The State of College Course Materials 2024-2026

Description

Simba Information's The State of College Course Materials 2024-2026 provides an in-depth analysis of key trends and challenges shaping the higher education course materials market. The report highlights a 3% increase in undergraduate enrollment and a 7.3% rise in demand for short-term micro-credentials, reflecting a shift toward workforce-oriented education. At the same time, first-year enrollment has declined by 5%, raising concerns about the broader demographic and systemic challenges in postsecondary education.

Affordability remains a critical issue, with average student spending on course materials dropping to $342 annually, the lowest in 16 years. This decline is driven by widespread adoption of Open Educational Resources (OER), inclusive access models, and digital-first solutions. Additionally, the report explores the growing adoption of artificial intelligence (AI), with 86% of students integrating it into their learning processes, while faculty adoption lags at just 14%. These insights, along with analysis of policy impacts and publisher strategies, make this report essential for stakeholders navigating a rapidly evolving educational landscape.

Product Code: CURP19472180

Table of Content

EXECUTIVE SUMMARY

METHODOLOGY

CHAPTER 1: MARKET SIZE AND ENROLLMENT

INSTITUTION TYPES AND NUMBERS
Table 1-1. Number of US Title IV Postsecondary Institutions, 2023-2024 vs. 2022-2023
FOR-PROFIT PRIVATE INSTITUTIONS OUTNUMBER NON-PROFIT SCHOOLS
INSTITUTIONS WITH FIRST YEAR UNDERGRADUATES
Table 1-2. Degree-Granting Institutions with First-Year Undergraduates, 2023-2024 vs. 2022-2023, vs. 2000-2001
DISTANCE EDUCATION
Table 1-3. Number of Degree-Granting Postsecondary Institutions that Primarily Offer Online
Programs Fall 2022
FEDERAL PLAN TO REQUIRE ATTENDANCE TAKING IN ONLINE COURSES
FOR-PROFIT INSTITUTIONS ENROLLMENT
Table 1-4. Simba Information Career College Enrollment Index, 2022 & 2023
HIGHER EDUCATION UNDER PRESSURE: CLOSURES, MERGERS, AND ACQUISITIONS
Table 1-5. College Closures and Mergers: Completed in 2024 and Forthcoming
UNDERGRADUATE AND GRADUATE ENROLLMENT INCREASED
Freshmen Numbers Decline
Figure 1-1. Freshmen Enrollment Changes by Age, Fall 2023 vs. Fall 2024
Figure 1-2. Freshman Enrollment Changes by Institution Type, Fall 2023 vs. Fall 2024 (% change)
Interest in Undergraduate Certificates Remains Strong
Figure 1-3. Enrollment Changes by Credential Type, 2024 vs. 2023 (% change)
Figure 1-4. Enrollment Changes by Credential Type, Fall 2022 vs. Fall 2023 vs. Fall 2024 (% change)
Table 1-6. Enrollment Changes by Award Level and Sector, Fall 2022, Fall 2023, Fall 2024 (% change)
ENROLLMENT BY MAJOR FIELD OF STUDY
Table 1-7. Enrollment Changes in Top Ten Majors by Credential Type, Fall 2023 vs. Fall 2024
HIGH COST OF COLLEGE HINDER ENROLLMENT
APPROACHING THE ENROLLMENT CLIFF

CHAPTER 2: POLICY AND FUNDING

COST OF ATTENDING COLLEGE IN 2024-2025
Table 2-1. Undergraduate Tuition and Fees, 2023 - 2024 vs. 2024 - 2025
COST OF ATTENDING COLLEGE IN 2025-2027
Table 2-2. Cost of Attending College Estimates, 2025 - 2027
Crossing Psychological Barrier with $100K a Year Sticker Price
Transparency Bills Seek to Reveal the True Cost of College
Table 2-3. Summary of Enacted and Pending Cost Transparency Bills
Attempts to Eliminate Automatic Charges for Textbooks
FEDERAL FUNDING FOR HIGHER EDUCATION
Table 2-4. Selected Higher Education Programs in President Biden's Department of Education Budget
Request, 2023 - 2025P (million dollars)
Student Loans
Table 2-5. Average Cumulative Debt Levels in 2023 Dollars: Bachelor's Degree Recipients at Public
and Private Non-profit Four-Year Institutions, 2007-2008 to 2022-2023, Selected Years
Table 2-6. Distribution of Outstanding Federal Borrowers by Age Third Quarter FY2017, FY2020, and 2024
Table 2-7. Distribution of Outstanding Federal Loan Dollars by Borrowers Age, Third Quarter FY2017,
FY 2020, and FY 2024
Figure 2-1. Number of Federal Student Loan Borrowers in Repayment by Status, as of January 31, 2024
Impact of Student Loan Forgiveness & College Affordability Investments
Support for Historically Black Colleges and Universities
Project 2025
State Funding for Higher Education
Table 2-8. Sources of State and Local Higher Education Funding By State, FY 2023
Student Share
Table 2-9. Net Tuition as a Percentage of Total Education Revenue by State (excluding net tuition revenue used for capital debt service), Selected Years, 1980 - 2023
Workforce Development
Table 2-10. Federal Workforce Development Grants, 2024
Apprenticeships
Figure 2-2. States with the Highest Number of Active Apprentices, FY 2024 (in thousands)
Figure 2-3. Map of OA and SAA States
Career, Technical and Adult Learning

CHAPTER 3: COURSE MATERIALS

COST OF COURSEBOOK MATERIALS
Table 3-1. Average Cost of Books and Supplies for First-Year, Full-Time Undergraduates, 2022 - 2023
Table 3-2. How much do students pay for their course materials?
WHY IS STUDENT SPENDING ON COURSE MATERIALS DECLINING?
The Impact of Textbook and Courseware Costs
How Do Students Source Course Materials?
Course Materials Cost-Cutting Efforts
Figure 3-1. Cost-Cutting Measures Taken to Reduce Cost of Required Course Materials
Impact on Student Success
Figure 3-2. Impact of Cost of Course Materials on Student Academic Success
FACULTY CONCERNED BY TEXTBOOK AFFORDABILITY: THE GROWING SHARE OF OPEN EDUCATIONAL RESOURCES
Federal Governments Continue to Push OER
Table 3-3. Open Textbook Pilot Program New Awards, FY 2024
State Governments Continue to Support OER
Table 3-4. Recent State-Enacted Higher Education OER-Related Policies
THE EMERGENCE OF Z-DEGREES
Table 3-5. Selected Higher Institutions Recent and Ongoing OER Initiatives
OUTLOOK FOR COLLEGE COURSE MATERIALS
Table 3-6. Sales by Segment of Key College Course Materials, 2023 - 2026P (million dollars)
Figure 3-3. Number of High School Graduates, 2009 - 2041
Recommendations for Publishers
Figure 3-4. Digital Access Preferences

CHAPTER 4: INDUSTRY TRENDS AND INNOVATIONS

CONFIDENCE IN HIGHER EDUCATION NOW SHARPLY SPLIT
Gallup Research on Higher Institution
Figure 4-1. Gallup Poll on Confidence in US Higher Education 2015 - 2024
Figure 4-2. Gallup Research: Perceptions of Whether Higher Education Is Headed in the Right or
Wrong Direction, by Confidence in Higher Education, 2024
New American Varying Degrees 2024 Survey
Pew Research Center Study
Americans More Confident in Community Colleges
Figure 4-3. Gallup Research: Americans More Confident in Community Colleges Than Four-Year Universities, 2024
COLLEGES REORGANIZING ACADEMIC PROGRAMS
Programs Consolidation
Institutions Prioritize Online Courses Development
Colleges Expanding Micro-credentials
THE EMERGENCE OF ACCELERATED DEGREES
Faculty Interest in Affordable Access Programs Remains Strong
Inclusive and Equitable Access Programs Expanding
THE AWARENESS AND USE OF OER DWINDLING
DIGITAL TEXTBOOKS HAVE NOT FULLY WON PROFESSORS YET
HIGHER EDUCATION DIVERGED IN AI ADOPTION
Publishers Invest Heavily in AI
Students Embrace AI for Academic Support
Faculty Lags Behind Students in AI Adoption
AI Already Fuels OER Development
AI and the Copyright Legal Challenges
The Copyright Office Stand
Collective Licensing Approach

CHAPTER 5: COMPETITIVE LANDSCAPE

ACQUISITIONS, DIVESTMENT, AND FUNDING
2023 Activity
Pearson's and Wiley's Open Project Management (OPM) Divestments
Barnes & Noble Divests DSS
Pearson acquires PDRI
University of Idaho to Acquire The University of Phoenix
Clarivate Incubator
Table 5-1. Acquisitions, Divestments, and Funding for Higher Education Competitors, 2023
2024 ACTIVITY
Infrastructure Acquires Parchment and Goes Private
The Pursuit of Non-Traditional Students and Non-degree Education
Table 5-2. Acquisitions, Divestments and Funding for Higher Education Competitors, 2024
MAJOR COMPETITORS
Table 5-3. Performance of Higher Education Competitors: Total Corporate and Higher Education Segment, (million dollars)
Pearson
Table 5-4. Pearson Interactive Media Platforms
Table 5-5. Pearson Divisional Financial Results, 2023
Table 5-6. Person's AI Development & Roll Out Milestones - Summary, 2023 - 2024
Cengage Learning
Table 5-7. Cengage's Business Segments
Table 5-8. Cengage's Digital Platforms
Financial Results
Strategic Directions
Personnel Changes
Technological Advancements
McGraw Hill
Table 5-9. McGraw Hill's Digital Platforms
Financial Results
Strategic Directions
Personnel Changes
Technological Advancements
Wiley
Financial Results
Table 5-10. Wiley's Financial Performance by Segment, Financial Year 2024
Strategic Directions
Personnel Changes
Technological Advancements
FUTURE PERFORMANCE
COMPETITIVE PERFORMANCE YEAR-TO-DATE
Table 5-11. Performance and Guidance for Higher Education Competitors, 2024