Case Study of a Day School with High Perceived Value Relative to Tuition

By Dr. Harry Bloom, Founder and President, Benchmarking for Good, Inc.

In a highly competitive school environment, impacted by increasingly challenging economic conditions, schools that are able to deliver a strong educational product at an efficient cost will have an edge. Benchmarking for Good research over the past six months, conducted among parents of a dozen Jewish day schools, indicates that, on average, only about 1/3 of parents are very satisfied with the value they receive for the tuition they pay. Expressed in terms of Net Promoter Scores (NPS)--which net out the percentage of research respondents who are Promoters on the issue of value relative to tuition relative to those who are Detractors-- yields a median anemic NPS of 9%--and 1/3 of schools have negative scores.

Standout Performer: Joseph Kushner Hebrew Academy/Rae Kushner Yeshiva High School

However, as can be seen above, the highest performing schools on this measure outperform the median school by a significant margin. One such school is the Joseph Kushner Hebrew Academy/Rae Kushner Yeshiva High School of Livingston, New Jersey, a Nursery-12th grade Modern Orthodox day school. Forty-six percent of school families are very satisfied with value relative to tuition and its NPS is 21%, more than double that of the median school. This margin of difference motivated us to dig into the reasons for the school’s relative strength and five factors emerged as significantly correlated with parent positivity in this arena.

The Factors That Correlate Most Closely with the School's Perceived Value/Tuition

Note: In social science research, correlations of 0.5-0.7 is regarded as strong correlation.

Summary and Implications

In summary, while many schools struggle with achieving high parent perceived value relative to tuition, exemplary schools, such as Joseph Kushner Hebrew Academy/Rae Kushner Yeshiva High School, represent important models of relative success. Furthermore, market research plus statistical analysis provides strong indicators of the underlying drivers of value perception. Importantly, the factors that drive positive perceptions of value will likely differ significantly based on market priorities and the competitive offerings. But the technique of using market research plus sophisticated statistical analysis can provide a pathway for your school!

 If your school is interested in participating in Benchmarking for Good grant programs that will provide a pathway for it to enhanced perceived value, please contact Dr. Harry Bloom at harrybloom@benchmarkingforgood.org to see how it might qualify for future grant support.

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