The Truth about Application Volume

The market for graduate management education is constantly evolving, with trends in application volume to MBA programs responding directly to cyclical changes in the economy.

To keep up, the Graduate Management Admission Council® (GMAC®) conducts a global survey of business schools each June to track application trends, acceptance and enrollment rates, and the applicant pool composition.

The most recent data gathered from business programs participating in our 2011 survey reveal a mixed portrait of the demand for graduate management education. Full-time MBA program application volume tapered off for the third consecutive year, while part-time application growth leveled off in 2011. More than two-thirds (67%) of two-year full-time programs reported a decline in application volume in 2011 compared with 2010 and 57% of one-year full-time MBA programs received fewer applications than in 2010.

Part-time, online, and flexible MBA programs maintained stable application volume in 2011, with nearly equal proportions of programs reporting application volume that was either higher or the same as 2010 (54% for part-time MBAs and 50% for online and flexible MBA programs) or lower than 2010 (42% for part-time MBA programs and 50% for online and flexible MBA programs).

After seeing a 59% increase in applicant volume in 2010, executive MBA (EMBA) programs maintained net growth in 2011, with 58% of programs reporting steady (16%) or increased volume (42%) compared with 42% that reported declining application volume.

Other master’s programs in business continued their growth trends seen in 2010; in fact, 83% of Master of Finance programs, 69% of Master in Management (MiM) programs, and 51% of Master of Accounting programs reported higher application numbers for the incoming 2011–2012 class.

• Applicants to EMBA programs—designed for mid-career professionals—had the most work experience—the majority of applicants (62%) had more than 10 years in the workforce. The vast majority of 2011 EMBA applicants (83%) were 31 years or older.
• Full-time MBA programs continue to report the greatest proportion of foreign (by citizenship) applicants among MBA programs—45% for full-time two-year MBA programs and 56%, on average for full-time one-year MBA programs. A typical full-time MBA applicant was between the ages of 22 and 30 (approximately 75%).
• Proportionally more women applied to flexible MBA programs (40%) and online MBA programs (38%) than to other types of MBA programs.
• Flexible MBA programs had the largest proportion (48%) of applicants who were 25 years or younger, on average, and also had the largest share of women (40%) in their applicant pool.

The quality of this year’s applicants remains high with more than four out of five MBA programs (between 86% and 95%) reporting that applicants in 2011 were either more qualified than or had the same qualifications as applicants in 2010.

The annual GMAC Application Trends Survey asks business schools’ graduate programs to report the volume of applications they have received in the current year. In 2011, GMAC surveyed 649 graduate management programs from 331 schools around the world, including 467 MBA programs.
Here’s a snapshot of how many applications MBA programs received, how their application volume changed from 2010 to 2011, and how many candidates were accepted for different types of MBA programs:

• The average number of applications to full-time programs—666 applications per program—is the highest among all MBA programs. About one-third (30%) of programs reported an increase in the number of applicants in 2011. Although the average number of applications per program declined marginally by slightly more than 5%, program selectiveness remains as competitive as ever—comparable to previous years, full-time MBA programs extended an offer of acceptance to an average of 47% of applicants.
• Part-time programs received an average of 158 applications per program with two in five programs (41%) reporting an increase in the number of applications, which was comparable to 2010. Part-time MBA programs extended an offer of acceptance to 73% of their applicants, on average.
• Executive MBA programs received an average of 81 applications per program, mainly from applicants with 10 or more years of work experience (62%). More than three-quarters of EMBA applicants, on average (74%) received an offer of acceptance.
• Flexible MBA programs that combine full-time and part-time on-campus options for students received an average of 181 applications per program. Flexible MBA programs accepted, on average, 67% of their applicants in 2011.