International Education Strategy for Victoria
2013-2018
Department of State Development Business and Innovation
State Government of Victoria
Contents
Message from the Premier and Minister............................................................................................................................. 3
International Education Strategy at a Glance ..................................................................................................................... 4
Vision ................................................................................................................................................................... 4
Goals .................................................................................................................................................................... 4
Strategic Action Area ........................................................................................................................................... 4
Initiatives .............................................................................................................................................................. 4
1.
Introduction ............................................................................................................................................................. 5
Victoria’s International Education Sector at a Glance 2012 ................................................................................ 6
2.
International education – Victoria’s largest single export ....................................................................................... 7
Transnational Education (TNE) – Towards Greater Internationalisation ............................................................. 8
3.
The Global Opportunity & Challenges for Victoria ................................................................................................ 9
Opportunity ........................................................................................................................................................ 9
The global market for international students is expanding ................................................................................... 9
Victoria’s location and reputation ........................................................................................................................ 9
Challenge ........................................................................................................................................................... 10
On the domestic front ......................................................................................................................................... 10
Global competition ............................................................................................................................................. 12
Affordability ....................................................................................................................................................... 12
4.
A Strategic Approach to Sustainable Growth ....................................................................................................... 14
Supporting strategic action ................................................................................................................................. 15
5.
Market Development ............................................................................................................................................. 16
Supporting Victorian education providers in market.......................................................................................... 16
Victorian Government facilitation of new market opportunities – some examples ........................................... 19
6.
Enhancing the Quality of International Education ................................................................................................ 21
7.
Student Experience ............................................................................................................................................... 23
Student support................................................................................................................................................... 23
Public Transport Costs for International Students .............................................................................................. 24
Accommodation ................................................................................................................................................. 25
Towards a ‘premium’ student experience .......................................................................................................... 25
8.
Marketing and Branding ....................................................................................................................................... 28
9.
Implementation ..................................................................................................................................................... 30
Message from the Premier and Minister
Skills and knowledge can transform a person’s life and open doors to a world of choice and a rich and rewarding career.
Today’s student is tomorrow’s tradesperson or professional, embarking on a lifetime of personal and vocational
achievement.
The State of Victoria has a long and proud heritage of intellectual leadership, backed by world-class public and private
educational institutions: schools, colleges, vocational training institutes, universities, and research centres.
Victoria’s metropolitan and regional academic institutions are renowned globally for providing the highest quality
educational outcomes. Melbourne also has the advantage of being rated the world’s most liveable city in the Economist
Intelligence Unit’s Global Liveability Report again in 2013. In 2012, QS ranked Melbourne as one of the world’s four
leading student cities along with Paris, London and Boston.
The Victorian Government is committed to ensuring that Victoria’s reputation for academic excellence positions the
state as a global destination for international students, and positions us as the preferred partner for research
collaboration and skills development.
Globally there is high demand from students wanting to study outside their own country and this is highly valued by
employers. Most institutions also have a desire to internationalise their teaching and research, and governments want to
develop their people and support economic growth.
Many choose Victorian institutions because of our reputation. However, there is increasing competition. Demand across
all aspects of international education is predicted to grow significantly, and this has caused other Australian States and
countries to also increase their student attraction efforts, including new emerging economies.
The International Education Strategy for Victoria 2013-2018 outlines the Victorian Government’s plan to assist
Victoria’s education and training sector to capitalise on global education opportunities. The strategy will ensure
Victoria continues to be a leading provider of international education in the Asia-Pacific region.
The Victorian Government seeks to strengthen the State’s position as a globally competitive service-based economy.
International education is Victoria’s largest single export industry. It brings allied benefits to local tourism, hospitality
and retailing either directly from the students themselves or when overseas relatives and friends come to visit.
Importantly, international education adds to our social and cultural vibrancy. It increases Victoria’s interaction with
trading partners and deepens relationships between our state and the world. It helps build Melbourne’s brand as a global
city. It contributes to Victoria’s research and development capacity through the attraction of postgraduate students and
academics and encourages international partnerships with researchers offshore.
International students return home with knowledge and understanding of Victoria’s capabilities and culture, opening
doors for major export, trade and cultural opportunities in the future.
This strategy outlines the Victorian Government’s plan for strengthening the State’s international education sector and
promoting Victoria’s education services to the world.
The International Education Strategy has been informed by consultation with education and training providers and
feedback from international students. The Victorian Government looks forward to working with the sector to achieve
sustainable growth in international education in Victoria.
The Hon Denis Napthine MP
Premier of Victoria
The Hon Louise Asher MP
Minister for Innovation, Services and Small Business
Minister for Tourism and Major Events
Minister for Employment and Trade
International Education Strategy at a Glance
Vision

Victoria is the leading provider of international education in the Asia-Pacific region, strengthening the State’s
position as a globally competitive services economy
Goals




Consolidate Victoria’s position as a global leader in international education
Increase Victoria’s share of Australia’s international students, boosting student numbers and export revenue
Moderate volatility in student demand in order to create a sustainable sector
Capitalise on the broader cultural and economic benefits of international education
Strategic Action Area




Market Development
o To support Victorian education and training providers to deepen their engagement in current overseas
markets and to realised the opportunities in new markets for Victoria
Quality
o To drive the quality of Victoria’s international education services and delivery
Student Experience
o To enhance the overall experience of international students in Victoria
Marketing and Branding
o To build Victoria’s international education profile in a crowded and competitive global market
Initiatives
1.
2.
3.
4.
5.
6.
7.
8.
9.
10.
11.
12.
13.
14.
15.
16.
17.
18.
19.
International Education Advisory Body
a. Supports implementation of the Strategy and provides advice and guidance as required
Extend Education Service Managers (ESMs) Support
Target onshore and offshore market development activities
Support Collaborative Models
Expand transnational partnerships in VET
Review regulation of offshore delivery
Fund Doctoral Scholarships
Expand Asian language capabilities
Showcase quality through events
Establish Study Melbourne Student Centre
A new public transport ticket scheme for international students
Expand work experience opportunities
Establish the Study Melbourne Experience Program
Improve communication with international students
Re-brand activities under one ‘Study Melbourne’ brand
Enhance Study Melbourne website
Develop B2B marketing strategy
Increase awareness of Victoria’s education strengths
Strengthen engagement with student alumni
1.
Introduction
The Victorian Government’s vision for the international education sector is that: Victoria is the leading provider of
international education in the Asia-Pacific region, strengthening the State’s position as a globally competitive services
economy.
International education is Victoria’s largest single export industry. It generates enormous benefits to the State and has
the potential to grow. As global demand for quality education increases, Victoria is well-placed to be a leader in
international education in the Asia-Pacific region.
Over the decade to 2009, Victoria’s international education sector grew to be one of the State’s most valuable and
vibrant export sectors, with an estimated value of $5.74 billion. Driven by strong global demand, a desire to
internationalise and migration settings that linked international education and skilled migration, Victoria’s education
and training providers forged international partnerships and embraced opportunities to broaden their delivery to
international students.
For the last three years, several factors have led to a decline in international student numbers across Australia including
changes to migration settings, student visa eligibility and the strength of the Australian dollar. In Victoria, international
student enrolments were down about 28 per cent in 2012 from peak levels in 2009, accompanied by a comparable
decline in export revenue. Intensifying global competition has also eroded Victoria’s share of global higher education
enrolments.
At the same time, worldwide demand for international education is growing. A forecast extra three million students
globally by 2020 and increasing demand for transnational education provide great opportunity for Victoria.
In an increasingly globalised economy, Victoria’s international education sector is a major strength. In the absence of
significant tradeable mineral and energy resources compared with Western Australia and Queensland, a service industry
such as international education is vital to Victoria’s economy.
International education is also important because it strengthens our global relationships, especially with rapidly
developing economies in our region such as China, India, and South East Asian countries, contributing to longer term
trade, investment and tourism opportunities.
Growing Victoria’s international markets is one of four central themes underpinning the Victorian Government’s
economic statement, Securing Victoria’s Economy – Planning, Building, Delivering. This statement affirms the
Government’s vision to secure Victoria’s position as Australia’s knowledge capital as well as the nation’s most
globally-focused economy and most Asia-capable workforce.
The Victorian International Engagement Strategy (VIES) represents a long-term strategic approach to positioning the
Victorian economy for growth through strong engagement in priority international markets. The VIES will support
Victoria to maximise trade and investment opportunities with priority international economic partners such as China,
India and South East Asia. The Government has been investing heavily in building relationships in corporate, cultural
and civic areas to broaden economic ties with these partners.
Consistent with the rationale and approach of the VIES, this International Education Strategy outlines the Government’s
approach to securing Victoria’s globally competitive position as a quality provider of international education and
supporting the sector to take advantage of expanding opportunities in the global market.
This strategy establishes four goals for sustainable growth and four strategic action areas – focused on market
development, quality, the student experience and marketing. The strategy also outlines nineteen initiatives to achieve
the goals. While a five-year implementation timeframe for the strategy is envisaged, the initiatives are intended to lay
the foundation for international education in Victoria to 2023 and beyond.
Victoria’s International Education Sector at a Glance 2012
Student numbers:


On-shore student enrolments: 148,860 in 20121.
Off-shore students: 80,400 in 2011 – Higher education & public VET only2.
International student enrolments (on-shore), Victoria by sector, 2012 (AEI)





Higher Education – 46%
VET – 31%
ELICOS – 14%
Schools – 4%
Other – 5%
Market share:


1
In 2012 Victoria had 28.9 per cent of total Australian market share of on-shore enrolments (AEI).
In 2011 Victoria had 75.3 per cent of Australia’s off-shore public VET students and 45.3 per cent of off-shore
higher education students.
Australian Education International (AEI). This data includes enrolments by students in Australia on student visas. It does not
include students on visitor or working holiday visas who may undertake a short course
(e.g. English language).
2 Department of Industry, Innovation, Climate Change, Science, Research and Tertiary Education, 2012.
International education – Victoria’s largest single export
2.
International education is Victoria’s largest single export industry. (Figure 1)
Figure 1: Victoria’s Top Exports in 20123






Education-related travel - $4.365 billion
Personal travel excluding education - $2.56 billion
Dairy* - $1.869 billion
Meat* - $1.412 billion
Wool and animal hair - $1.371 billion
Passenger motor vehicles – 1.312 billion
Source: International Trade in Goods and Services, Australia (ABS cat. No 5368.0).
*Note: “Dairy” is an aggregation of Milk products and cheese & curd export sectors; “Meat” is an aggregation
of Meat (excl. beef) and Beef.
The export value of Victoria’s international education sector from students studying onshore on a student visa was
$4.365 billion in 2012. This includes tuition fees and expenditure on goods and services. Of this, fees account for just
under half of total expenditure. The remaining expenditure by international students is on other goods and services such
as food, accommodation and transport.
The data in Figure 1 does not include students who are studying in Australia on non-student visas. Only 61 per cent of
international students studying English language courses in 2012 held student visas; 20 per cent were visitor visa
holders and 19 per cent held working holiday or other visas 4.
Deloitte Access Economics estimates that every $145,000 spent by international students in Australia generates one
full-time equivalent (FTE) job5. These jobs are created in the education and training sector as well as in service
industries such as food, retail and accommodation. Based on the current student numbers and expenditure, it is
estimated that over 30,000 FTE jobs are created by the presence of international students in Victoria.
Additional revenue is earned through offshore or transnational operations and other educational activities in which
Victorian education and training institutions lead the country. However data is currently not available on the extent of
the economic value of these activities. Department of Education and Early Childhood Development (DEECD) estimates
suggests that, in 2011, Victorian TAFE Institutes generated around $42 million through off-shore delivery representing
25 per cent of revenue derived from international students.
Additionally, indirect economic benefits of international education are generated through family and friends of overseas
students visiting Australia, contributing to tourism. Recent research estimates that, in the year ending December 2012,
49,700 international overnight visitors to Victoria were visiting international students studying in Australia 6. This
represents 2.7 per cent of international visitors to Victoria. These visitors stayed for a cumulative 781,800 nights in
Victoria. Based on average expenditure of visitors to Victoria per night, Tourism Victoria estimates that total
expenditure of these visitors to Victoria was $62.77 million in the year ending December 2012.
More difficult to quantify are the enormous benefits of international education in deepening trade and cultural links
between Victoria and the home countries of students over the longer term. International education contributes to
Victoria’s economy and culture well beyond the direct economic benefits it generates. International education increases
3
The ABS category for international education expenditure in Australia is “Education-related travel”; “Personal travel excluding
education” is international tourism.
4 English Australia, Survey of major ELICOS regional markets in 2011, June 2012.
5 Unpublished advice to the then Department of Business and Innovation, October 2012.
6 Tourism Research Australia, International Visitor Survey 2012, unpublished data.
our interaction with trading partners, creates and improves relationships between Victoria and the world, adds to our
social and cultural vibrancy and contributes to Victoria’s research and development capacity through attraction of postgraduate students as well as academics. International students educated in Victoria carry home with them knowledge
and understanding of Victoria’s capabilities and culture thereby opening doors for major export, trade and cultural
opportunities in the future.
International students also contribute to the economy through participation in the labour market while they pursue their
education. With the commencement of post-study work visas for higher education graduates in 2013, there are
increased opportunities to work in Australia, gain valuable work experience and contribute to the skills needs of the
Australian economy. And, while most international students return home to contribute to their country’s economy and
community, international graduates are a potential source of specialised skills to the Victorian economy through
Australia’s skilled migration program.
Victoria’s metropolitan and regional academic institutions are renowned globally for providing the highest quality
educational outcomes. Melbourne also has the advantage of being rated the world’s most liveable city in the Economist
Intelligence Unit’s Global Liveability Report again in 2013. In 2012, QS ranked Melbourne as one of the world’s four
leading student cities along with Paris, London and Boston.
Transnational Education (TNE) – Towards Greater Internationalisation
Delivery of education services to international students by Australian providers off-shore (transnational education) has
been a feature of international education for the last two decades but has grown significantly since 2006, especially in
the vocational education and training (VET) sector. In the higher education sector, more than 80,000 international
students were enrolled with Australian universities off-shore in 2011 (24.2 per cent of total higher education
international students). In 2011, over 58,000 students were enrolled in off-shore VET courses delivered by public
providers7.
Victorian providers dominate Australian delivery of education off-shore, accounting for
75.3 per cent of Australia’s off-shore public VET students in 2011 (around 44,000 students) and 45.3 per cent of offshore higher education students (36,400 students). While small, growth of off-shore delivery of secondary school
education is also expanding, with an increasing number of schools licensed to deliver the Victorian Certificate of
Education overseas.
Many Victorian providers have indicated a strong interest in further expansion of their international partnerships and
operations and are looking to diverse countries across Asia, the Middle East and Latin America for new opportunities.
These go beyond direct delivery of full Australian accredited courses or twinning arrangements and may include
educational consultancy, licensing of curriculum, staff training, government advisory services, study tours, research
collaborations and staff and student mobility programs. These varied arrangements not only educate current students but
also build the host country’s capacity and provide long term benefits that support their economic development. Evident
also is the increasing role that industry has in transnational bilateral and multilateral education partnerships.
The demand for TNE is predicted to grow substantially, driven by burgeoning needs for education and training in
growing economies, increasing global competition for students, cost pressures that make off-shore delivery more
affordable in developing countries and a realisation of the non-financial benefits of international collaborations and
knowledge exchange. Students can benefit from increased study options, broader experiences and better informed
curriculum. Institutions benefit from expanding their global profile, broadening educational and research knowledge
and increasing access to resources. Businesses benefit from a more highly skilled workforce and greater access to
quality research and development. Governments and communities also benefit from shared expertise, economic support
and increased cultural awareness.
Increasingly, TNE is an integral and important element of international education programs.
7
Data on off-shore VET delivery by private providers is not currently available.
3.
The Global Opportunity & Challenges for Victoria
Opportunity
The global market for international students is expanding
The rate of growth in international higher education enrolments globally increased substantially from 2000 onwards,
underpinned by significant growth in demand for education in China and India. In 2010, 4.2 million students studied at
universities outside their home country, a 100 per cent increase since 2000 (Figure 2)8. This growth is projected to
continue, with forecasts of around 7.2 million 9 to 8 million10 students seeking education outside their own country by
2025.
Figure 2: Growth in higher education students enrolled outside their country
of citizenship
1975
1980
1985
1990
1995
2000
2005
2010
2025
0.8M
1.1M
1.1M
1.3M
1.7M
2.1M
3.0M
4.2M
7.0M
Source: OECD and UNESCO Institute for Statistics.
There are strong links between economic growth and demand for education. Government policy across most emerging
economies also reflects realisation of the value of vocational education. Foreign investment in Asia and large scale aid
and development programs by organisations such as the World Bank, Asian Development Bank and AusAID are also
driving demand for increased training of local workforces. Other drivers of demand include demographic changes,
particularly in the Asian region, the impact of technology, mass communications, global mobility, the evolving role of
universities and the changing needs of industry. Forecasters are confident of significant growth in worldwide
educational demand to meet population and economic growth.
Victoria’s location and reputation
Victoria is well-placed to take advantage of the growing demand for international education, especially in the AsiaPacific region. Australia’s proximity to growing Asian markets and historic relationships through migration, education
and trade, have seen particularly strong performance in delivery of international education services to China, India,
Vietnam, Malaysia and Singapore.
Victoria’s performance in international education is underpinned by a strong education and training sector. Victoria
boasts a concentration of education and research infrastructure that is unrivalled in the region. Specific strengths
include:





8
five of Australia’s top 20 universities11;
one of the world’s top 30 universities and two universities in the world’s top 100 12;
a strong VET framework and extensive experience in offshore delivery;
four of Australia’s five universities with TAFE operations (dual sector universities);
a well-developed system of articulated pathways between education sectors; and
Similar global statistics are not available for other international education sub-sectors.
Bohm, Meares and Pearce (2002) The Global Student Mobility 2025 Report: Forecasts of the Global Demand for International
Education, IDP quoted in UNESCO, Higher Education Crossing Borders, 2006.
10 Goddard, B. “Future Perspectives: Horizon 2025” in IEA, Making A Difference, 2011.
11 Excellence in Research for Australia 2012 rankings.
12 Times Higher Education World University Rankings 2012-13.
9

an extensive network of overseas partnerships supporting off-shore delivery, student and staff mobility and
research collaborations.
Melbourne also has the advantage of being rated the world’s most liveable city in the Economist Intelligence Unit’s
Global Liveability Report. Further, in 2012, QS ranked Melbourne as one of the world’s four leading student cities
along with Paris, London and Boston. The criteria included quality of living, reputation of the city’s universities, the
student mix, employer activity and affordability.
Victoria’s multicultural make up is one of the State’s greatest assets. Victoria is the most culturally and linguistically
diverse State in Australia. ABS Census data indicates that:






26.2 per cent of Victorians were born overseas in more than 200 countries;
46.8 per cent of Victorians were either born overseas or have at least one parent born overseas;
74.6 per cent of Victoria’s overseas-born population came from non-English-speaking countries;
23.1 per cent of Victorians spoke languages other than English at home, with 260 different languages spoken
in homes around the State;
67.7 per cent of Victorians followed
135 different religions; and
the top ten countries of birth for Victorians born overseas are England, India, China, New Zealand, Italy,
Vietnam, Greece, Sri Lanka, Malaysia and the Philippines.
Victoria is unique in its approach to supporting and reaping the benefits of an active and vibrant multicultural
population. Victoria’s strong and confident multicultural society attracts international students, skilled migrants,
international tourists and global businesses, generating social, cultural and economic benefits.
Victorians are proud of their harmonious and inclusive society which recognises and shares the various cultures and
identities that make up Victoria. Strong support for multiculturalism in Victoria and Australia helps to create a
welcoming and accepting society.
Challenge
On the domestic front
Despite strong global demand for education, Victoria (and Australia) has experienced a decline in on-shore international
student numbers over the last three years although the trend since 2002 shows overall growth (Figure 3). As highlighted
in Figure 4 much of the growth between 2006 and 2009, and the subsequent fall in enrolments, was in the VET sector.
Figure 3: Trend in international student numbers
State
2002
Victoria
74029
84305
89099
94051
105973
131966
160934
190614
182563
161318
148292
Victoria
Avg since
2002
74029
79167
82477.67
85371
89491.4
96570.5
105765.3
116371.4
123726
127485.2
129376.7
Australia
274133
307180
324618
344766
380384
450791
542232
630572
616111
554099
513887
Australia
Avg since
2002
274133
290656.5
301977
312674.3
326216.2
346978.7
374872
406834.5
430087.4
442488.6
448979.4
Source: AEI
2003
2004
2005
2006
2007
2008
2009
2010
2011
2012
Figure 4: Victoria’s international student enrolments, 2002-2012 enrolments by education sector, 2002-12
Sector
2002
2003
2004
2005
2006
2007
2008
2009
2010
2011
2012
Higher
Education
39,022
46,485
51,631
54,669
56,650
59,273
62,680
69,432
72,270
71,966
68,886
VET
9,974
9,479
9,531
12,614
19,735
33,995
52,099
71,308
69,127
55,204
45,222
Schools
7,096
8,182
8,122
7,390
7,075
7,821
8,315
7,937
7,014
6,161
5,691
ELICOS
12,099
14,303
14,139
13,724
16,582
24,436
30,356
33,524
25,767
20,428
21,714
Other
5,838
5,856
5,676
5,654
5,931
6,441
7,484
8,413
8,385
7,559
6,779
Grand Total
74,029
84,305
89,099
94,051
105,973
131,966
160,934
190,614
182,563
161,318
148,292
Source: AEI
Migration policy and student visa settings have had the biggest impact. Commonwealth migration policy settings led to
a rapid expansion in successful applications from international students for permanent residence under Australia’s
skilled migration program which favoured students undertaking VET qualifications recognised on Australia’s ’skills in
demand‘ list. When these migration settings were changed, the decline in overseas students in VET courses and, to a
lesser extent, in ELICOS courses, was dramatic. This trend was exacerbated by safety concerns in the Indian market,
sub-optimal delivery by a small number of private vocational training colleges and a strong Australian currency that
saw increasing costs relative to other countries.
Further changes to Australia’s student visa requirements since late 2011, following the Knight Review of student visas,
have had benefits for universities but have also created distinctions between parts of the sector. In March 2012, the
Commonwealth introduced streamlined visa processing for universities through which most visa applications for
university courses are processed within two weeks and require less documentation. Universities have derived a
significant competitive advantage from this change and from the introduction of post-study work visas for higher
education graduates from early 2013.
The absence of streamlined visa processing beyond universities is not only delaying international student enrolments for
TAFE institutes and private providers but also creates a negative perception that these other institutions are somehow
“secondary” or of a lower quality than universities. Compounding this issue, education and training providers have
concerns about inconsistent and subjective application of the Genuine Temporary Entrant (GTE) criterion by the
Department of Immigration and Citizenship in its assessment of student visa applications.
Victoria also faces competition from other States. Victoria is the Australian destination of choice for students from
some major markets, notably India, Vietnam, Malaysia, Pakistan and Sri Lanka, but NSW continues as the overall
market leader with 37.6 per cent share in 2012 compared to Victoria’s 28.9 per cent. NSW currently outperforms other
States in important markets such as China,
Korea, Thailand, Brazil, Indonesia, Nepal and
the Philippines.
Other States and Territories generally have lower market shares than NSW and Victoria but dominate in some areas.
For example, Queensland attracts more Korean, Brazilian, Saudi Arabian and Colombian students than Victoria and
Western Australia attracts more Brazilian and Kenyan students.
Victorian providers lead the way in offshore education delivery with TAFE Institutes holding a 75.3 per cent share of
off-shore VET enrolments with public providers and Victorian universities accounting for 45.3 per cent of off-shore
higher education students. However other States are intensifying their efforts in relation to offshore delivery and the
Report of the International Education Advisory Council (IEAC) in early 201313 makes a number of recommendations to
support growth of offshore delivery by Australian providers.
Global competition
Competition is increasing on multiple fronts. Recent estimates suggest that Victoria’s share
of global higher education enrolments has fallen from around 2.0 per cent in 2009 to 1.5 per cent
in 201214.
Global mobility, technological advances and improved education systems in many nations mean prospective
international students now have more options when choosing a study destination. Competition for international students
is intensifying, with countries such as the United Kingdom (UK), Canada and New Zealand establishing ambitious
targets to increase the number of international students.
Institutions in the United States of America (USA) have recently increased promotion aimed at overseas students.
Given the historical reputation of the USA for education and the ability to absorb many more international students (on
average USA universities had only 3.7 per cent international students in 2011-1215), the USA will continue to be
Victoria’s competitor. The numbers of foreign students in the USA grew by 5.7 per cent in 2011-12 (from 723,270 to
764,495)16.
New international student commencements into Canada in 2012 were up 32 per cent from 2008 levels, buoyed by
favourable student visa policies, more aggressive marketing and easy access to permanent residency after graduation.
By contrast, international student enrolments in the UK have declined due to recent changes to migration and student
visa conditions.
Also of significance, several of Victoria’s traditional student source countries are now repositioning as competitors.
This includes Malaysia, Taiwan, South Korea, Japan, Singapore and China which are attracting increased numbers of
international students in the Asian region.
The recent emergence of free web-based education modules delivered by well-respected universities such as MIT,
Harvard, Princeton and Stanford Universities (e.g. edX, Coursera and Udacity) also presents competitive challenges.
Victorian institutions are already responding to the challenge and examples include the recent partnership of the
University of Melbourne with Coursera and the long standing expertise exhibited by universities such as Monash,
Deakin and La Trobe for online delivery of qualifications either directly or through Open Universities Australia17.
The capacity to deliver education in this way challenges the current models for international education and education in
general but also offers the opportunity for institutions to be innovative in educational delivery and provide more options
for prospective students with varied needs to access courses.
Affordability
While cost and affordability are not the top determinants of student choice, there is no doubt that the high Australian
dollar relative to other key currencies and the consequent increase in relative costs of tuition and living in Australia, are
having an impact on Australia’s competitiveness as a study destination. The 2012 International Student Survey suggests
that international students have relatively low levels of satisfaction18 with living costs in Australia.
13
Times Higher Education World University Rankings 2012-13
Times Higher Education World University Rankings 2012-13
15 Institute of International Education Open Doors Data, 2012.
16 Institute of International Education, November 2012.
17 The Grattan Institute’s report “The online evolution: when technology meets tradition in higher education” (April 2013), provides
example of online delivery as well as an overview of models and trends.
18 AEI, International Student Survey 2012 – Overview Report, April 2013. Fifty-one per cent of higher education students and 63 per
cent of VET students were satisfied with living costs, compared to overall satisfaction with living in Australia of around 88 per cent.
14
Analysis undertaken for the International Education Advisory Council suggests the average cost of an international
education in Australia increased by 166 per cent between 2002 and 2011, compared with a 55 per cent increase for
international students in the United States and a 78 per cent increase for students in the UK 19. This competitive
disadvantage provides an imperative for Australia and Victoria to demonstrate that it provides superior value through a
high quality, well-regarded study and living experience for international students.
These developments reinforce the need for Victoria to compete on its educational merits for international students – that
is, as a location offering quality education and high quality student experiences (both on campus and off, in the
classroom and extracurricular). They also signal the need for Victorian providers to be flexible and innovative in course
content and delivery. Victorian institutions must be nimble in responding to the changing global environment to take
advantage of the opportunities that present. We have the necessary capabilities and are well placed to meet the
challenges.
19
The Boston Consulting Group, Analysis of Strategic Trends, February 2013, prepared for the IEAC.
4.
A Strategic Approach to Sustainable Growth
Victoria’s vision to be the leading provider of international education in the Asia-Pacific region will be achieved by a
proactive and strategic approach that supports the education and training sector to capitalise on the opportunities
presented by global demand for education, while minimising the barriers that providers face in a highly competitive
global market.
This strategy identifies four goals which together will support achievement of the vision for Victoria’s international
education sector over the next five years. These goals are:
Goal 1: Consolidate Victoria’s position as a global leader in international education.
Goal 2: Increase Victoria’s share of Australia’s international students, boosting student numbers and export revenue.
Goal 3: Moderate volatility in student demand in order to create a sustainable sector.
Goal 4: Capitalise on the broader cultural and economic benefits of international education.
While migration settings and the relatively high Australian dollar are factors outside the control of the Victorian
Government, the Government can support Victorian institutions and enterprises to access and capitalise on global
opportunities by addressing these and other barriers. Key challenges to competitiveness of and growth of international
education in Victoria include:





the need for up-to-date knowledge of key markets and opportunities for providers, especially in new and
emerging markets;
access to contacts in source markets, and a need for government facilitation of contacts in some markets with
centralised decision-making (e.g. China);
the need for mechanisms that support collaborative responses to market needs (e.g. in new markets with
diverse needs);
positive student experience that goes beyond the study experience and relies on broader government and
community action to welcome and support students; and
the need for unified and consistent marketing to increase recognition (and take-up) of Victoria’s international
education offerings because marketing efforts by individual providers alone may be insufficient to highlight
the value of Victoria’s education and training attributes.
The International Education Advisory Council (IEAC) Report – 2013 recognises the value and potential of international
education to “drive economic, cultural and social outcomes for Australia in the Asian century” and to “be a significant
export opportunity for Australia’s education institutions”. The Council made 35 recommendations designed to position
Australia as a sustainable and quality provider of international education, with an emphasis on the Asian region.
Victoria is a relatively small State that has performed very strongly in the global market for education over the last ten
years. As is recognised by the IEAC, the global market for education is not only growing but is increasingly complex
with intensifying competition and changing patterns of supply and demand.
Victoria needs to ‘play to its strengths’, focusing on markets in which the State has a competitive advantage and where
international education delivery/activity will complement and leverage other aspects of Victoria’s international
engagement such as tourism and trade. Victoria’s other strengths include the quality of its educational institutions, its
liveability, multicultural make up and Melbourne’s standing as a top student city.
This document identifies four strategic action areas which will support sustainable growth of Victoria’s international
education sector:




Market Development – to support Victorian education and training providers to deepen their engagement in
current overseas markets and to realise the opportunities in new markets for Victoria (see section 5);
Quality – to drive the quality of Victoria’s international education services and delivery (see section 6);
Student Experience – to enhance the overall experience of international students in Victoria (see section 7);
and
Marketing and Branding – to build Victoria’s international education profile in a crowded and competitive
global market (see section 8).
Initiatives under each of these strategic action areas, outlined in the following sections, form a cohesive and
complementary program to position Victoria as the leading provider of international education in the Asia-Pacific
region.
Supporting strategic action
A coordinated and strategic approach to achieving sustainable growth in Victoria’s international education sector will
require greater collaboration between the Government and the sector.
Accordingly, the Government announced in December 2012, as part of Securing Victoria’s Economy, that it would
establish an industry advisory body to facilitate greater collaboration among Victorian education institutions and to
provide a clear line of access to Government on strategic issues affecting the sector.
The establishment of an advisory body will help ensure that international education receives the strategic focus and
support it needs as Victoria’s largest single export industry. The advisory body will also enable stronger advocacy to the
Commonwealth on issues such as migration policy and regulation of education quality and standards.
INITIATIVE 1
Establish a Victorian international education advisory body, with representation from all education sub-sectors, to
provide advice to the Minister for Innovation, Services and Small Business on issues impacting on the sector and its
growth.
5.
Market Development
The sustainable growth of Victoria’s international education sector requires a multi-pronged approach to market
development, comprising:



consolidating and deepening delivery in markets in which Victorian providers are well-established such as
eastern China, India, Malaysia and Singapore;
expanding delivery in markets with growth potential for Victorian providers such as Vietnam, Indonesia, South
Korea and the Gulf States;
developing and building delivery in newer and emerging markets for Victorian providers such as western
China, western and central Asia (including Turkey), some South East Asian countries (e.g. Thailand) and Latin
America.
Victoria has a strong base from which to deepen and expand delivery in its two key markets from which almost 50 per
cent of international students are drawn (China and India) as well as in a number of key South East Asian countries
(Malaysia, Vietnam and Indonesia).
Figure 5: International student enrolments (on-shore), Victoria, by source country, 2012
1.
2.
3.
4.
5.
6.
7.
8.
9.
10.
11.
China – 30%
India – 17%
Vietnam – 7%
Malaysia – 5%
Indonesia – 4%
Pakistan – 3%
Thailand – 3%
South Korea – 3%
Sri Lanka – 3%
Nepal – 2%
Other – 23%
Source: AEI
A goal of this strategy is to moderate volatility in student demand in order to create a sustainable sector. A key
contributor to achievement of this goal is ensuring diverse source markets for international students, reducing reliance
on one or two countries. Diversification of markets also supports efforts to increase Victoria’s share of students and to
globalise the education experience for international and domestic students.
Opportunity exists for Victoria’s education providers in countries with growing demand for education services such as
in the Middle East and Latin America. Victorian providers are well-established in some Gulf States (mainly Saudi
Arabia and the United Arab Emirates) but there is potential for a stronger presence. A number of higher education
providers have begun exploring opportunities in Latin America. Advice on the opportunities in Latin America 20
indicates the greatest opportunities for Victoria lie in Colombia, Chile and Brazil.
This targeted approach to market development will differentiate between education sectors (higher education, VET,
ELICOS and schools) while fostering greater synergy and pathways between the sectors. Victoria’s market
development activities will also reflect the diversity of Victoria’s international education services, encompassing
delivery to overseas students in Victoria, off-shore delivery, commercial contracts for overseas skills
development/training, sale of curriculum and expertise and research partnerships.
Supporting Victorian education providers in market
20
Tony Crooks, A Latin America Education Engagement Strategy for Victoria: A report for the Department of Industry, Innovation
and Regional Development, December 2010.
In new and emerging markets for Victoria, there is a role for Government in supporting Victorian providers to identify
emerging opportunities. Exploration of new markets is expensive and involves significant up-front cost. Further there is
often a lack of in-market intelligence to support market exploration which can combine to make it unattractive for
individual providers.
Consultation with the sector indicates that most providers see a role for Government in facilitating linkages, particularly
in new markets (e.g. Latin America) and in markets with centralised decision-making and/or planned economies (e.g.
China). Providers also see a valuable role for government in connecting them to companies with off-shore operations,
especially Australian companies that may have local (off-shore) training needs. Austrade assists Australian education
providers with information on international markets and the Victorian Government works collaboratively with Austrade
to identify specific opportunities relevant to Victorian providers.
A key mechanism that the Victorian Government has to support access to market opportunities in international
education is the location of its Education Services Managers (ESMs) in key source markets. ESMs are currently
operating in China (based in Shanghai), Japan and Korea (based in Tokyo), South East Asia (based in Kuala Lumpur),
India (based in Bangalore) and the Middle East and North Africa (based in Dubai).
With China expected to remain Victoria’s top source market over the next five years, maintaining an ESM in eastern
China to concentrate on the attraction of students and servicing of partnerships in the eastern regions of the country is
critical. The Victorian Government recently announced plans to establish a Victorian Government presence in Chengdu,
the capital of Sichuan Province and part of the economic hub of south-west China. Sichuan Airlines, one of China’s
fastest-growing airlines, is now offering direct flights three times a week from Chengdu to Melbourne. The
Government’s 2012 Super Trade Mission to China saw Box Hill Institute sign three separate memoranda of
understanding (MOU) with tertiary education providers in Chengdu. Victoria will build on these developments to
expand partnerships with industry, particularly VET providers, in Chengdu and south-west China more broadly. A new
ESM position based in Western China will support these efforts.
Expanding activity in Victoria’s second significant source market – India – is also imperative. India has a young and
increasingly urbanised population and a growing middle class – all attributes that are driving increased demand for
education and training. The Indian Government has established clear goals for education and training including an
additional 10 million people enrolled in higher education by 2016-1721 and training of 500 million people by 202222.
While India boasts a well-developed education system, it faces challenges in meeting the vast demand for education and
skills development.
These circumstances are expected to further drive demand for international education by Indian students. British
Council forecasts23 indicate that the highest growth in outward mobility will be among higher education students from
India, providing opportunities for Victorian universities to expand their enrolment of students from India. Further
opportunities are provided by Victoria’s strong VET system and capacity, particularly in provision of off-shore
education and training services. The ESM in India will support Victorian providers to access opportunities for delivery
to Indian students and to further develop partnerships with India.
After China and India, South East Asian countries are Victoria’s top source countries for international students. Victoria
has a long history of delivery of higher education to students from Malaysia and Victoria’s ESM covering South East
Asia is based in Malaysia. More recently economic growth in Vietnam and Indonesia has increased demand for
international education. Vietnam is now Victoria’s third largest source of international students.
Indonesia currently has a relatively low student global mobility rate but its population of around 244 million and
Government plans for economic development in priority industry areas point to opportunities for Victoria to expand
delivery across higher education and VET, including in-market delivery and industry training.
21
Ernst & Young, Federation of Indian Chamber of Commerce and Industry, Government of India Planning Commission; Higher
Education in India: Twelfth Five Year Plan (2012-2017) and Beyond.
22 AEI, Policy Overview of Vocational Education and Training in India, September 2011.
23 British Council, Going Global 2012.
The Victorian International Education Cluster is pursuing targeted opportunities in the Indonesian market (see Initiative
4). With Victoria re-opening a Victorian Government Business Office in Jakarta, the location of a dedicated ESM in
Indonesia will enable strengthening of education links between Victoria and Indonesia and lay the foundations for
further growth of international education services to Indonesians as its economy further develops.
As a region, the Middle East and Western Asia is diverse, comprising many countries. There is strong growth in
demand for international education across the region and there is a strong presence of foreign universities located in
countries such as Saudi Arabia. Victoria currently attracts only 26 per cent of international student enrolments to
Australia from this region, although the share is higher for UAE and Oman. Government scholarship programs in
countries such as Saudi Arabia, Iraq, Kazakhstan and Azerbaijan provide opportunities for Victoria, as does growing
demand for vocational education and training. Victorian providers are keen to explore opportunities in Turkey.
South Korea has the third highest number of internationally outbound tertiary students (behind China and India) and a
significant number of students from South Korea study in Australia. However, Victoria’s share of these students is
relatively low. Increased engagement with Korea is warranted. Japan is a mature market for Victorian education
providers and student numbers have declined over the last seven years. However there is an opportunity for Victorian
providers to respond to increasing demand by Japanese businesses for employees, not only with English language skills
but also with international experience, consistent with the Japanese Government’s policy to further develop the
country’s Global Human Capital.
Latin America is a vast geographical area with diverse markets and opportunities. Victoria is a late entrant to the
market, with Canada, New Zealand, NSW and Queensland already well-established in these markets. Victoria’s share
of Latin American student enrolments in Australia remains low at around 17 per cent. However the number of students
from Latin American countries studying in Victoria, particularly from Colombia, has increased significantly over recent
years.
With a relatively young population and increasing economic prosperity, demand for education is exceeding supply
across Latin America. A number of countries in the region provide significant funding to encourage internationalisation
of their education institutions through two-way flow of staff, students and researchers. Major global events such as the
2016 Olympics in Brazil are also increasing demand for training.
Given the range of opportunities available across Latin America, serious exploration is warranted. A number of
Victorian education institutions have established education and research partnerships in the region and there is strong
interest to pursue further opportunities. At present, awareness of Australia is generally low across the region and
subsequently Victoria’s profile is almost non-existent in some parts. The presence of an ESM in a Latin American
country such as Chile or Colombia would allow Victoria to increase promotion of Victoria as a study destination and to
support the establishment of education partnerships/alliances.
INITIATIVE 2
Extend the support provided by Victoria’s network of Education Services Managers (ESMs) in key markets (eastern
China, India, South East Asia, the Middle East and Western Asia, Japan and South Korea) with the placement of
additional ESMs in western China, Indonesia and Latin America, to target future growth opportunities.
Development of market engagement plans is essential for stronger and more consistent outcomes and will inform the
priorities of ESMs. Detailed plans will be based on strong market intelligence and research and will include analysis of
market conditions and assessment of future trends. Marketing activities in the region will target both onshore and
offshore business development across all sectors.
Activities will include industry, government and institutional outreach by the ESMs, brand strengthening initiatives and
targeted inbound and outbound delegations and trade missions. Outbound trade missions and incoming familiarisation
visits for stakeholders or potential partners will be linked to industry and education priorities of key markets and
provide access to new opportunities in service delivery, skills training, and research development.
INITIATIVE 3
Establish a strategically-focused program of onshore and offshore market development activity including targeted trade
missions to support growth in identified priority, established and emerging markets.
In expanding and newer markets, there are often diverse education and training needs and under-developed systems for
meeting these needs. In such markets, there are often multiple stakeholders/clients including government agencies, aid
agencies and businesses seeking to access international education services as well as individual students and their
families. The Victorian Government will enhance opportunities available to the Victorian international education sector
by profiling capabilities and strengths of the Victorian education providers and by facilitating access to key
international government and industry bodies. The Department of State Development, Business and Innovation
(DSDBI) and ESMs will support the work of Victorian Government Commissioners to develop government to
government partnerships and agreements in key markets.
A valuable mechanism in this context is the export cluster model. In 2011, the Government established the Victorian
International Education Cluster (VIEC) which focuses on strengthening government-to-government, industry and
institutional linkages in South East Asia by providing collaborative solutions.
INITIATIVE 4
Continue to support collaborative models for Victorian providers such as the Victorian International Education Cluster
to leverage commercial opportunities in new markets.
INITIATIVE 5
Work with Victorian VET providers and key stakeholders to explore the potential and plan for transnational
partnerships in VET program and skills development
Cluster members include universities, TAFE institutes and private education and training providers. An advantage of
the cluster approach is that it provides a platform for Victorian education providers to work in a collaborative manner
and to bid for large projects with multiple requirements.
The scale of demand for skills development in emerging economies, coupled with Victoria’s strong VET system and
capacity, provide a strategic opportunity for Victoria. Demand is also escalating for long term capacity building
arrangements and Victoria’s VET providers have the expertise to guide development of systems, processes and
curriculum. These enormous opportunities often require a collaborative approach with industry and State Government
as well as vocational education and training providers.
Victorian Government facilitation of new market opportunities – some examples
Training opportunities in Indonesia:
In mid-2011, the Victorian Government established an international education cluster for South East Asia to explore
and respond to emerging opportunities in that region. As part of the work of the cluster, Victoria’s Education Services
Manager for South East Asia led a small group of Victorian VET providers on a mission to Java in early 2012, meeting
with representatives of Indonesia’s Bappenas (Ministry of Planning) and the Indonesian Ministry of Home Affairs, and
a delegation of 35 Indonesian Government decision makers participated in an inbound mission to Melbourne later that
year. A range of projects have been identified including potential delivery of World Bank scholarships to Indonesian
recipients, customised leadership programs (also funded by the World Bank), an internship program for Indonesian
Government agencies and a consultancy opportunity to develop a national approach to public sector staff training for
the Indonesian Ministry of Home Affairs.
Strategic linkages with the Iraqi Government:
In 2013 the Victorian Government facilitated a meeting between an Iraqi delegation and representatives from Victoria’s
nine generalist universities to discuss Victoria’s capacity to deliver education to Iraqi citizens under scholarships fully
funded by the Iraqi Government. The Iraqi delegation, which also visited NSW and Queensland, provided positive
feedback on Victoria’s professionalism and effectiveness in facilitating the discussions. The Iraqi Government
requested that the DSDBI coordinate the allocation of scholarships to Victorian universities and has now directed to
Victoria 60 per cent of the first tranche of scholarships allocated to Australia.
6.
Enhancing the Quality of International Education
The key to Victoria’s success in international education is the inherent quality of its educational services. The quality of
the education experience is critical to student choice and essential to “backing up” the brand to support future growth.
The 2012 International Student Survey24 confirmed the importance of quality and reputation in student choice. The top
factors influencing the choice of where to study in Australia reported by international higher education and VET
students in Australia, were quality of teaching, reputation of a qualification and institution, quality of research and
reputation of the Australian education system.
In 2011 the Commonwealth assumed responsibility for regulation of the quality of all post-secondary international
education. In this context, the Victorian Government has only a limited role in relation to quality of international
education delivery (currently relating only to secondary school education). While it does not coordinate or control the
delivery of international education, the Victorian Government is committed to taking action where possible to
safeguard, enhance and promote the quality of Victoria’s international education services.
Of particular significance to Victoria is safeguarding the quality of off-shore delivery (or transnational education). The
National Quality Council identified significant risks to Australia’s education “brand” and reputation as a result of
limited regulatory oversight of transnational education (TNE).
As the State with the dominant share of TNE, Victoria’s risk is higher than that of other States. It is in Victoria’s
interests to work with the sector to ensure high quality delivery of offshore education and training. It is also important
that regulation of offshore delivery is appropriate – for example, that Australian standards are not enforced where
Australian qualifications are not delivered. A policy review of the regulation of offshore delivery, drawing on the
expertise of Victorian providers who have extensive experience in offshore delivery, would strengthen Victoria’s
capacity to advocate for effective regulation of TNE.
INITIATIVE 6
Support Victoria’s leading position in offshore delivery of education and training by undertaking a policy review of the
regulation of offshore education to enable Victoria to advocate to the Commonwealth for regulation that protects the
integrity of education standards without impeding Victoria’s competitive position.
However, the focus on quality needs to go beyond ‘quality assurance’ measures. The global market for international
education is dynamic and competitive and Victoria needs to be at the forefront of education and research.
Victoria has already established itself as a leader in research and innovation as epitomised in its world-recognised
research facilities and institutes such as the Australian Synchrotron, the Walter and Eliza Hall Institute (Australia’
largest medical research institute) and the AgriBio Centre for AgriBioscience based at La Trobe University. This
provides a strong incentive for international students and researchers to come to Victoria and is a competitive advantage
for Victoria that needs to be fostered and promoted.
Victoria’s two Ph.D. scholarship programs – the Victoria India Doctoral Scholarships (VIDS) and the Victorian
International Research Scholarships (VIRS) – are valuable instruments in building Victoria’s brand as a high quality
research and academic centre. An additional benefit of these programs is the development of a ‘cadre’ of ambassadors
who can promote the quality of Victoria’s education and research institutions in their home countries and help build
education exchange and research partnerships.
INITIATIVE 7
Continue to attract high quality international research scholars to Victoria through funding for international doctoral
scholarships.
24
AEI, International Student Survey 2012 – Overview Report, April 2013.
The position of Victoria as a high quality, globally-focused education and training destination will be further
strengthened by expansion of opportunities for Victorians to undertake studies overseas. Student exchange programs are
an effective vehicle for developing greater language proficiency and intercultural understanding. Increasing the number
of Victorian secondary students who are proficient in Asian language skills by supporting them to study abroad will
further boost Victoria’s ‘Asian literacy’ and strengthen our economic and cultural ties with Asia.
The Victorian Government recognises the importance of two-way exchange for all Victorians, not just students, for
increasing our Asian cultural and language proficiency and understanding of appropriate behaviour for business
engagement. Broadening Victorians’ cultural competence will improve the competitiveness of Victorian businesses and
increase the global readiness of local graduates.
The Hamer Scholarships program was established in March 2012 to provide opportunities for Victorians to undertake
intensive Chinese language study in Jiangsu Province, Victoria’s Sister State. As part of its Victorian International
Engagement Strategy, the Government is expanding the Hamer Scholarships to other countries in the region.
INITIATIVE 8
Expand opportunities for Victorians to build their Asian language capabilities and encourage two-way cultural
exchange, including:
 establishment of a China Immersion Program for Year 9 students which will enable 1,500 Victorian secondary
school students to participate in a language and cultural immersion program in China for up to one school
term; and
 expansion of the Hamer Scholarships program to Indonesia, Korea and Japan, offering scholarships for
Victorian professionals to increase their Asian language and cultural skills through study in the region.
Promotion of the quality of the sector through significant events also contributes to Victoria’s profile in a competitive
market. The inaugural Victorian Government International Education Awards to recognise best practice in international
education, including outstanding international education providers and students in Victoria, will be held in late 2013.
These awards will complement the Awards for International Students in Victorian schools and highlight excellence in
the provision of international education in Victoria and the achievements of outstanding international students. The
Government will explore opportunities for significant events that attract global attention to Victoria’s education sector.
INITIATIVE 9
Showcase Victoria’s quality international education through events such as the annual Victorian Government
International Education Awards to commence in late 2013.
7.
Student Experience
Student experience affects the attractiveness of an education destination and word of mouth is an important source of
information in the decision making process of potential international students. There is a strong correlation between a
positive student experience and the likelihood of recommending Victoria as a place to study 25. In 2008 nearly 80 per
cent of Victoria’s international students had family and/or friends from home currently studying in Australia 26.
Melbourne is the world’s most liveable city27 and is ranked the fourth student city in the world (after Paris, London and
Boston). Recent surveys of international students have found that overall international students’ experience in Australia
(and Victoria) is positive. In 2012, 85.7 per cent of international students in Victoria were either satisfied or very
satisfied with their overall living experience in Victoria 28.
However the experience of international students can be improved. Research suggests that international students are
seeking more positive living experiences in Australia including better opportunities for social interaction and work
experience29.
Victoria recognises the mutual long term benefits of ensuring international students have a unique, rewarding
experience and are encouraged to connect with the local community. A positive living experience can relieve some of
the pressures of being a young adult in unfamiliar surroundings without the usual support structures of family and
friends. It can also support the transition to the new cultural and learning environment. International students then return
home with positive thoughts of Victoria and a cultural and social awareness that can provide long term benefits to
Victoria.
At the same time the presence of international students enriches the experience of Victorians – in the classroom, in
communities and in workplaces. The lifelong relationships that develop can open doors to trade, social and cultural
exchanges that are vital to a growing, outwardly-focused economy.
Victoria’s excellent educational institutions have existing dedicated support structures for international students and the
Victorian Government has worked in partnership with them to enhance the service that is collectively provided to the
students. In addition to maximising the safety and well-being of all residents and visitors, the Victorian Government
supports a range of programs to improve the living experience of international students to the State. The International
Student Care Service, Welcome Desk and the Culture Card are examples of additional services provided by Victoria
which establish the State as a leader in its support of international students.
Student support
The International Student Care Service (ISCS) provides vital support, advice and assistance to international students 24
hours a day, seven days a week. The ISCS complements the student support services provided through educational
institutions and works closely with a broad range of service providers such as Consumer Affairs Victoria and legal
services, referring students as required.
The ISCS provides crisis intervention and support in emergency situations as well as information and assistance with
accommodation, legal issues, health services and other personal support services. The service is staffed by multilingual,
professionally trained staff who are culturally aware, and can personally respond to the student’s needs or refer students
as required.
As other States introduce similar student support programs, it is important for Victoria to enhance the reach and depth
of its programs if Victoria’s significant advantage in this field is to be preserved. There is capacity to use the ISCS as
25
The Nous Group, Priorities for Improving the International Student Experience and Support Services, November 2011
Lawrence, R. The 2008 Futurecast Study, Prospect Research, Delivered at the AIEC conference 2009
27 Melbourne was named the most livable city in the Economist Intelligence Unit’s Liveability Ranking Report, August 2012
28 AEI, International Student Survey 2012
29 The Nous Group, Priorities for Improving the International Student Experience and Support Services, commissioned by DBI, 2011
26
the core of a range of student services provided from a facility at the heart of the student precinct of Melbourne and to
better promote the service.
Recognising that for many international students their time in Victoria represents their first experience of independent
living, there is a need to strengthen provision of educative and preventative information, especially in relation to health
and wellbeing. It is also essential international students intending to study in Victoria have clear and unambiguous
information on the need for comprehensive health insurance (including the limitations of health insurance cover relating
to waiting periods for health cover) as they are not covered by Australia’s Medicare system. While it is primarily a
Commonwealth responsibility, Victoria can support information provision in this area to minimise negative experiences
for international students in Victoria.
Other issues on which students need better information include financial management, safety and accommodation
issues.
Victoria’s student care services can be enhanced through more wide-reaching, proactive and preventative information
provision on these matters, working collaboratively with education and service providers. The enhancement of these
support services is consistent with the principles to promote and protect the human rights of international students
recently released by the Australian Human Rights Commission30.
INITIATIVE 10
Establish the Study Melbourne Student Centre by:
 relocating the International Student Care Service to a visible location in the informal student precinct in
central Melbourne to improve its accessibility;
 augmenting the services of the Centre by strengthening health promotion and prevention advice including
clearer information to students about eligibility for health services and insurance requirements as well as
legal services; and
 exploring opportunities for partnerships with other student service providers.
Public Transport Costs for International Students
The Government will introduce a new public transport ticket scheme for international students from 2015 in partnership
with education providers. The scheme will reduce transport costs for eligible students in metropolitan and regional
institutions.
Recognising that public transport costs for many international students are significant, the Government will be
providing some extra help.
Accordingly, the Government will provide a discount on annual full fare myki passes to eligible students. Unlike NSW,
Victoria’s scheme will be available in all travel zones including Zone 1 covering Inner Melbourne.
Metropolitan and regional providers will be able to opt in to the scheme and will be required to contribute towards its
cost if they want their students to have access to the scheme. The new public transport ticket scheme will help make
international students feel more welcome when they come to study in Victoria.
The Government will undertake commercial discussions with public transport operators before being able to announce
details. Details of the scheme will be announced in 2014 to commence in 2015.
Initiative 11
The Government will trial a new public transport ticket scheme for eligible international students from 2015 for three
years in partnership with education providers.
30
Australian Human Rights Commission, October 2012
Accommodation
On moving to Victoria, international students are faced with the challenge of finding somewhere to live. Access to
affordable accommodation is an issue for many students who have relocated to Melbourne to study but international
students in particular generally lack an understanding of the housing market and lack an extended network of friends
and family to fall back on. Institutions provide a range of support to assist international students to find accommodation
– including on-campus housing, support to find accommodation in the private rental market and advice on housing
issues.
Supporting the efforts of education and training providers, the Victorian Government provides information to students
about renting in the private market through its Study Melbourne website and information provided on arrival at
Melbourne Airport. The ISCS is also available to assist students with accommodation issues as required.
Complementing its general information to Victorians on residential tenancy issues, Consumer Affairs Victoria provides
information on renting in Victoria in English and other languages and their services are promoted through educational
institutions.
The 2012 International Student Survey31 found generally high levels of satisfaction with the quality and safety of
accommodation but lower satisfaction with the cost of accommodation. Access to affordable accommodation also
remains an issue.
The International Education Advisory Council report recommends a sample stocktake of “off-campus” accommodation
with a view to developing a national standards and quality ratings model for accommodation. It is proposed that the
issue of accommodation be a matter for consideration of the new Victorian International Education Advisory Body
(Initiative 1).
Towards a ‘premium’ student experience
To remain a top provider of international education, Victoria needs to go beyond offering a safe and ‘liveable’
destination to offering international students a ‘premium’ experience.
In addition to lifestyle and quality of education, international students are most concerned with their employability once
they have completed their studies. This reflects the expectation of a ‘return on investment’ made in international
education and is a consistent theme in research about students’ needs.
Employability skills may be gained through work placements and work experience during studies, either integrated with
learning or arranged independent of their studies, and through post-study employment. Most international students also
look for part time employment during their studies to supplement their living expenses.
Barriers to greater participation of international students in work placements include:




31
lack of clarity and confusion about rules governing participation in work placements under the Education
Services to Overseas Students (ESOS) Act and about visa conditions;
lack of awareness among employers of the availability and potential benefits of work placements for
international students;
perceived English language deficiencies and cultural barriers by employers;
lack of networks and industry knowledge of international students which can impede their ability to organise
their own work placements32.
AEI (2013), International Higher Education Student Satisfaction with Accommodation in Australia, pending publication.
The issues around international student work placements and opportunities to increase work placements are explored in an internal
report prepared for DSDBI by the International Education Association of Australia.
32
Government can assist employers through the provision of clear and accurate information about the work entitlements
of international students and their potential contribution to business.
The establishment of post-study work visas for international higher education graduates from early 2013 provides a
platform for further action. As an example, through the overseas skills registry project, the Victorian Government is
working with two Victorian education institutions to match international students with employers who have skill needs
that they have been unable to meet. This preliminary work to expand professional work opportunities for international
students can inform a more substantial work experience program for international students. An internship program –
particularly one that focuses on placement with employers with international operations – will enhance the reputation of
Victorian education institutions as providing international students with employment-ready qualifications.
INITIATIVE 12
Expand work experience opportunities for international students including the establishment of a Study Melbourne
Internship Program, offering up to 150 international student internships per annum in the private and public sectors
and work with employers to build awareness of the benefits of engaging international students.
Another recurrent theme in research into the experience of international students in Australia and Victoria is the desire
for more opportunities for social interaction and engagement with local communities 33. Students are attracted to the
lifestyle offered in Melbourne and seek a genuine local experience whilst studying in Australia. The strong focus on
sport in Victoria offers a valuable mechanism to link international students with the local community. Programs such as
GloBALL offer opportunities for international students to attend sporting events at the elite level (AFL, cricket and
netball games) and encourage participation at the local level. The opportunity to interact with players, staff and
supporters also benefits local communities by increasing interaction with people from different cultures.
There is also evidence that some international students experience social isolation, increasing risks associated with lack
of social support. Efforts to increase the connection of international students to other students, their communities and to
support services will all enhance the overall experience of international students in Victoria.
At the same time, Victoria remains a cohesive multicultural, multilingual and multifaith society. Our multicultural
communities make a significant contribution to Victoria’s development – both culturally and economically. Victoria
will continue to encourage and support activities that connect established communities with international students,
further strengthening and uniting the community for the benefit of all Victorians.
INITIATIVE 13
Establish the Study Melbourne Experience Program, providing a comprehensive program of activities and programs
that will connect international students with the broader community including:
 redevelopment of the Culture Card into the Study Melbourne Card and expansion of the range of activities
available through the Card;
 support for student initiatives to facilitate greater connection between international students and the
community;
 continued support for the International Student Welcome Desk at the Melbourne Airport;
 delivery of events to welcome international students to the State such as the annual welcome event for
international school students; and
 celebration of the contribution of international students in Victoria through established Government programs
such as Cultural Diversity Week.
In international education, as in any market, the voice of the consumer needs to be heard to ensure that their needs are
understood, considered and, where possible, addressed. Students also want to “have a say” in decisions that affect them.
33
Australian Education International, Student Voices: Enhancing the experience of international students in Australia, June 2012;
The Nous Group, 2011, op cit.
There is also great value in increasing opportunities for dialogue between government representatives and international
students to support greater understanding of issues of importance to students. The establishment of social media
functionality on the Study Melbourne website (Initiative 15) will provide further opportunities for international students
to share their experiences.
INITIATIVE 14
Improve channels for communication with, and feedback from, international students on their experience in Victoria.
8.
Marketing and Branding
Effective and sustained marketing of Melbourne/Victoria as a study destination is fundamental to supporting sustainable
growth of the sector. Under the “Australia Unlimited” brand promoted by Austrade, Victoria needs to establish and
maintain its identity and to differentiate its products in the face of strong global competition. ‘Brand’ awareness and
brand value are critical drivers of student decisions about where to study. The Study Melbourne website is the primary
mechanism for provision of information to potential students. As with tourism, the Government has a key role in
ensuring a unified and consistent message about the attractiveness and quality of Victoria’s international education
sector through marketing activities.
The Study Melbourne brand is well-supported by providers who consider that Victoria should position itself as a ‘highquality’ choice for education. Research undertaken for Tourism Victoria consistently demonstrates the advantage of
using ‘Melbourne’ as the primary brand, due to confusion of ‘Victoria’ with other locations (e.g. Canada) 34. Regionallybased providers will be assisted to leverage the impact of Study Melbourne for their regions.
INITIATIVE 15
Broaden the reach of the Study Melbourne brand to integrate all Victoria’s international education activities under the
one brand (e.g. the International Student Care Service becomes the Study Melbourne Student Centre; the Culture Card
program becomes the Study Melbourne Card).
Through the website, Study Melbourne has asserted itself as a trusted government brand for potential students. Website
statistics, combined with feedback from students and institutions, support the continued use and development of this
premium tool. Over 108,000 people (unique visitors) used the Study Melbourne website in the twelve months to 1
March 2013; 80 per cent of them were new visitors to the site. It is critical that this tool continues to grow and develop
along with the technological usage and expectations of the student cohort.
The first stage of redevelopment of the Study Melbourne website was completed in early 2013, including the
establishment of nine new in-language sites (Arabic, Bahasa Indonesia, Chinese (simplified), Hindi, Japanese, Korean,
Portuguese, Spanish and Vietnamese) and five Study Melbourne mobile sites (in Arabic, Chinese, English, Japanese
and Korean). These sites offer a condensed version of the full Study Melbourne website showcasing content specifically
designed for use on mobile devices (e.g. mobile phones, electronic tablets).
The inclusion of a social media component (e.g. Twitter, Facebook, Weibo) is essential to lift the profile and impact of
the Study Melbourne website. Given the high use of social media by students, the next stage of development of the
Study Melbourne website will include integration of social media.
INITIATIVE 16
Ensure that the Study Melbourne website is a top global international student website, by adding, supporting and
utilising the marketing opportunities of a social media component.
The main focus of Victoria’s marketing efforts to date is on students. The Study Melbourne site is a consumer-facing
website and much of the marketing collateral focuses on Melbourne as a student destination.
Promotion of Victoria’s education and training sector to overseas businesses, governments and educational institutions
would be strengthened by a business-to-business (B2B) marketing strategy including web-based information to support
B2B engagement and assist in disseminating industry-oriented communications.
INITIATIVE 17
Develop a business-to-business (B2B) marketing strategy to promote Victoria’s education and training
capacity/providers to overseas businesses, institutions, governments and agents including:
34
Tourism Research Australia, International Visitor Survey December 2012, unpublished


an online tool which facilitates B2B and government-to-business interaction; and
development of high quality marketing collateral specifically designed for off-shore marketing to key decisionmakers and decision influencers such as governments, businesses and education agents.
Renewed marketing efforts are required that take account of different drivers of demand in different overseas markets
(for example, marketing of VET in India or Colombia will require a different approach to marketing higher education in
Malaysia or Eastern China). To support a redeveloped brand strategy and support market development activities
outlined in section 5, additional work is needed to ensure maximum resonance with target markets.
INITIATIVE 18
Increase awareness of Victoria’s strengths in international education and training, including awareness of the Study
Melbourne brand, through stronger marketing efforts including:
 detailed and differentiated marketing plans for key growth markets;
 targeted client focused marketing of Victoria’s educational capacity;
 utilisation of other related branding of Melbourne as an “intellectual” and culture centre (i.e. Melbourne as a
Knowledge City and a UNESCO City of Literature) and as an engaging liveable tourist destination through
Tourism Victoria; and
 working with Tourism Victoria to welcome friends and relatives of international students to Victoria.
Finally, maintaining on-going connections with international alumni of Victoria’s educational institutions provides an
opportunity to promote Victoria as a welcoming student city and to forge stronger links to cultural and business
activities.
Anecdotally, the Government knows that many international students who study in Victoria go on to develop business
and trade links with Victoria, underpinned by the knowledge of Victoria gained while studying here.
The Victoria Connection program, with over 2,500 members, provides a mechanism for networking between
professional Victorian expatriates, repatriates, alumni and those interested in doing business with Victoria who live
outside of Australia. However greater engagement with Victoria’s international alumni provides a valuable mechanism
to maximise the benefits of international education to Victoria.
INITIATIVE 19
Strengthen engagement with Victoria’s international student alumni through:
 greater utilisation of the Victoria Connection initiative to leverage existing contacts and networks;
 organisation of alumni events overseas, coinciding with trade missions and industry events, to promote
Victoria’s international education sectors and build business ties; and
 partnering with educational institutions to offer a broader range of activities to their international alumni.
9.
Implementation
The Victorian Government allocated $17.5 million over four years in the 2013-14 Budget to support implementation of
the International Education Strategy. Initiatives will be implemented progressively from the first quarter of 2013-14.
The last four years have demonstrated that the international education sector is dynamic. It is important therefore to
review the effectiveness of the Strategy as it proceeds. An evaluation framework will be established and a mid-point
review conducted.
The international education advisory body will support implementation of the Strategy, providing advice and guidance
as required.