What is the Definition of Sustainability? A) Covering expenses with TeacherLine programs generated...
-
Upload
myles-jefferson -
Category
Documents
-
view
219 -
download
0
Transcript of What is the Definition of Sustainability? A) Covering expenses with TeacherLine programs generated...
What is the Definition of Sustainability?
A) Covering expenses with TeacherLine programs generated revenue
B) Covering expenses with program generated revenue and non-DOE grant funds
C) Covering expenses with products made from renewable forest products.
D) Covering expenses with revenues made from sustainable fish farms
What is the Definition of Sustainability?
A) Covering expenses with TeacherLine programs generated revenue
B) Covering expenses with program generated revenue and non-DOE grant funds
• Sustainability at the National Level• DOE Grant Goals• Progress on National Sustainability • Critical Levers
• Sustainability at the Local Level• Introduction to Local Sustainability Model • Critical Levers for GY03
• Department of Education grant was awarded in August 2005 to support the TeacherLine program
• Eduventures was hired to advise PBS and TeacherLine on:• Financial performance• Progress towards sustainability• New product pricing models
• PBS and Eduventures developed a comprehensive financial model to assess progress towards sustainability• Model forecasts program inflows and costs required for sustainability • Each quarter the model is updated with actual results and efforts to meet
sustainability are assessed and monitored
Sustainability Goals Were Set As Part of DOE Grant
• PBS National is committed to achieving sustainability system-wide
• Enrollment and revenue goals were set to measure progress• Goal is to move towards revenue sustainability in increments of 20%
over five years • Local stations are critical in meeting those goals
• Both PBS and locals stations have influence on how those goals are met• National has indirect influence on increasing distribution and direct
influence on controlling costs• Local stations have direct influence on increasing distribution and
indirect influence on controlling costs
TeacherLine is Focused on Sustainability at Both National and Local Levels
Progress
Look for efficiencies and scale
Lowers program costsExpenses
Effectively predict course demand; migrate learners to alternate courses or national courses when there is not sufficient local course demand
Increasing the average enrollment per course leads to more efficient (and more profitable) courses
Course Size
Minimize discounting to capture maximum value without losing learners
Optimal pricing contributes directly to program revenue
Average Course Price
Enroll new learners, encourage repeat learners
Increased total enrollment contributes directly to revenue
Total Enrollment
How to Move ItEffectLever
Pro
gra
m
Dis
trib
uti
on
Pro
gra
m
Eff
icie
ncy
Progress is Being Made On Levers that Affect Program Distribution
9,7868,850
0
1,000
2,000
3,000
4,000
5,000
6,000
7,000
8,000
9,000
10,000
11,000
12,000
GY01 GY02
Enrollments
GY 2 Enrollments Were Up Almost 11% Over GY 1
$0
$50
$100
$150
$200
$250
Fall2004
Win.2004
Spr.2005
Sum.2005
Fall2005
Win.2005
Spr.2006
Sum.2006
Fall2006
Win.2006
Spr.2007
Sum.2007
Average Course Price
Average Course Price for GY02 Was $185, Compared to $176 in GY01
0
5
10
15
20
25
Fall2004
Win.2004
Spr.2005
Sum.2005
Fall2005
Win.2005
Spr.2006
Sum.2006
Fall2006
Win.2006
Spr.2007
Sum.2007
National Course Average Local Course Average Combined Course Average
Average Course Size GY02 Was 15, Compared to 16 in GY01
$6,905,581
$6,354,181
$3,346,749
$1,865,431
$909,614
$542,103$0
$1,000,000
$2,000,000
$3,000,000
$4,000,000
$5,000,000
$6,000,000
$7,000,000
$8,000,000
GY01 GY02 GY03 GY04 GY05
Projected Program Sales Estimated Program Sales
Last Year, Program Sales Were Estimated and Only Included Enrollment Fees
$1,316,571
$6,905,581
$6,354,181
$3,346,749
$1,865,431
$909,614
$884,981$0
$1,000,000
$2,000,000
$3,000,000
$4,000,000
$5,000,000
$6,000,000
$7,000,000
$8,000,000
GY01 GY02 GY03 GY04 GY05
Projected Program Sales Actual Program Sales
Actual Program Sales Tell a More Accurate Story
$1,316,571
$6,905,581
$6,354,181
$3,346,749
$1,865,431
$909,614
$884,981$0
$1,000,000
$2,000,000
$3,000,000
$4,000,000
$5,000,000
$6,000,000
$7,000,000
$8,000,000
GY01 GY02 GY03 GY04 GY05
Projected Program Sales Actual Program Sales Revised Program Sales Goal
Two Years Into the Grant, a Revised Goal is More Realistic
Grant Year 1 Grant Year 2Inflows Program Sales 884,981$ 1,316,571$
Expenses Program Expenses 3,273,308$ 3,826,013$
Sustainability 27% 34%
Enrollment Summary Local 5,525 5,739 National 3,325 4,047Total 8,850 9,786
Calculating Sustainability at the National Level: A Snapshot
* Excluded grant carry forwards and Program Evaluation costs from sustainability calculation
• Sustainability at the National Level• DOE Grant Goals• Progress on National Sustainability • Critical Levers
• Sustainability at the Local Level• Introduction to Local Sustainability Model • Critical Levers for GY03
A Local Sustainability Model is in Development!
• PBS National and Eduventures are developing a sustainability model for use at the local station level
• The model is based off the National model and will include station specific information such as:• Program inflows• Program expenses• Program metrics• Progress towards sustainability
• Similar to national model, it will NOT include:• Overhead Fees (i.e., rent, utilities, etc)• Local Innovation Funds
• Purpose: To provide an annual picture of sustainability at the station level
• Audience: Any SRC, local course provider or promotional station
• Requirements: Program inflows and program expenses
• Next steps: Currently being tested with station data, revised version ready by early November.
Will be used on an annual basis in GY03 and optional move to quarterly basis in GY04
Local Model Will Provide an Annual Picture of Sustainability
Grant Year 1 Grant Year 2InflowsProgram Sales 317,285$ 329,568$
ExpensesProgram Expenses 241,120$ 286,200$
Sustainability 132% 115%
Enrollment SummaryTotal 1,619 1,432
Calculating Sustainability at the Local Level: A Case Study
* Excluded DOE grant from sustainability calculation
Local Stations Have Direct Influence on Program Distribution
• Similar to the National level, local stations have the ability to have a considerable impact on TeacherLine program sales and efficiency at the local level
• The main levers for sales are:• Lever 1: Course fees• Lever 2: Total enrollments
• Program efficiency is driven primarily by:• Lever 3: Average course size
There Are Alternate Ways to Increase Program Sales
• Repeat learners are a cost-efficient way to increase overall enrollments. Factors that contribute the most to learners returning are:• Setting expectations for success• Enrollment experience• Course experience• Customer support
• Course licensing and Peer Connection• Lower expenses (no facilitator fees, no course platform costs and no
e-commerce fees)• Reduced post-sales management• Minimal customer support costs
Over Fifty Percent of Learners Have Enrolled in More than One Course…
• Fifty-four percent of enrollments have come from repeat learners
• Twenty-three percent of enrollments are from learners enrolled in two courses
• Thirteen percent of enrollments are from learners enrolled in three courses
Percent of Enrollments by Number of Courses (All Learners)
46%
23%
13%
7%
3%
2%
1%1%
1% 3%1% 1 course
2 courses
3 courses
4 courses
5 courses
6 courses
7 courses
8 courses
9 courses
10 courses
10+ courses
Progress
Course Size
Average Course Price
Total Enrollment
GY02GY01Lever
Pro
gra
m
Dis
trib
uti
on
Pro
gra
m
Eff
icie
ncy
A Look Back: Progress is Being Made On Levers
% Change
8,850 9,786 11%
$176 $185 5%
16 15 -6%
How Many Letters Are in the Word “Sustainability”?
Sustainability is not a four-letter word!!