Notably, both online and on-campus master’s prospects value two of the top five program features: “alignment with career goals” and “the reputation of the college or university.” The emphasis on career alignment is unsurprising, given that many master’s students pursue graduate education to further their career goals. Similarly, institutional reputation plays a key role in shaping perceptions of program quality and long-term value. 

Online prospects report a willingness to pay more for fully online coursework—even as they expect lower out-of-pocket costs than their on-campus counterparts. Conversely, place-based prospects indicate they would pay a premium for programs located near where they live or work. Both groups value flexibility, though they prioritize different modalities from the start. 

Online prospects also prioritize their time, seeking self-paced programs and accelerated programs. Campus/in-person master’s prospects value quality indicators such as “high-quality faculty”—their top program feature and evidence of successful career placement.  

These prospects also differ in other critical ways. The Adult Prospect Research indicates that on-campus/in-person master’s prospects are younger (early-to-mid 20s) while online prospects skew older. There are also gender differences, with women showing a higher preference for online learning than men, which varies by field of study. 

Given the distinctions between online and on-campus prospective students, a critical question remains for institutions wanting to launch an online program: What factors might draw students away from an existing on-campus option? 

Tasty Campus Program 

Launching an online program can be challenging. But having a successful campus-based program provides valuable faculty experience, student outcomes, and established positioning. Here are some potential ways a new online program launch could spell trouble for your campus program. 

• Campus Location. If an institution is in a remote area with limited job opportunities, prospects may prefer an online program over relocating to campus. Conversely, if an institution is in an urban area, prospects might consider online programming to avoid dealing with traffic or a higher cost of living. Either way, the time and cost of coming to campus can be a determining factor. 
• Program and Market Size. In general, the more specialized a program is, the smaller the prospective student pool. As a result, offering both in-person and online modalities could divide a small audience. Alternatively, launching a broader, more general online master’s—such as an MBA, MEd, or MSN—may seem like a safer bet, but these markets tend to be highly competitive.  
• Lack of Differentiation. If an institution generically promotes both online and campus programs in the same way to the same audience without differentiation, it can create confusion among both sets of prospects. This can potentially lead to campus enrollment decline or underperformance in the new online program. It is essential to clearly distinguish the programs and their intended audiences, as each segment prioritizes different program features. 
• Price Differential. Some institutions have adopted radical pricing strategies for online programs. For example, in fall 2020, Boston University (BU) launched a $25,000 online MBA with edX that now has about 2,000 students. Meanwhile, enrollment in BU’s $115,000 part-time campus MBA dropped from 179 (2018) to 119 (2024). While our research shows that campus-based prospects are willing to pay more out of pocket than online prospects, price differences for the same program across modalities should be carefully considered as price is often unconsciously tied to quality perceptions. 

When launching an online program, these and other factors must be closely examined. For instance, if a campus-based master’s program is more theoretical, it is essential to adapt the program to be more skills- and application-focused to meet the needs of working professionals. 

The Bottom Line 

Eduventures forecasts that both campus-based and online master's markets will remain largely flat in the coming years. Rising unemployment and fewer job postings, however, mean that now is an opportune time to identify and launch online program opportunities.  

But launching an online program comes with risk beyond cannibalizing existing campus enrollment: There are more online master’s degree options than ever before.  

With this hyper competitive landscape in mind, institutions should follow these critical steps to successfully launch an online program from an existing campus offering: 

• Identify the online audience. Understand who online prospects are, what they value, and how they differ from campus-based students. 
• Differentiate the online program. Ensure the program is different from the campus-based program—this may include curricular adjustments or unique features. 
• Design for online learner needs. Consider structural components such as multiple start dates and accelerated terms. 
• Tailor messaging and promotion. Clearly articulate value propositions that resonate with online prospects, from career alignment to affordability and flexibility. 

Eduventures helps institutions navigate these challenges. The Online Degree Database® enables institutions to assess an online program’s competitive landscape. Alternatively, we assess a specific online program market to guide program design and go-to-market strategies.