EDUCATIONAL MARKET RESEARCH IN BRAZIL

Carlos Robles - President

•Non-profit civil society, founded in 1992

•1st association into the International Education field in Latin America

•Congregates 72 members

•Covered by Regional Coordinators all over Brazil

•New members admission: upon demonstration of integrity before the market and a conduct in accordance to the Social Statute and association’s Code of Ethics

•Associated companies are committed to acquainting, promoting, intermediating and executing education and exchange program services in Brazil and overseas

•Affiliated to: FELCA, ALTO, Study WYSE and WYSE Work Abroad Association

•Partnership with Embratur and Ministry of Tourism

STM Language Star AwardsWinner for the fifth time as best Agency

Association by STM (Study Travel Magazine) Language Star Awards and had enter to Hall of Fame

SÃO PAULO (24)SÃO PAULO (24)ABC InternationalBILBOSCIConnection LineCultural GlobalEducation AbroadEducnetEFExperimentoFriends in the WorldIntercâmbio ConnexionIntercâmbio GlobalJust IntercâmbiosLondon ConnexionMoinho TravellerMundial IntercâmbioSIPSISSTBStudy N’TravelThis WayUpwardYázigi Travel

RIO DE JANEIRO (4)RIO DE JANEIRO (4)AFSCP4ICCEInternational Schools

ESPÍRITO SANTO (1)ESPÍRITO SANTO (1)IE

MINAS GERAIS (13)MINAS GERAIS (13)ArthaBeth CoutinhoCentral do EstudanteDMPETCFITGreensystemIEPIntervipMaster ExchangeNumber OneTrue ExperienceUpgrade

SALVADOR (1)SALVADOR (1)BEX

SANTA CATARINA (3)SANTA CATARINA (3)Cultural AdventureInterculturalTravelmate

CURITIBA (2)CURITIBA (2)ImprovementWorld Study

GOIÁS (2)GOIÁS (2)Aiusa/Inter-BrasilHigh Connections

DISTRITO FEDERAL (1)DISTRITO FEDERAL (1)Portal do Intercâmbio

RIO GRANDE DO NORTE (1)RIO GRANDE DO NORTE (1)Cia do Intercâmbio

CEARÁ (1)CEARÁ (1)International Center

PIAUÍ (1)PIAUÍ (1)Embarque Educacional

MARANHÃO (1)MARANHÃO (1)Via Mundo

53 BELTA Associates

Around 600 agencies in Brazil

90% of the Brazilian market

• Associate’s Profiles and Information

• 50,000 copies distributed for free

• Targeted for final clients and students all over Brazil

Belta Magazine

belta.org.br

•30,000 visits per month

•31,000 registered users

• 194 million inhabitants – estimated for 2012 by IBGE

• Most populous states are: São Paulo - over 40 million Minas Gerais - over 19 million

Rio de Janeiro - over 15 million • 5th largest country in the world

• 7th largest economy in the world (The Economist)

• produces more than half of the income of theSouth American continent

•The 1st time Brazil is among the most competitive economies: 48th

•Brazil is the only country of BRICS that advanced. Source: the Report of Global Competitiveness – 2012/2013

•Home of the 2014 FIFA World Cup

•Home of 2016 Olympics

Market Research 2011 – Segment of international educationand exchange in Brazil

Sponsorships

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Profile of the respondents

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BRAZILIAN AGENTS Half of the Companies have been in the market 10+ years

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BRAZILIAN AGENTS Education abroad is the flagship company

Q. In general, what are the activities of your company? More than anything else? (Spontaneous and multiple)

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Language courses are in highest demand

Q. What type of course most looking for? And what else?(Spontaneous and multiple)

The language course is the main activity of 63.4% of the agenciesparticipating in the survey.

Among the members, this rises to 67.5% and in non-associated falls to 58.1%.

Note that this activity is more important in the inner cities, when compared to the capital (75% vs. 61.9%) and in the cities of São Paulo, when compared to other states (72.2% vs. 54.3 %).

Other (with a mention of each): Educational Counseling | Cultural Exchange in Brazil (High School) | Work and Travel | Masters |Expertise | Au Pair | Stage.

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Q. Currently, what are the tree main countries that have attracted the interest of students seeking study abroad? (Spontaneous and single)

According to 90.1% of respondents, Canada is first among the three most attractive countries for study abroad. The United States ranked second with 69% and the UK is third with 59.2%.

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Q. In addition to these countries (cited in Q.) your company wich sent students to other countries? (Spontaneous and Multiple)

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Q. In addition to these countries (cited in Q.) your company wich sent students to other countries? (Spontaneous and Multiple)

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Countries that attract interest

Q. Today, what is the main destination for students wanting to study English?/ Q. And what is the main destination for those who learn Frenh?/ Q. And who wants to study Spanish? (Spontaneous and single)

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Q. Thinking about the social class of students seeking study abroad, you would tell me that on average are what (s) class (es) social (s)? And what is the percentage for each class? (STIMULATED AND MULTIPLE)

71 AGENCYS

67CLASS

A

68CLASS

B

54CLASS

C

4CLASS

D

Class A ConsolidatedBase 67

Less than 20% 10From 21% to 40% 24From 41% to 60% 14From 61% to 80% 10

From 81% to 100% 9

Of the 67 respondents who answered class A, 34 report that the percentage is 40% and 33 report that is above 40%

Class B Consolidated

Base 68

Less than 20% 4

From 21% to 40% 25

From 41% to 60% 18

From 61% to 80% 17

From 81% to 100% 4

Of the 68 respondents who answered class B, 29 report that the percentage is 40% and the other half says it is above 40%

Of the 54 respondents who answered class C, 47 report that the percentage is 40% and only 7 report that is

above 40%. Class C Consolidated

Base 54Less than 20% 23

From 21% to 40% 24From 41% to 60% 5From 61% to 80% 1

From 81% to 100% 1

Class D ConsolidatedBase 4

Less than 20% 3From 21% to 40% 1From 41% to 60% 0From 61% to 80% 0

From 81% to 100% 0

Together sent78.852

students

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BRAZILIAN AGENTS About 2010

Q. How Many Students were sent abroad in 2010? It Would be possible to obtain data for the years 2009 and 20008? (Stimulated and single PER LINE)

An average of 1271 by company

Of The 62 companies that provided data

Investment of $546.074.427,42

About 2010

Q. How many students were sent abroad in 2012? It would be possible to obtain data for the years 2009 and 2008? (Stimulated and single PER LINE)

Sent together85.890

students

An average of 1209 by company

the ESTIMATE for 71 companies

Investments of $594.814.748,78

Expectation for 2012 is to send 130,173 students

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MARKET

Q. How many students were sent abroad in 2010? (Stimulated and single PER LINE)

Sent together167.432students

An average of 1775 by

company

the ESTIMATE for the 96 companies

Investments of U$ 1.159.516.829,60

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MARKET

Conclusions The market of travel agencies and cultural education in Brazil is highly concentrated. About 10

companies represent nearly 90% of the volume of students sent abroad for courses. The market is very strong, with 88.7% of companies estimating that the market wil grow considerably in the next three years, with rates ranging up to 40% over the current volume.

Based on information from survey participants estimated that the market exhange agencies have moved at least $590 million in 2010.

The survey reveals that most agencies exchange consists of micro and small enterprises and 60% are over 10 years in the market.

For 63,4% of respondents flagship products are the language courses, which have lower cost and duration.

The value of average investment for a language course, which lasts up to three months, is U.S. $4900.00.

Conclusions The profile of students who will study abroad is young (18 and 25 years old) and come from

private schools.

Study abroad programs are accessible to all social classes, although there is a predominance of students in class A and B. class C is beginning to be a part of that reality. Almost three quarters of agencies have sent students from Class C to study abroad.

Canada was the country that won more students, and the United States was the second. It is important for students to invest in training and this is an important factor for choosing

the country.

Difficulties with visas and other bureaucratic aspects are major reasons not to choose a specific country of destination.

Canada is also the main destination for English language courses, France is a favorite for French and Spain for the Spanish. The top five destinations for students are all English speaking countries: Canada, United Kingdom, United States, Australia and New Zealand.

Conclusions Specific traveling insurance is required by countries such as France, Spain and Italy.

Brazilian agencies offer them to all students as another source of business.The cards are best-selling product monthly sold and in the opinion of respondents, the current coverage offered is enough.

Respondents were Belta and Non-Belta members. Out of the 71 respondents, 41 of them were located in the area of São Paulo and Rio de Jenrio. SP/RJ and 30 respondents are scattered troughout Brazil.

Belta still have not reached the public showing a differential between acquiring an international education program from a Belta then a non-Belta member. This is the goal of the Association to divulge the quality and assurance to the public in looking for a Belta agency when buying an educational program abroad.

Finally, the prospects for increased business related to the 2014 World Cup are not perceived by majority, who believe that there will be no impact on market exchange.

Thank You!

Carlos Roblespresidencia@belta.org.br+55 11 2638-9663