In today's competitive educational landscape, universities must embrace a luxury higher education experience to meet the evolving expectations of students. This perspective not only acknowledges the substantial financial investments students make but also emphasises the necessity for institutions to deliver exceptional value, akin to esteemed luxury brands. By adopting best practices from the luxury sector, universities can enhance both support services and academic coursework, ensuring a superior and holistic student experience.
The Luxury Higher Education Experience
The concept of higher education as a luxury good has gained traction in recent discourse. Haochen Sun's analysis draws parallels between elite universities and luxury brands, highlighting how institutions like Harvard and Stanford are perceived similarly to Louis Vuitton and Ferrari. This comparison underscores the exclusivity and status associated with such institutions (Sun, 2020).
Moreover, the rise of premium student accommodations, offering amenities such as gyms, cinemas, and concierge services, reflects the growing demand for an Australian university student experience that rivals luxury service providers. These developments indicate a shift towards viewing education not merely as a public good but as a premium service warranting substantial investment. For instance, a proposed $350 million, 33-storey student accommodation tower in Adelaide aims to be the most luxurious student living option in Australia, featuring over 1,000 rooms, a cinema, 24/7 gym, social hub, outdoor piazza, and retail areas (AdelaideNow, 2025).
Reflections from an Australian Higher Education Leader
Working in Australian higher education, particularly in student-facing roles, I have witnessed firsthand the disconnect between the premium cost of education and the service ethos that accompanies it. While universities market themselves as world-class institutions offering cutting-edge research opportunities and unparalleled student experiences, the reality on the ground sometimes falls short. I've worked with fantastic people, but there are culture issues across institutions.
One observation that has stood out to me is how frequently students - who are, in effect, paying customers - are dismissed as "kids," undermining the luxury higher education experience universities should be providing. This casual reference is not just semantics; it reflects a deeper issue in service culture. A student paying tens of thousands of dollars in tuition should expect a concierge experience, not a bureaucratic labyrinth. Yet, I’ve seen instances where students seeking help are met with indifference, endless forms, and unclear processes, as though they were an inconvenience rather than valued clients.
One particularly telling moment was when a student approached a help desk in frustration, asking for guidance on a convoluted administrative process. The staff member, rather than empathising, handed them a linked to a QR code and said, "Just follow the steps online." The student walked away even more confused and disheartened. This is not the level of service you would expect at a high-end hotel, airline, or any other luxury service provider. So why is it acceptable in higher education?
Best Practices for Delivering a Luxury Higher Education Experience
To align with the luxury service paradigm, higher education institutions can implement the following best practices:
1. Proactive and Personalised Support
Adopting a proactive approach in student support can significantly enhance the educational experience. The "Effective Advising for Postsecondary Students" guide recommends designing comprehensive, integrated advising that combines academic and non-academic support, empowering students to achieve their educational goals (IES, 2019).
2. High-Impact Educational Practices
Incorporating high-impact practices, such as learning communities, undergraduate research, and service learning, has been shown to yield significant educational benefits. These practices promote deep learning and student engagement, essential components of a luxury educational experience (AAC&U, 2021).
3. Universal Design for Instruction (UDI)
Implementing UDI principles ensures that course design and delivery are accessible and effective for all students. This includes providing materials in multiple formats, employing diverse teaching methods, and creating an inclusive learning environment (CAST, 2024).
4. Appreciative Advising
This student-centered framework involves building positive advisor-student relationships, focusing on students' strengths, and fostering a supportive environment. The six phases of Appreciative Advising-Disarm, Discover, Dream, Design, Deliver, and Don't Settle-guide advisors in helping students achieve their academic and personal goals (Bloom, Hutson, & He, 2008).
5. Lean Higher Education
Applying lean management principles can enhance the efficiency and effectiveness of university processes. This involves continuous improvement and respect for people, aiming to maximise value and minimise waste in educational services (Balzer, 2017).
The Role of Customer Success in Higher Education
Higher education can take cues from customer success models in the private sector. Just as high-end brands focus on nurturing customer relationships beyond the point of sale, universities must foster meaningful, ongoing engagement with students from enrollment to graduation and beyond.
Customer success best practices that can be implemented include:
- Journey Mapping
To create a luxury higher education experience, universities should map out every interaction a student has, from admissions to graduation, identifying pain points and optimising service delivery (Lemon & Verhoef, 2016). - Data-Driven Personalisation
Universities can implement AI-driven platforms to analyse student behaviours and academic performance, providing timely and tailored interventions (Davenport, 2013). - Proactive Outreach
CRM tools should be leveraged to track student engagement and anticipate potential issues before they arise, much like how businesses retain high-value customers (Kotler & Keller, 2015). - Service Recovery Strategies
Institutions should implement a clear, student-focused process for addressing complaints, similar to corporate service recovery models, ensuring students feel heard and valued (Zeithaml, Bitner & Gremler, 2017).
By incorporating these customer success strategies, universities can create a premium, responsive, and supportive educational environment that mirrors the world-class experience students expect when investing in their future.
Conclusion
Institutions that embrace the luxury higher education experience not only improve student satisfaction but also enhance retention, engagement, and long-term success., ensuring that the substantial investments made by students yield commensurate value. This approach not only enhances institutional reputation but also fosters student success and satisfaction, aligning with the evolving expectations of today's learners. Universities must ask themselves: Are we rolling out the red carpet, or just rolling our eyes?
