The Online Program Management (OPM) market in 2024 is buzzing with change—new trends, uncertainties, as well as opportunities. As universities adjust to shifting demands, the role of OPM providers is more important than ever. This blog dives into what’s driving the OPM market in 2024, the bumps in the road, and why this model might just work for you..
Key OPM Market Trends in 2024
Increased Adoption of OPM Services
More universities are turning to OPM providers to handle their online offerings. This surge in adoption is driven by the need for institutions to expand their digital education footprint quickly and efficiently. Approximately 79% of universities currently working with OPM providers have total revenues under $500 million, indicating that smaller institutions, which have limited resources but are also lean and quicker to change, are forming such partnerships to effectively manage and grow their online programs. These universities turn to OPMs for new course design and development, as it provides a faster time to market and revenue generation compared to developing new courses in-house.
Diversification of OPM Business Models
At the same time, the OPM business model is becoming more flexible, reflecting the diverse needs of universities. While the traditional full-service OPM model, where providers handle all aspects of an online program, is still popular, there’s a noticeable shift towards a la carte services. This allows institutions to selectively outsource specific components, such as course design, course delivery, marketing, or enrollment management, giving them greater control while still benefiting from the expertise of an OPM provider. This trend reflects the evolving landscape of online education, where customization and adaptability are increasingly important.
Emphasis on Student Success
As the online education sector matures, there’s a growing emphasis on student success and retention within the OPM industry. Providers are increasingly focused on offering robust support services that help students navigate their online learning experiences, from academic advising to mental health resources. These services are becoming crucial for maintaining enrollment and ensuring that students start and complete their programs. This shift towards prioritizing student outcomes reflects the competitive nature of the online education market and the need for OPMs to demonstrate their value beyond just enrollment numbers.
2U Bankruptcy: What It Means for the OPM Industry
2U, a leading name in the OPM industry, filed for bankruptcy, sending shockwaves through the education sector. For years, 2U had been a significant player, partnering with universities and colleges to manage and deliver online programs. However, the company’s financial troubles had been mounting, driven by high operational costs and an inability to adapt to a rapidly evolving market. The bankruptcy of 2U serves as a stark reminder of the financial risks inherent in the OPM model, particularly for companies deeply invested in a full-service approach.
The collapse of 2U has raised serious concerns about the sustainability of the OPM business model. 2U’s approach involved managing nearly every aspect of an online program, including marketing, course design, and student support. While this model offered comprehensive services to universities, it also came with financial burdens. As competition in the OPM market became stronger, 2U struggled to remain profitable, ultimately leading to its downfall.
For educational institutions, the bankruptcy of 2U highlights the need for caution when entering into OPM partnerships. The financial instability of such a major player raises questions about the risks involved in outsourcing online program management. Universities must assess the financial health of OPM partnerships and understand their risks and program sustainability, especially in the event of a partner’s bankruptcy.
Why the OPM Industry Still Holds Promise
Although the OPM industry might seem like it’s struggling after such a big player like 2U filed for bankruptcy, it’s far from sinking. In fact, the increased competition among OPM providers can be a positive sign for universities looking to expand their online programs. With more providers in the market, institutions have a wider range of options, making it easier to find a partner that aligns with their specific needs and goals. Competition and diversification to multiple OPM providers can drive innovation and improve the quality of services offered, benefiting universities and their students.
The demand for online education continues to grow, and OPMs play a crucial role in helping institutions meet this demand. The flexibility that OPMs offer—whether through full-service models or more tailored, a la carte options—allows universities to scale their online programs without the massive upfront investment that would otherwise be required. This is particularly beneficial for smaller institutions that might not have the resources to develop and manage online programs on their own.
For institutions looking to expand their offerings, OPM partnerships can help achieve these goals effectively.
Wawiwa’s OPM Services
Wawiwa is a global tech education provider and a leader in reskilling and upskilling people to tech jobs in high demand.
Partnering with Wawiwa lets universities expand their program offerings to match the latest industry needs without the substantial investment required to develop such programs independently and keep them up to date. Wawiwa allows universities to offer diverse reskilling and upskilling programs that are tailored to the local market needs.
Wawiwa programs are offered under the university brand and can be delivered online or face-to-face. Wawiwa provides universities with the know-how, program courseware, and supporting digital platforms to deliver successful local programs live. Wawiwa also gives the flexibility to tailor the training experience and operations to the local market.
Most training is delivered as live, synchronous sessions, where some parts might be recorded for on-demand consumption. Wawiwa’s programs include content, hands-on exercises, and real-life projects to let students practice what they’ve learned.
Wawiwa has many partnerships around the world, across all 6 continents, offering various Wawiwa-powered programs in fields like Full-Stack Development, Data Analysis, Digital Marketing, and more.
