Among the wonky terms bandied about during the college application season, the term yield rate, or the number of accepted students who matriculate, is one that students and their families should unpack. Here’s why:
Application Strategy
Some colleges have devised Early Decision admissions offerings whereby students can submit applications earlier than November, the typical deadline month for ED applications. For example, University of Chicago invites students who enroll in their SSEN summer program to apply via the Summer Student Early Notification option (ED0) in September and October to receive notification of acceptance, deferral or denial three weeks after submission, or earlier than November. Wake Forest University begins their Early Decision option with rolling notification on August 1st. The reason? For UChicago, it’s to increase interest, and revenue, in their academic summer programs. For both UChicago and Wake Forest, this application strategy allows the schools to solidify their yield, or number of matriculated students, as soon as possible. Students who apply ED0 (UChicago) or Rolling Early Decision (Wake Forest) and pay full tuition provide the college with financial stability as well as sufficient funding for the entire grade. To know this information as early as possible in the admissions cycle helps with budgeting and planning, financial aid allocation, sports recruitment and general institutional cost analysis.
Selection Process
Colleges determine their personal yield rate by this calculation: matriculated students, or the number of accepted students who enroll, divided by the total number of acceptance letters sent out X 100. Competitive colleges or any schools with single digit/low teen admit rates, like to maintain a yield rate of between 50-80% with numbers at the upper end of that range for the Ivy League and Ivy Plus colleges. Most students who are offered acceptance to competitive schools accept the offer. Less competitive schools have a harder time gauging their yield rates and are therefore less likely to accept students whom they guess won’t accept them, i.e. attend. This is where merit aid can be used to lure a desirable student to a less competitive school and boost the institution’s yield rate.
Financial Stability
With government funding cuts, AI’s impact on career choices, and academic program reductions on campuses, many families are doing their due diligence about the longevity of the colleges their students are applying to. “Is this school a good investment?” Or “Will my child’s diploma be relevant in 10 years?” With school closures on the rise, these are valid questions. Researching endowment numbers, particularly at private colleges, and government backing at state universities is a good place to begin. The school’s enrollment trends, financial aid allotments, operating costs, as well as yearly tuition coverage versus anticipated debt are other key areas to investigate.
High yield rates usually belong to low acceptance rate schools, those that are difficult to gain acceptance to. The good news is that most colleges, regardless of yield or acceptance rate, offer similar programming in terms of majors, certificates, study abroad opportunities, internships and career alumnae networking.
AUG