BRAZIL

1. BRAZIL

2. WHO ARE BMI AND WHAT DO WE DO? • BMI is Latin America’s leading International Student Recruitment Fair & Agent Workshop Organizer. • Events are held in Brazil, Chile, Colombia, Ecuador and Venezuela. • BMI organizes EuroPosgrados – The European Postgraduate Fair - for DAAD and CampusFrance in Colombia. • The BMI International Education Agent Database (IEAD) contains over 9,000 contacts and is constantly updated..

3. WHAT WILL BE COVERED? • SOUTH AMERICAN MARKET IN GENERAL • CHILE, ECUADOR, COLOMBIA & VENEZUELA • BRAZIL • General Info / Size of the market / latest numbers WORKING WITH AGENTS, WHY IMPORTANT IN SOUTH AMERICA • BMI BRAZIL AGENT SURVEY – MARCH 2011 • Increase in # of students sent abroad in 2010 • Estimate of increase in the no. of students agents sent abroad in 2011 • How much commission do you charge? • STB CASE STUDY HOW TO ATTRACT MORE STUDENTS, TIPS AND QUESTIONS

4. THE SOUTH AMERICAN EDUCATION MARKET • Growth in all markets – from 20 to over 100% • Primary Markets – Brazil, Colombia, Venezuela and Chile • Secondary Markets – Ecuador and Peru • Economic Stability – Currency Strength • No Longer Just a Diversification Market • Increasing interest in a range of courses & destinations

5. CHILE • Becas Chile isthelargestscholarshipprogram in theworldafterSaudi Arabia • Becas Chile programexpectstoaward 30,000 scholarshipsforpostgraduatecourses in a ten yearperiod. Between 2008-2011 theprogram has awarded 5,809. • Becas Chile has fuelled interest for other types of study especially ELICOS • 15,000 visitors in Expo-Estudiante Becas Chile Fair in Santiago, Antofagasta and Valdivia in 2010. • Minister of Educationopenedevent – showingfurthersupportforprogram. • 3rd largestsource - afterBrazil and Colombia - of ESL students in Australia. - 175% growthfrom 2005/6 to 2010/11. • USA enrollmentsincreasedbyjustover 39% from 2010 to 2011 • numbers up from 189 in 2010 to 263 (2,811 studentweeks) in 2011 • 2012 figures are expectedto be muchhigherduetoincreasedinterest in the USA and as USA isthe top destinationfor Becas Chile students

6. ECUADOR • Senescyt scholarship program covers Master, PhD and post-PhD courses for Ecuadorians without age limit that want to study abroad.  • The areas that people can apply are Life Sciences, Natural Resources Sciences, Social Sciences and Production and Innovation Sciences. • SENESCYT awarded 2,471 in 2012 and plans approx 9,000 in 2013 opening the program to areas related with business. • IECE increased loan amounts from 20,000 to 26,400 over 2 years in March 2011. • Only program in Latin America that is availabele for all types of programs including ESL.

7. COLOMBIA – THE COUNTRY • Third largest country in Latin America • Bogota is the largest city and the major Industrial, Financial and Government Centre. • Other major cities are Barranquilla, Cali, Medellin and Cartagena • Greatly improved Domestic Security Situation – between 2009 and 2011 the number of tourists increased in 24,5%.

8. COLOMBIA – THE MARKET • 1,7 Million registered in HE/VTE institutions in Colombia - 33% at VTE courses in 2010 vs 19% in 2002. • International Education is very highly valued – especially by the Job Market. • 58% of company directors give preference to candidates with postgraduate studies abroad. (Source:La Republica Journal) • Colombian Government is actively encouraging students to take Vocational Training courses as there is a shortage of labor in these areas.

9. COLOMBIA – THE MARKET • Postgraduate enrollments to grow significantly over the next 3 to 4 years • Colombians have access to significant loans to study abroad from Colfuturo, ICETEX and private banks. • ICETEX is increasing proportion of loans for language study previouly priortising postgrad. • Colfuturo sponsored 998 students in 2012. +25% from 2011. • Colfuturo’s scholarships main destinations: USA 33%; UK 22%; Spain 8%; France 7%; Germany 6%.

10. COLOMBIA & USA • US Numbers went from 545 in 2010 to 849 studying English in 2011 - Now 11th leading source of IEP students up from 16th in 2010. • Increase of over 55% from 2010 to 2011 in terms of students • Ranks just behind Vietnam and ahead of Thailand, France, Italy, Spain • Almost double the numbers of students to US than from from Russia and Mexico

11. COLOMBIA – FACTS & FIGURES • Colombia is Australia’s 2th largest source of ESL students. (Australian Government) after Brazil. • Colombia is Australia’s second largest source (after Brazil) for Vocational & Technical courses from South America. • Colombians constitute the UK's second largest Latin American group . Estimated that between 90K and 160K people of Colombian ancestry live in the UK.

12. WHY VENEZUELANS LEAVE THEIR COUNTRY? AccordingtoDatanálisis– a respectedprivatesurveyorganisation, thereasons are: • Financial and economicinstability • Do notenvision a prosperousfuture • Personal insecurity • Feelunabletofullydeveloptheircareers • Privatepropertyjeopardy • Higher education standards offered by other countries.

13. VENEZUELANS ABROAD • Therefore increases at all levels of study but strongest at ESL level • USA - 6.281 HE students for 2011. +14,4% since previous year • UK - 4,058 students in 2011. (English UK) • Now 8th largest source country for USA – up from 15th in 2010. • Over 100% increase from 2010 to 2011

14. FUNDS FOR VENEZUELAN STUDENTS • Since 2002, Venezuelan Government established a Currency Exchange Control Regime. Everyone who wants to go outside Venezuela's has to ask CADIVI for international currency. • CAVIDI will transfer the payment directly to the educational institution. • The official exchange rate is 4.3 Bolivars per Dollar while Black Market sells it in 17 Bolivars per Dollar. Usually the Venezuelans who want to study outside the country, ask CADIVI first, to get Dollars in an official rate and save money. • If a the student can't access to $ by CADIVI, most of their families will have bank accounts outsideVenezuela and can afford tuitions and life expenses to study abroad.

15. BRAZIL – THE COUNTRY • 6th largest Economy in the world by GDP (IMF) and by far the largest in South America America. • Population of 191 Million • The states of Minas Gerais, Rio de Janeiro, and São Paulo contain approximately 41 % of the population; the states of Rio Grande do Sul, Bahia, Pernambuco, and Ceará contain about 23 %of the population. • According to the 2010 census, 42.5% of the population is under 25 years old and 33.5% is under 19 (source IBGE 2010)

16. THE BRAZILIAN REAL- CHANGE TO USD Brazilian Real went from almost 3,5 in feb 2003 to 2 in Nov 2012. Strengthened by 57%.

17. DIVERSE CULTURES • Large German populations in the South - estimated that there are around 5 million German descendents in Brazil. (Source: German Consulate in Porto Alegre) • More than 23 million Italian descendents – largest population outside Italy. (Source: Brazilian Census 2000. IBGE) • Brazil has largest Japanese population outside of Japan. Estimated 1,4 Million on 2000 Census. 50% of them living in Sao Paulo area. (Source: IBGE, 2008) • Largest Lebanese population outside Lebanon. 7 million estimated. Larger than population in Lebanon. (Source: Lebanese Embassy in Brazil) • Many people of European Descent and with European Passports.

18. BRAZIL IS CHANGING VERY FAST MAKING ALMOST ALL SURVEYS AND STATS A MOCKERY BUT I HAVE TRIED TO PICK THE MOST RELEVENT TO GIVE YOU AN IDEA OF THE MARKET • YOU WILL SEE THAT SOME OF THEM HAVE HUGE DIFFERENCES AND CHANGES AND THIS IS NOT DUE TO INACCURAC Y BUT THE CHANGES TAKING PLACE IN THE MARKET

19. BRAZIL – MARKET SIZE AND SPENDING POWER • According to BMI Brazil Agent survey (Jul/Aug 2011), over 365,000 Brazilians are expected to study abroad in 2011 – BELTA survey in 2004 quoted 42,000 in 2004. • BELTA in beginning of 2010 estimated 160,000 would study abroad in 2010. Figures were only based on responses from a limited number of members. • British Council research in 2010 estimated a target market of 13 Million people based in income and age. In 2007, their research estimated that Education UK had a target market of 1.5 million.

20. A and B class increased in 12,8% from 2003 to 2009. C class increased 11,1% in the same period. In total, 48 million people moved to ABC class between 2003 and 2009. This is bigger than the population of Spain. (FGV) • According to Visit Britain 151,000 Brazilians went to the UK in 2009 compared with 92,000 in 2005. 21% increase in per capita spend from 2008 to 2009. • Consumer Expenditure in Education increased in 133% from 2006 to 2010. (British Council).

21. BRAZIL – MARKET FACTS • Demand for quality higher education outstrips supply. • At the university level, the best universities are public therefore a good private high School education is essential. • Middle class has moved from state education to fee-charging schools. They have little confidence in public schools. They are now more likely to afford an overseas education. • Majority of Brazilians undertake language study abroad for future or current work prospects (64%) – LTM 10

22. PRICES OF COURSES IN BRAZIL • Teens program at Alumini Sao Paulo - R$ 3,560 per semester. • 82.5 hours = 5.5 weeks course abroad of 15 hours/week • US 2,000 = US 375 • Escola Pan Americana Bahía. 2011-2012. • R$ 36,000 = US 20,000 per year • R$ 9,000 enrollement fee = US 5,000 • Does not include after school classes/activities • PUC Rio – Undergraduate Business Program. • R$ 1,564 per per month x 12 = R$ 18,750 approx • US 10,000 per year for 4 years.

23. Intensive English Programs: Leading Places of OriginOpen Doors 2011 Increased from 2252 student to 4225 Up over 87% and represents over 30000 student weeks Expected to easily take over Japan as 4th largest in 2012 These figures take no account of the impact of students who will take English prior to science without borders

24. BRAZIL – STUDENT NUMBERS • With over 9,000 students, the US has more than double the number of students studying at the HE level than all competitor countries combined. • Those numbers should be up by at least 5000 in 2012 due to science without borders • This slide also shows the numbers of students studying English in other english speaking countries and though US is having big gains - they are well behind

25. Why agents can be important in South America? • Depending on the city and country, Agents send between 30-70% of students abroad. This used to be higher. • Many Parents do not speak English and want to speak to someone who speaks their language • Latin Families are very close and some Parents want to have a local contact in case there child has a problem abroad.

26. Who is considered an Agent? • Individuals • Private Companies • Travel Agencies - often acting as sub agents • University Representatives / Study Abroad Advisers • Alumni (paid or unpaid) • Government supported Education Promotion Offices • Ed USA, British Council, AEI, DAAD, CampusFrance • Embassies

27. How do I find an Agent? • Agent Workshops (ALPHE, BMI, ICEF) • Agent Database (BMI) • Language Travel Magazine (Hothouse Media) • Internet • Agent Associations • Recommendations of colleagues • Education Fairs • Industry Conferences • In-Country Embassies and Trade Offices

28. Why use an Agent - The Advantages • Send students • sometimes in large numbers and regularly. • Local Language • They speak and can give advice in the local language. • Local Knowledge • They know who are really interested, who can afford it, and the courses of interest • They can help you market the right course at the right time and even suggest new courses. • They can seek out and take advantage of specific opportunities through their local friends and business networks. • Local Contact Point • They give you a constant local presence and someone parents can contact and hold responsible once the student has left the country.

29. Why use an Agent - The Advantages • Participate in Education Fairs & Events • They can represent you in international education fairs and school events on your behalf – cost savings for the institutions. • Faster Registrations • They are able to follow up prospects quicker and often which improves enrollment chances! • Specialized Counseling • Agents know about your programs and should help students in choosing the right course. • They can help you market the right course at the right time and even suggest new courses. • Assistance with Visas & Paperwork • Help with the visa application and ensure accompanying documents are submitted.

30. Why use an Agent - The Advantages • Extra Services • They can help students with various matters including flights, insurance and accommodation. • Destination Information • They can provide information and orientation about the destination, cost of living, social & cultural differences, climate etc. • Post-Study Report • They can provide information about the student experience – what are you doing well and where you need to improve. • Maximize Your Time In-Country • They can set up meetings with prospects/parents or set-up seminars during your trip!

31. How do I select the right agent? • How long have they been in business? • If a very short time, ask about previous experience? • What geographical areas do cover? • Who do they currently represent? • Are they working for your competitors? • How many from each country/city? • How many staff do they have? Have they traveled abroad? • Ask Embassy and/or Trade Office about the agency?

32. How do I select the right agent? • Are they members of an Agent Association? • Though not always import in Latin America. • 10 years ago, agency of president of BELTA went bankrupt with student money • Ask Colleagues • Do they publish an annual magazine or catalogue? • Ask for a copy • Do they have a web site and how does it look? • What is their promotion plan? How do they generate leads?

33. BMI AGENT SURVEY – JULY/AUGUST 2011 BMI survey of 81 Brazilian educational agents and universities participated including the largest agencies (such as CI, STB, EF) as well as major universities. • The 81 respondents to the survey sent 80,665 students in 2010 and expect to send approx 106,000 in 2011- an increase of 31%. • On average, each agency sent 303 students abroad – numbers of the four largest agencies (who sent over 3,000 students each) were excluded from the average figure so as not to bias results. • Combining the numbers sent abroad by the four largest agencies and using the average number of students per agency for the other 447 agencies in Brazil, the total number of students sent abroad by the 451 Brazilian agencies is expected to be 267,027.

34. BMI AGENCY SURVEY – SIZE OF MARKET • Survey of visitors to the BMI Salao do Estudante fairs in Brazil in February 2011 revealed 27% of Brazilians plan to study abroad without using an agency. • Number of Students booking though agencies is slowly decreasing year by year. • Including direct registrations, the total number of students who would travel abroad in 2011 is expected to be 365,791. • These numbers do not include students who are on a semester or year abroad program – increasingly popular in the last 3 years.

35. BMI AGENT SURVEY - GENERAL • Do you feel the number of students going abroad to study abroad will increase, not change or decrease over last year (2010)? 96.60% Increase 3.4% not change 0.00% Decrease • Please estimate the percentage increase or decrease in the numbers you sent abroad compared to last year (2010)? Increase - 31.1% • How many students do you expect to send abroad in 2011? Average: 303 students per agency (excludes figures from 4 largest agencies sending over 3,000 students) .

36. BMI AGENT SURVEY – BY TYPE OF COURSE • Do you expect the number of students you send abroad for each type of course to increase , stay the same or decrease in 2011?   Increase Decrease It will not change Canada 84.50% 0.00%15.50% USA 67.20% 5.20%27.60% Australia 55.20% 12.10%32.80%Bitmap Ireland 55.20% 8.60%36.20% New Zealand 50.00% 10.30%39.70%Bitmap Bitmap UK 48.30% 29.30%22.40% France 37.90%6.90% 55.20% Argentina 32.80%10.30% 56.90% Spain 32.80%10.30% 56.90% Italy 31.00%6.90% 62.10% Germany 29.30%8.60% 62.10% Chile 19.00%6.90% 74.10% 5. Do you expect the number of students you send for the courses below to increase or decrease in 2011?   Increase Decrease It will not change Language course 93.10% 0.00%6.90% Executive/Language Courses 72.20% 0.00%27.80% Summer camp 63.00% 1.90%35.20% High school 62.30% 1.90%35.80% Postgraduate/MBA 59.30% 1.90%38.90% Undergraduate degree programs 56.60% 1.90%41.50% 6. How much commission do you receive for each course below (in percentage)? Bitmap High school Between 10% to 50%Most common 15%Average 20% Summer camp Between 15% to 40%Most common 20%Average 20% Language course Between 15% to 30%Most common 25%Average 24% Undergraduate degree programs Between 10% to 25%Most common 10%Average 15% Postgraduate/MBA Between 10% to 30%Most common 10%Average 15% Executive/Language Courses Bitmap Between 10% to 35% Most common 20%Average 22%

37. BMI AGENT SURVEY – COMMISSION • How much commission do you receive for each of the following courses?   Increase Decrease It will not change Canada 84.50% 0.00%15.50% USA 67.20% 5.20%27.60% Australia 55.20% 12.10%32.80%Bitmap Ireland 55.20% 8.60%36.20% New Zealand 50.00% 10.30%39.70%Bitmap Bitmap UK 48.30% 29.30%22.40% France 37.90%6.90% 55.20% Argentina 32.80%10.30% 56.90% Spain 32.80%10.30% 56.90% Italy 31.00%6.90% 62.10% Germany 29.30%8.60% 62.10% Chile 19.00%6.90% 74.10% 5. Do you expect the number of students you send for the courses below to increase or decrease in 2011?   Increase Decrease It will not change Language course 93.10% 0.00%6.90% Executive/Language Courses 72.20% 0.00%27.80% Summer camp 63.00% 1.90%35.20% High school 62.30% 1.90%35.80% Postgraduate/MBA 59.30% 1.90%38.90% Undergraduate degree programs 56.60% 1.90%41.50% 6. How much commission do you receive for each course below (in percentage)? Bitmap High school Between 10% to 50%Most common 15%Average 20% Summer camp Between 15% to 40%Most common 20%Average 20% Language course Between 15% to 30%Most common 25%Average 24% Undergraduate degree programs Between 10% to 25%Most common 10%Average 15% Postgraduate/MBA Between 10% to 30%Most common 10%Average 15% Executive/Language Courses Bitmap Between 10% to 35% Most common 20%Average 22%

38. BMI AGENT SURVEY – SINCE THE SURVEY • Carried out in March 2011 • Big changes since this survey as popularity of USA has had a big increase • Limited light options to Canada – and they need a US visa if transiting • Big effort by US Consulate to promote USA and support education • Consul General opened BMI Salao do Estudante Fair in Sao Paulo which was featured on national TV • Consuls visited BMI Fairs in Recife and Rio • Ambassador recoreded a video invitation which was on BMI and Embassy sites. • Big turnaround in visa processing times and appointments   Increase Decrease It will not change Canada 84.50% 0.00%15.50% USA 67.20% 5.20%27.60% Australia 55.20% 12.10%32.80%Bitmap Ireland 55.20% 8.60%36.20% New Zealand 50.00% 10.30%39.70%Bitmap Bitmap UK 48.30% 29.30%22.40% France 37.90%6.90% 55.20% Argentina 32.80%10.30% 56.90% Spain 32.80%10.30% 56.90% Italy 31.00%6.90% 62.10% Germany 29.30%8.60% 62.10% Chile 19.00%6.90% 74.10% 5. Do you expect the number of students you send for the courses below to increase or decrease in 2011?   Increase Decrease It will not change Language course 93.10% 0.00%6.90% Executive/Language Courses 72.20% 0.00%27.80% Summer camp 63.00% 1.90%35.20% High school 62.30% 1.90%35.80% Postgraduate/MBA 59.30% 1.90%38.90% Undergraduate degree programs 56.60% 1.90%41.50% 6. How much commission do you receive for each course below (in percentage)? Bitmap High school Between 10% to 50%Most common 15%Average 20% Summer camp Between 15% to 40%Most common 20%Average 20% Language course Between 15% to 30%Most common 25%Average 24% Undergraduate degree programs Between 10% to 25%Most common 10%Average 15% Postgraduate/MBA Between 10% to 30%Most common 10%Average 15% Executive/Language Courses Bitmap Between 10% to 35% Most common 20%Average 22%

39. STUDENT TRAVEL BUREAU (STB) – 2010/2011 • Sent 52,000 people abroad in 2010 – expect to increase this to 200,000 by 2015 • Turnover in 2010 increased by 45% • In Q1 2011 v Q1 2012: • Company grew by 30% in student numbers and turnover by 54% • Courses abroad increased by 36% and the 10-17 age group by 50% • England is the most popular course for short/holiday courses. • Stores in the Southeast & Northeast (Salvador/Recife) had highest increases 70% and 60% respectively • Expect 50% increase in higher education numbers in 2011 for Australia and New Zealand. • Expect growth of 40% in 2011

40. TIPS TO ATTRACT MORE STUDENTS - WITH AGENTS • Work with the right agent • Don’t always head for the big ones or members of agent associations - Belta represents only 16% of Agencies in Brazil. • Many agencies now specialize in certain countries. • Many smaller agencies more willing to work with you. • If they are producing, bring them over to see your institution. • Organize Incoming FAM Trips for Agents but select the right agents! • Share agent info with competitors (colleagues)…one agent may be better suited to another institution.

41. HOW CAN YOU ATTRACT MORE STUDENTS • Market the differences and market each region/city • Combine your marketing/recruiting efforts with other schools; cover all sectors. • Recruit students/parents at fairs for separate one-on-one or small group meetings at a later date. Applications will follow! • Combine student fairs with school visits and seminars. • Use not only Alumni but also current students.

42. AND FINALLY – SOME TIPS! • There are a lot of people who do not want to work with agents - respect this. • Material in language of the country – remember Brazilians speak Portuguese not Spanish. • Send the right person - don’t send whoever is available, or worse, consider the event as a “treat”. • Visit them at the office but have your meeting out of their office – allow plenty of time between meetings.

43. Samir ZaveriDirector, International Operationssamir@bmimedia.net