When the demand for online MBAs surged during the pandemic, many expected the format to become central to MBA education in the years to come. But just as return-to-work mandates become more widespread, the enthusiasm around online MBAs has also somewhat cooled.
Business schools on both sides of the Atlantic report that applications to online MBA programs have either remained steady or slowed. But schools agree the motivations of applicants pursuing online MBAs are evolving, as professionals weigh time, cost, and career impact more carefully than before.
Applicants are seeking flexibility in online MBA programs
Business schools in the U.S. say they are continuing to attract applications for online MBAs, although prospective students are looking at programs that allow them to balance study with other commitments.
“We continue to see growth in our year-over-year applications for the Michigan Ross online MBA program,” says Sarah McIntosh, director of admissions for part-time MBA programs at the University of Michigan’s Ross School of Business, adding that flexibility remains the program’s main draw.
“Prospective students are prioritizing flexibility so they can balance school, work and personal commitments,” she says.
At Indiana University Kelley School of Business in the U.S., Miki Pike Hamstra, executive director of online programs, says it is too early to assess whether the demand for online MBA has slowed.
“We had a strong fall admissions cycle and are in the middle of our spring cycle, so it’s too early to tell for our current cycle,” Hamstra says.
She adds that Kelley’s online MBA has historically been less exposed to swings in the market.
The picture is more mixed in the UK.
At Durham University Business School, Owain Smolovic Jones, online MBA program director, says applications rose slightly in autumn, but attracting applicants now requires more effort.
“It is definitely the case that we need to work harder on recruitment,” he says. Jones, however, sees this as an opportunity rather than a setback.
“It involves a lot of direct conversation with prospective students, which is a great way of surfacing what is relevant and vital to them as managers who want to invest in their own development.”
Tim McCollum, careers consultant at Durham, is more direct about recent trends.
“Applications have slowed over more recent years,” he says, citing economic pressure and reduced training budgets.
Are returns to in-person offices affecting online MBA demand?
While some business schools say a return to in-person work has dampened interest in online study, others say the opposite is often true.
“I believe there is a correlation between more people returning to the office and fewer taking up online learning,” says McCollum at Durham.
With more time spent commuting, he says, some professionals are less willing to commit to study on top of work.
At Kelley, Hamstra says changing employer expectations have not reduced demand. Instead, she argues that flexibility has become more valuable.
“As employers reinforce in-office expectations, we’re seeing online learning become even more appealing,” she says.
McIntosh sees a similar pattern at Ross. Applicants are more comfortable forming relationships online, she says, having learned how to do so during the pandemic.
“They are more willing to consider an online program because they now know how to make deep connections virtually.”
At the same time, those returning to the office are reluctant to add more travel.
“People who are receiving return to work requirements do not want to add the burden of traveling to school,” she says.
Hybrids models lend flexibility to online MBA programs
Many schools are leaning into hybrid models that blend online and campus study.
At Ross, the online MBA has three required residencies held in Ann Arbor or outside the U.S.
“Many applicants value having part of the program delivered in person without giving up the ability to study on their own schedule,” says McIntosh.
At Durham, students can choose online or in-person study.
“This means that students can plan their MBA to work around their needs as managers and as human beings with family commitments,” says Jones.
Across schools, the consensus is that demand for online MBAs is not waning but maturing.
“MBAs – whether online or in person – remain a highly valued qualification,” McCollum says. Online formats can reduce opportunity cost by allowing students to stay in work while studying and continue earning a salary.
Hamstra says online MBAs are especially valuable in uncertain times.
“We believe that there couldn’t be a better time to pursue an online MBA, given current economic uncertainty and dramatic technological shifts,” she says.
