Saudi Arabia – fewer new Saudi scholarships

  • New immigration policy – changes to work rights for L5 and 6 diplomas introduced in April 2012

  • Competition from other our key global competitors.

  PTEs (SDR)

  • Enrolments at SDR PTEs (mainly vocational education training institutions) were down 6% in 2012

  • Tuition fees were up 6.4% to $99 million

  • Internationally, demand is growing for high quality vocational training

  • Some of our competitors (eg. Australia) have tightened up student immigration criteria for vocational training.

• ENZ’s latest Statement of Intent is out

  While the overarching goals and objectives for New Zealand's international education industry remain the same, the strategic framework of our next steps to support the industry to reach these goals are reflected in more detail.
  
  The two intermediate outcomes of these next steps include activities to increase both the economic value of international students studying in New Zealand and increase the economic value of our products and services delivered offshore.
  
  Alongside these marketing and industry development activities, we also support government-government liaison work and will launch our outbound scholarship programme.

  Download the Statement of Intent 2013-2016.

• Changes to ENZ in Vietnam

  Nga Phuong Tran, who has worked with many in the New Zealand international education industry over the last three years, is again working fulltime for New Zealand Trade and Enterprise (NZTE).   

  ENZ is in the final stages of appointing a new, fulltime Market Development Manager (MDM) in Ho Chi Minh City (HCMC). Once appointed, the MDM will be responsible for all support and logistics around the education fairs usually provided by ENZ, other recruitment activities as well as helping New Zealand education providers expand their engagement with Vietnam. 

  Until the new MDM in HCMC is appointed, please direct all enquiries related to Vietnam to the ENZ Regional Director, Izak Human.

  When this latest appointment is made, ENZ will have fulltime representatives in Malaysia, Indonesia, Thailand and Vietnam. All of these Southeast Asian regional representatives are able to provide information on:

  • education opportunities in their respective countries;

  • local regulations regarding provision of education services;

  • assistance with finding suitable partner institutions; and

  • how to connect with national education ministries and officials.

  ENZ representatives also maintain regular contact with a network of regional education agents and would welcome information on specific programmes or study options that you may want to promote in South East Asia.

  Nga’s farewell message is that over the last three years “I have had the privilege of working with over 90 New Zealand education providers from all over New Zealand. I have met with so many memorable and wonderful people from different institutions. Many of you have taken a proactive and innovative approach to promoting New Zealand education in the Vietnamese market – so keep it up!

  Thank you for your support and friendship.”

• Great ideas from schools

  The ENZ Schools’ Reference Group was set up last year as a way to collect school feedback and ideas about how the sector can best develop. 

  ENZ Business Development Manager Mary Camp says the latest meeting on 25 February generated a swag of suggestions for the professional development workshops held in the lead-up to the New Zealand International Education Conference (NZIEC). More are welcome…

  “This reference group is really benefitting our work to support the industry,” Mary says. 

  “Given there are so many schools, spread from one end of the country to the other, and with so much variety of character and programme, it can be hard for us to be sure we’re hearing what we need to hear from schools.”

  “It’s great now to have an official channel open for that conversation, as well as the other connections we have through regional clusters and the like. We’ve been able to design services and products to suit schools’ current needs, and schools’ feedback on other parts of Education New Zealand’s work has been hugely valuable.”

  Mary says the pre-conference workshops in 2013 (on business planning, social media and working with agents) were well attended and rated highly by participants. The aim is to keep relevance high for this year’s NZIEC –  held in Wellington on 21-22 August 2014. 

  Additions to this ‘working topic list’ from the Schools’ Reference Group meeting are welcome:

  • Collaboration – looking at different collaborative business models, eg regional, niche

  • Homestay systems/ processes, building your homestay community, sharing ideas

  • Alumni – using them effectively

  • Agent perspectives – what are they looking for? (panel)

  • Market analysis – including hard stats, competitor analysis, and recommended key markets for schools.

  To make a suggestion for workshop topics please contact one of ENZ’s Business Development Managers for the school sector, Richard.Kyle@enz.govt.nz or Mary.Camp@enz.govt.nz. 

• Digital win in Dubai for NZ educational product

  On 6 March, Kiwa Digital was named the winner in the Best Free ICT/App Product category at the Gulf Educational Supplier & Solutions (GESS) Exhibition in Dubai. The award was for Kiwa’s highly successful multi-lingual digital version of Milly, Molly and the Bike Ride. 

  GESS is the leading educational trade show in the Middle East, attracting 300 exhibitors from 60 countries, and featuring the latest in educational information and communications (ICT) technologies. 

  Kiwa Digital’s CEO, Rhonda Kite, is thrilled with an award from the “most exciting educational market in the world”.

  “We are very proud to have been recognised by some of the most respected names in the education sector as providing a solution that serves education needs throughout the Gulf.”

  Kiwa Digital’s work on expanding its global markets has been supported by an International Education Growth Fund grant and Education New Zealand market access support for education publishers. This is to take advantage of the remarkable innovation that technology is bringing to the education sector.

• Thai travel advisory

  On 22 May 2014, the Royal Thai Army announced that the military had taken control of the government of Thailand. Some travel insurance policies may exclude cover during a coup d'etat and some cover provided under travel insurance policies may be invalid.

  The Ministry of Foreign Affairs and Trade website, Safe Travel, provides the latest advisories on travel to Thailand.

  Education New Zealand is closely monitoring the situation in Thailand and will advise providers intending to participate in the New Zealand Education Fair on 20 September no later than 27 June whether this event will proceed.  

  Thailand is an important market for New Zealand, so we are also considering investing additional resources in digital channels to keep building awareness of New Zealand and support ENZ’s in-country Market Development Manager Nan Lertrasameewong.

  This includes increasing investment in search engine marketing and building our Facebook activity.

  If the planned event in September does not go ahead, Education New Zealand will also investigate running a virtual fair in Thailand and running a Thailand-specific campaign that directs enquiries to local agents.

  Nan has been working with many providers over the last few months to build relationships with education authorities and agents outside of Bangkok. We are seeing the results of that in the form of increased student numbers from Thailand to New Zealand, which grew 6 per cent in 2013. It is important to keep these relationships going through this time of uncertainty.  

  We encourage New Zealand providers to stay in touch with their Thai agents to maintain relationships.

• International education reports released

  New Zealand International Education Snapshot: 2013 Full Year Report

  This report combines the latest enrolment and student visa data to present a snapshot of the international education industry for 2013 and trends seen so far in 2014.

  Download the report here

  The Business Growth Agenda Leadership Statement for International Education – Progress Update

  The Business Growth Agenda Leadership Statement for International Education – Progress Update sets out progress, since 2011, in achieving the goals of the Leadership Statement for International Education, the key actions by government, and ongoing work to support the growth of international education.

  Download the report from the publications webpage

  The Leadership Statement for International Education – Progress Update falls within the ‘Building Export Markets’ input of the Business Growth Agenda. Read more about the Business Growth Agenda on the Ministry of Business, Innovation and Employment’s website

• Insight into China Education Developments

  Produced by our China team, the latest report provides a roundup of China’s education developments during the first half of 2014 and follows their January report which was picked up and reported around the world.

  Sam Mackay, Senior Education Manager in Beijing, says the Insight Report is the China team’s way of keeping industry up-to-date with changes in the region.

  “There’s so much information flying around about Chinese education developments that it can be hard to keep current. We developed the China Insight Report so you can stay abreast of the key trends in this top priority market for New Zealand.”

  “We’ve also tried to deliver it in an engaging manner. You can contemplate our ‘questions to ponder’, try your luck at some of this year’s Gaokao questions, and even enjoy a (somewhat related) dance clip.”

  Download the China Insight report here. We welcome feedback to china@enz.govt.nz.

  Quick summary:

  • The number of Chinese students heading overseas rose in 2013, but at a slower rate than previous years.  

  • Chinese international student enrolments in New Zealand rebounded, exceeding the 25,000 mark for the first time since 2007. Strong growth occurred in the school and university sectors.

  • Postgraduate student numbers within China are falling due to the introduction of tuition fees. Interest in ‘professionally oriented’ postgraduate programmes, however, is rising.

  • A record number of graduates are finding employment prospects tough. The expected monthly salary has fallen 2000 yuan over the past three years.

  • China’s vocational education system is being transformed. Changes to the exam system, institution entry processes and a boost in the number of higher vocational institutions are all in the works.

  • Global acceptance of Gaokao has increased as the exams get reformed. A technical stream to the exams will be introduced, and students will be able to sit their English exams periodically throughout the year.

  • Chinese parents are increasingly asking providers to illustrate the return on investment.

• New appointments in South and South East Asia

  Including some new roles to support the existing and potential opportunities the region offers New Zealand education providers. 

  “The SSEA region accounts for around a quarter of all international students in New Zealand and offers significant export education opportunities as well. It is home to two of ENZ’s three tier one markets and our fastest growing market this year – India,” says Peter Bull, General Manager International.

  Peter says the new appointments will increase the depth of in-market expertise in marketing, business development and government relations, as well as ensure strong coordination with NZ Inc agencies and the education sector in New Zealand. 

  Following the appointment of Ziena Jalil, as Regional Director – SSEA from 1 July, the latest additions to the region include:

  Sarah Stabler has been appointed Lead – Public Relations/Marketing (SSEA). This is a new role and aims to provide stronger marketing and PR expertise and leadership in the region to increase awareness of New Zealand as a study destination and to lead the delivery of ENZ PR and marketing activity. Sarah is currently Senior Director at PR agency Baldwin Boyle Shand in Singapore and has more than 16 years of PR and marketing experience in South East Asia. Sarah is based in Singapore.   

  Grant Fuller has been contracted as a Senior Advisor to work on a specific project with ENZ in-market staff and the Business Development team in New Zealand to develop a strategy for realising the many business development opportunities that the region offers. Grant is a former New Zealand Trade Commissioner to Malaysia, Indonesia and Singapore and has considerable in-market experience.  

  Jugnu Roy has been appointed Lead – Events (SSEA). In this role, Jugnu will provide leadership to ENZ’s SSEA marketing staff on developing and implementing an events strategy which supports New Zealand institutional needs. Jugnu has most recently been ENZ’s Marketing and Strategic Relations Manager for South Asia and will continue to perform this function while taking on leadership for regional events as well. Jugnu is based in New Delhi. 

  Francesca Hilbron has been appointed Lead – International Market Manager, South and South East Asia, Japan and Korea. Francesca’s role provides the conduit between ENZ in-market staff and New Zealand strategic relationships. It also provides leadership for activities such as Ministerial missions and bilateral meetings. Francesca has most recently been ENZ’s International Market Manager for South Asia, Japan and Korea and brings useful NZ Inc experience to the role, having also worked for Immigration New Zealand. Francesca is based in Wellington. 

  Johnny Tramoundanas-Can has been appointed International Market Manager, South East Asia and reports to Francesca Hilbron. Johnny has joined ENZ from the Tertiary Education Commission where he was most recently Private Secretary in Minister Joyce’s office. Johnny is based in Wellington. 

  In addition, ENZ will shortly be recruiting for another new role – Marketing and Strategic Relations Manager Malaysia, to be based in Kuala Lumpur. 

  “Malaysia is a very important market for New Zealand given the high value of students who come from there. However, recent changes in-market have meant that our student numbers are down. This role will play an important function in strengthening in-market relationships and strongly driving awareness for New Zealand in this key market,” says Ziena Jalil, ENZ Regional Director SSEA. 

  “There are exciting times ahead for the South and South East Asia team, with ASEAN 2015 commemorations and the Cricket World Cup coming up, among many other activities. Our team is determined to ensure we make the most of these opportunities for New Zealand’s education sector,” says Ziena. 

  For further information on ENZ plans for SSEA please contact Ziena Jalil at: ziena.jalil@enz.govt.nz