Brendan Frazier chose Concordia University, St. Paul, because it was a small, private school that gave him better financial aid packages than other institutions.
St. Paul’s Concordia University bucks trends, grows to become second-largest private college in Minnesota
While other colleges and universities are struggling to maintain enrollment, Concordia University, St. Paul, has quietly doubled its enrollment in the last 12 years.
“They took a lot of zeroes off, that’s for sure,” said Frazier, a junior sociology major who was waiting to rehearse a play on campus recently.
For more than a decade, Concordia University, St. Paul, has been quietly bucking multiple higher education trends, doubling enrollment from 3,000 to 6,000 students since the 2012-13 school year while remaining affordable compared to its private peer institutions.
Concordia — tucked into the Summit-University neighborhood — is now the state’s second-largest private college and the largest Lutheran college in the U.S., part of the Missouri Synod. It’s also the least expensive private school option in terms of list price for traditional undergraduates in Minnesota.
Over the last decade, the number of college students in the U.S. has dwindled, partly due to falling birthrates decades ago. Students and families have also been questioning the value of higher education, with some deeming it too expensive to pursue.
“If you’re doubling your enrollment, you’re doing some really significant things right,” said Barbara Mistick, president of the National Association of Independent Colleges and Universities (NAICU). “Institutions who are successful, they really know their audience.”
Undergraduate enrollment in the U.S. has decreased by 15% from 2010 to 2021, according to the National Center for Education Statistics. But Concordia has seen consistent growth in all areas, including programs for undergraduates and graduate students obtaining their master’s or doctoral degrees. Among the state’s private, nonprofit schools, only the University of St. Thomas enrolls more students.
The first step in Concordia’s growth was a potentially risky decision made in 2013, when the university orchestrated a “tuition reset” that sliced $10,000 off the initial price of undergraduate tuition and fees to convince families of its affordability.
“We already knew at the time that our sticker price was well outpacing what those families would consider viable,” said Eric LaMott, the school’s provost and chief operating officer. “A tuition reset is all about keeping your name on the table of the family looking at the five to six schools.”
The price slashing led to 51% more first-year traditional undergraduates (those under age 25) the next year; the program’s marketing also resulted in more undergraduates over age 25 and graduate students enrolling.
It was the start of a strategic plan centering on affordability, quality academics and growth, LaMott said, with an emphasis on adding in-demand programs that lead to strong job prospects.
“[Concordia] planned the work that needed to be done and then worked the plan,” said John Lawlor, who runs Lawlor Advisory, a Minneapolis-based higher education marketing firm that has worked with Concordia on several projects, including the tuition reset. “And they engaged the campus community.”
The tuition reset
In fall 2012, Concordia had 2,940 students, largely split between its graduate programs, which offered master’s degrees and were mostly online, and traditional undergraduates. The undergraduate program for adults 25 years and older enrolled 465 students.
In previous years, the school had been reviewing demographics and tuition pricing studies, and was already growing. Officials found that Concordia, which serves largely diverse, urban students, was pricing itself out of the market due to its base tuition, along with an annual 3% to 5% tuition increase, common at the time, LaMott said.
Families would “shut down” when they heard about Concordia’s cost, even though they were told about extensive scholarships and aid that resulted in very few students paying full price, said Kristin Vogel, Concordia’s director of enrollment systems and operations,
“You could see how that price was such a barrier,” she said.
Because Concordia had other sources of income than just its traditional undergraduate program, officials were able to cut tuition, she said.
Vogel, who was the admissions director then, recalled a news conference about the tuition reset, which reduced tuition from $29,700 to $19,700 for all traditional undergraduates — not just the next year’s freshmen — and froze room and board costs. Afterward, the admissions staff members’ phones were ringing off the hook and some students started crying when they heard how much they would save. The college was flooded with emails from grateful parents, too, she said.
In the end, the reset didn’t require subsidizing tuition, Vogel said, because they made up for it by enrolling so many additional students.
Some higher education “pundits” said lowering tuition would backfire, making it seem like Concordia’s education was now worth less, LaMott said, but the school’s growth debunked that idea.
“Ever since [then], we’ve been on everybody’s speed dial,” LaMott said of other colleges contacting Concordia about their reset.
Mistick said other colleges have tried it, with mixed results.
“The tuition reset lets you know they’re committed to value and ... transparency and that’s something a lot of parents are looking for today,” Mistick said.
This fall, Bethel University in Arden Hills announced a dramatic price cut for next year’s freshmen, lowering tuition and fees by $18,000. Campus visits are already up 40% this year, said Timothy Hammer, Bethel University’s marketing director.
“Concordia [University] is a great example of how strategic pricing decisions can impact growth and accessibility,” Hammer said, adding that Bethel consulted with Concordia’s leaders.
In Moorhead, Concordia College did a similar tuition reset in 2020, lowering tuition to $27,500, said Ben Iverson, its vice president for enrollment. Last year, the college debuted its Concordia Promise, which offers free tuition to students from families making less than $90,000. This fall, freshmen enrollment increased by 28%, Iverson said.
Growing every year
Back in St. Paul, Concordia University has raised tuition since the tuition reset, but in modest amounts. This year’s list price is $25,600 for tuition and $11,500 for room and board, before accounting for scholarships and aid.
Officials have added and adapted academic programs since then, many in health care, contributing to its steady growth, officials said.
This year, the school’s first-year traditional undergraduate enrollment increased 23% while the number of students in its doctoral programs went up 19%. Among Minnesota private colleges, only Concordia College saw more first-year undergraduate growth.
At Concordia University, undergraduate programs for adults 25 and older have seen the largest enrollment increases in exercise science, business, technology and nursing, LaMott said. With master’s programs — the majority still online — Concordia’s MBA, exercise science and education programs are among the most popular.
The school added four doctoral programs since 2015, focusing on education and health care. Concordia has also taken over undergraduate nursing programs at a now-defunct college in Portland, Ore., rebranding them as Concordia degrees, and is in the process of absorbing the nursing programming at a Denver college, too.
Despite its focus on career-oriented programs, Concordia will continue offering majors in the liberal arts — including psychology and theater — and in areas like church work, despite some of those programs running in the red, LaMott said.
The growth has required Concordia to add and renovate buildings, LaMott said. Officials are trying to purchase property to expand the campus’ west side as it becomes available. LaMott said Concordia continues to think about a second tuition reset and wants to eventually grow to 10,000 students.
On campus, several students said they’ve noticed how the school has grown.
“You can kind of see how bustling it is. If you take a look at the parking lots, they’re full,” said Mima Yevu, a senior. “[There’s] more voices in the hallways, too.”
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