Thread regarding University of Phoenix layoffs

$188 million for marketing

You think that's enough?

https://www.adweek.com/agencies/university-of-phoenix-sends-188-million-creative-account-to-tbwa-and-rapp/

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Post ID: @ZOQ9inA

3 replies (most recent on top)

I'm guessing that they're not spending that kind of money in 2020. At this point, I wonder if Apollo Education is even paying its bills. The ultimate way to "profit" is not to pay the bills and then to negotiate for a deal with the threat of bankruptcy. It has become an old trick, but only big companies can get away with it.

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Post ID: @ZOQ9inA-kunu

In 2012, it was estimated by credible sources that Phoenix spent about $400,000 a day on advertising or about $144 million per year. This is about $160 million in 2019 dollars. If the $188 million is correct then they are spending more today than in 2012. In 2012 it was reported by credible sources that enrollment was down nearly 50 percent since 2010, and as of August 31, of 2012, enrollment totaled about 328,000. Phoenix was public then and the data is from reliable public disclosure filings. Clearly the marketing investments since 2012 have failed in a dramatic manner. For comparison (national entities), the major presidential candidates spent $2.4 billion in 2016. Clinton spent almost $800 billion while Trump spent half that much. It will be much higher in 2020. So how much enrollment will Phoenix generate for $188 million given the immense hole they are in? They spent nearly $900 million between 2012-2019 with apocryphal results. $188 million seems like far too little and much too late.

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Post ID: @ZOQ9inA-9qjo

Looks like the new firm was really big in the 1980s and 1990s.

https://en.wikipedia.org/wiki/TBWA%5CChiat%5CDay

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Post ID: @ZOQ9inA-iqf

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